Birmingham, Michigan Property Taxes
The median property tax rate in Birmingham, MI is 1.48%, significantly higher than both the national median of 0.99% and Michigan's state median of 1.07%. With the median home value in Birmingham at $575,880, the typical annual property tax bill reaches $8,372, far exceeding the national median of $2,690. Property taxes in Birmingham are calculated based on the tax assessed value, which typically falls below the market value due to various exemptions such as primary residence and agricultural exemptions. Understanding Birmingham'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 Birmingham 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
Birmingham, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.48%
Estimate Property Tax Bill
$8,523
Ownwell’s Birmingham Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Birmingham with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Birmingham 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 Birmingham, Michigan
Property taxes in Birmingham, Michigan, are crucial for funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Birmingham is 1.48%, higher than both the Michigan state median and the U.S. national median of 0.99%. Local government entities within Birmingham set these rates annually, and they can vary significantly across different neighborhoods. Each year, Birmingham 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 Birmingham's effective property tax rate to other counties in Michigan and the national median. For comparison, the 48009 zip code has the highest median property tax rate of 1.48%, while the 48025 zip code has the lowest median tax rate of 1.25%. Understanding how these cities compare with Birmingham provides valuable insights into the varying tax landscape across Oakland County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Birmingham Tax Rate
1.48%
Average Oakland County Tax Rate
1.37%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Birmingham, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48009 | 1.05% | 1.20% | 1.48% | 1.78% | 1.95% |
| 48025 | 1.24% | 1.24% | 1.25% | 1.26% | 1.27% |
Source: Ownwell
Property Tax Assessment Values Across Birmingham, Michigan
Understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes in Birmingham, Michigan. 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 Oakland 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. Assessment notices in Birmingham 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. In Birmingham, the median home price is $575,880. The highest median tax bill is $8,372 in the 48009 zip code, while the lowest median tax bill is $6,977 in the 48025 zip code. Being aware of these valuation processes helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Birmingham Assessed Value
$575,880
Average Oakland County Assessed Value
$273,320
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Birmingham, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48009 | $238,700 | $338,320 | $575,740 | $892,500 | $1,400,494 |
| 48025 | $497,762 | $519,545 | $555,850 | $592,155 | $613,938 |
Source: Ownwell
Property Tax Bills Across Birmingham, Michigan
In Birmingham, located in Oakland County, MI, property tax bills are calculated based on the assessed value of a home, which is a percentage of its market value. The county assessor determines this assessed value, considering factors such as property size, location, and market conditions. Once the assessed value is established, the local tax rate is applied to calculate the annual tax bill. For homeowners in Birmingham, the property tax can vary significantly. The tax bill at the 25th percentile is approximately $4,892, while at the 75th percentile, it rises to around $13,623. At the 90th percentile, homeowners can expect to pay as much as $21,793 annually. Compared to the national median property tax rate of 0.99%, Birmingham's property taxes can be quite substantial, reflecting the higher property values in the area. This variation in tax bills means that homeowners need to be mindful of their property's assessed value and any potential changes in the local tax rate, as these can significantly impact their annual financial obligations.
Average Birmingham Tax Bill
$8,372
Average Oakland County Tax Bill
$3,833
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Birmingham, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48009 | $3,216 | $4,891 | $8,372 | $13,623 | $21,796 |
| 48025 | $6,166 | $6,470 | $6,977 | $7,484 | $7,788 |
Source: Ownwell