Reed City, Michigan Property Taxes
The median property tax rate in Reed City, MI is 1.28%, considerably higher than both the national median of 0.99% and the Michigan state median of 1.07%. With the median home value in Reed City at $110,800, the typical annual property tax bill reaches $1,444, exceeding the national median of $2,690. Property taxes in Reed 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 Reed 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 Reed 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
Reed City, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.28%
Estimate Property Tax Bill
$1,418
$1,316
Ownwell’s Reed City Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Reed City with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Reed 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 Reed City, Michigan
Property taxes in Reed City, Michigan, are vital in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Reed City is 1.28%, higher than both the Michigan state median and the U.S. national median of 0.99%. Local government entities within Reed City set these rates annually, and they can vary significantly across different neighborhoods. Each year, Reed 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 Reed City's effective property tax rate to other counties in Michigan and the national median. For comparison, the zip code 49677 has the highest median property tax rate of 1.28%, while the same zip code 49677 has the lowest median tax rate of 1.28%. Understanding how these cities compare with Reed City provides valuable insights into the varying tax landscape across Osceola County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Reed City Tax Rate
1.28%
Average Osceola County Tax Rate
1.27%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Reed City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49677 | 0.84% | 0.96% | 1.28% | 1.64% | 2.06% |
Source: Ownwell
Property Tax Assessment Values Across Reed City, Michigan
In Reed 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 Osceola 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 Reed 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. Being aware of these valuation processes in Reed City helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The highest median tax bill in the area is $1444, found in zip code 49677, while the lowest median tax bill is also $1444, indicating a uniform tax burden across the region.
Average Reed City Assessed Value
$110,800
Average Osceola County Assessed Value
$109,600
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Reed City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49677 | $41,280 | $74,600 | $110,800 | $162,400 | $239,120 |
Source: Ownwell
Property Tax Bills Across Reed City, Michigan
Property tax bills in Reed City, located in Osceola County, MI, are calculated based on the assessed value of a property, which is typically 50% of its market value. For a median home price of $110,800, this means the assessed value would be around $55,400. The local tax rate is then applied to this assessed value to determine the annual property tax bill. In Reed City, property tax bills can vary significantly. Homeowners in the 25th percentile can expect to pay around $942, while those in the 75th percentile may see bills as high as $2,034. At the 90th percentile, tax bills can reach up to $2,815. These figures highlight how property taxes can impact homeowners differently depending on their property's value. Compared to the national median property tax rate of 0.99%, Reed City's rates may seem relatively moderate, yet they still represent a significant expense for homeowners. Understanding these factors can help residents better anticipate their annual property tax obligations.
Average Reed City Tax Bill
$1,444
Average Osceola County Tax Bill
$1,382
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Reed City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49677 | $558 | $942 | $1,444 | $2,034 | $2,815 |
Source: Ownwell