Traverse City, Michigan Property Taxes
The median property tax rate in Traverse City, MI is 0.58%, considerably lower than both the national median of 0.99% and the Michigan state median of 1.07%. With a median home value of $333,300 in Traverse City, the typical annual property tax bill amounts to $1,953, which is below the national median of $2,690. Property taxes in Traverse City are calculated based on the tax assessed value, which typically falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Traverse City's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to significant annual savings. Whether you're in the heart of Traverse City or another part of the city, understanding the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Traverse City, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.58%
Estimate Property Tax Bill
$1,933
Ownwell’s Traverse City Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Traverse City with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Traverse City to estimate your property tax bill. This insightful tool helps you understand potential tax liabilities. If you’re interested in seeing trends on a neighborhood level, scroll down to find more localized information. Your property’s assessed value is the value assigned by the county for property tax calculations, accounting for any exemptions that may apply.
Property Tax Rates Across Traverse City, Michigan
Property taxes in Traverse City, Michigan, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Traverse City is 0.58%, which is significantly lower than the U.S. national median of 0.99%. Local government entities within Traverse City set these rates annually, and they can vary significantly across different neighborhoods. Each year, Traverse City estimates its required budget to maintain services for the upcoming fiscal year, then divides this budget by the total value of all taxable property within the jurisdiction to calculate the property tax rate. While tax rates and budgets are influenced by laws and voter input, this calculation forms the basis of setting property tax rates. The data below compares Traverse City's effective property tax rate to other areas in Leelanau County and the national median. For comparison, the 49684 zip code has the highest median property tax rate of 0.58%, while the 49686 zip code has the lowest median tax rate of 0.56%. Understanding how these areas compare with Traverse City provides valuable insights into the varying tax landscape across Leelanau County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Traverse City Tax Rate
0.58%
Average Leelanau County Tax Rate
0.48%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Traverse City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49684 | 0.36% | 0.47% | 0.58% | 0.83% | 1.39% |
| 49686 | 0.38% | 0.45% | 0.56% | 0.76% | 0.88% |
Source: Ownwell
Property Tax Assessment Values Across Traverse City, Michigan
In Traverse City, Michigan, understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes. The market value is the price a willing buyer would pay a willing seller in an open and competitive market, influenced by factors like location, property condition, and economic trends. This value is estimated by the Leelanau County Appraisal District for tax purposes. In contrast, the assessed value is the market value minus any applicable exemptions or limits based on local laws and available programs. The assessed value is then used to calculate your property taxes by multiplying it by the combined tax rates of all relevant taxing entities. In Traverse City, assessment notices are typically mailed out in the spring, usually by mid-April. These notices provide homeowners with both the market and assessed values, along with an estimate of the annual property tax bill. By understanding the distinction between these valuation concepts, property owners can better navigate their tax responsibilities and comprehend how their property taxes are determined. For instance, the zip code 49684 has the highest median tax bill at $1,954, while the zip code 49686 has the lowest median tax bill at $575. Being aware of these valuation processes in Traverse City helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Property Tax Assessment Values Across Traverse City, Michigan
Source: Ownwell
$171,200
$482,650
$794,100
Average Traverse City Assessed Value
$333,300
Average Leelanau County Assessed Value
$389,200
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Traverse City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49684 | $129,960 | $213,400 | $333,400 | $546,000 | $811,040 |
| 49686 | $89,920 | $120,400 | $171,200 | $211,700 | $236,000 |
Source: Ownwell
Property Tax Bills Across Traverse City, Michigan
In Traverse City, located in Leelanau County, MI, property tax bills are calculated based on the assessed value of a home, which is typically a percentage of the market value. The median home price in Traverse City is $333,300. Property taxes are then determined by applying the local tax rate to this assessed value. Factors such as property size, location, and improvements can influence the assessed value, which in turn affects the tax bill. For homeowners, this means that the amount they owe in property taxes can vary significantly. For instance, in Traverse City, the 25th percentile tax bill is $1,226, while the 75th percentile tax bill is $3,627. At the higher end, the 90th percentile tax bill can reach $6,294. The highest median tax bill in the area is $1,954 in zip code 49684, whereas the lowest median tax bill is $575 in zip code 49686. These variations highlight the impact of property assessments and local tax rates on homeowners' annual tax obligations.
Average Traverse City Tax Bill
$1,953
Average Leelanau County Tax Bill
$1,958
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Traverse City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49684 | $872 | $1,226 | $1,954 | $3,631 | $6,294 |
| 49686 | $425 | $482 | $575 | $1,495 | $2,047 |
Source: Ownwell