Mcdonald, Lea County, New Mexico Property Taxes
The median property tax rate in McDonald, NM is 0.87%, which is slightly lower than the national median of 0.99% but marginally higher than the New Mexico state median of 0.86%. With the median home value in McDonald at $51,216, the typical annual property tax bill comes to $447, significantly lower than the national median of $2,690. Property taxes in McDonald are calculated based on the tax assessed value, which is often lower than the market value due to various exemptions such as those for primary residences and agricultural properties. Understanding McDonald's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to substantial annual savings. Whether you're in the heart of McDonald or another part of the city, being well-versed in the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Mcdonald, Lea County, New Mexico Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.87%
Estimate Property Tax Bill
$446
$413
Ownwell’s McDonald Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in McDonald with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in McDonald 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 Mcdonald, Lea County, New Mexico
Property taxes in McDonald, New Mexico, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in McDonald is 0.87%, which is lower than the U.S. national median of 0.99%. Local government entities within McDonald set these rates annually, and they can vary significantly across different neighborhoods. Each year, McDonald 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 McDonald's effective property tax rate to other areas in New Mexico and the national median. For comparison, the zip code 88262 has both the highest and lowest median property tax rate of 0.87%, identical to McDonald's rate. Understanding how these areas compare with McDonald provides valuable insights into the varying tax landscape across Lea County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Mcdonald Tax Rate
0.87%
Average Lea County Tax Rate
0.89%
Average New Mexico Tax Rate
0.86%
Average United States Tax Rate
0.99%
Property Tax Rates Across Mcdonald, Lea County, New Mexico
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 88262 | 0.67% | 0.76% | 0.87% | 1.00% | 1.00% |
Source: Ownwell
Property Tax Assessment Values Across Mcdonald, Lea County, New Mexico
In McDonald, New Mexico, 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 Lea 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 McDonald, 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 McDonald helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The highest and lowest median tax bills in the area are both $447, found in zip code 88262.
Property Tax Assessment Values Across Mcdonald, Lea County, New Mexico
Source: Ownwell
$34,002
$64,136
$94,269
Average Mcdonald Assessed Value
$51,216
Average Lea County Assessed Value
$54,759
Average New Mexico Assessed Value
$121,540
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Mcdonald, Lea County, New Mexico
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 88262 | $9,737 | $27,633 | $51,216 | $495,654 | $495,654 |
Source: Ownwell
Property Tax Bills Across Mcdonald, Lea County, New Mexico
In McDonald, located in Lea County, NM, property tax bills are determined based on the assessed value of a home, which is a percentage of its market value. The local tax rate is then applied to this assessed value. For instance, McDonald has a median home price of $51,216. The property tax rate in this area can lead to significant variations in tax bills. Homeowners in the 25th percentile pay around $242 annually, while those in the 75th percentile face a tax bill of approximately $4,350. The 90th percentile sees even higher bills, nearing $4,957. These figures indicate that while some homeowners may experience relatively low property taxes, others could face substantial financial obligations. This disparity can impact homeowners' budgeting and financial planning, making it crucial to understand how property tax assessments and rates influence overall costs. Notably, the median tax bill in McDonald is significantly higher than the national median property tax rate of 0.99%, reflecting the unique economic dynamics of the area.
Average Mcdonald Tax Bill
$447
Average Lea County Tax Bill
$468
Average New Mexico Tax Bill
$1,192
Average United States Tax Bill
$2,690
Property Tax Bills Across Mcdonald, Lea County, New Mexico
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 88262 | $85 | $242 | $447 | $4,350 | $4,957 |
Source: Ownwell