Parsons, Tennessee Property Taxes
The median property tax rate in Parsons, TN is 0.59%, considerably lower than both the national median of 0.99% and the Tennessee state median of 0.64%. With the median home value in Parsons at $108,150, the typical annual property tax bill reaches $640, significantly below the national median of $2,690. Property taxes in Parsons 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 Parsons' property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to significant annual savings. Whether you're in the heart of Parsons 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
Parsons, Tennessee Property Tax Bill Calculator
$100,000
$2,500,000
$5,000,000
Average Tax Rate
0.64%
Estimate Property Tax Bill
$1,280
Ownwell’s Parsons Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Parsons with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Parsons 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 Parsons, Tennessee
Property taxes in Parsons, Tennessee, are crucial for funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Parsons is 0.59%, which is lower than both the Tennessee state median and the U.S. national median of 0.99%. Local government entities within Parsons set these rates annually, and they can vary significantly across different neighborhoods. Each year, Parsons 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 Parsons' effective property tax rate to other counties in Tennessee and the national median. For comparison, the 38363 zip code has both the highest and lowest median property tax rate of 0.59%. Understanding how these cities compare with Parsons provides valuable insights into the varying tax landscape across Henderson County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Parsons Tax Rate
0.59%
Average Henderson County Tax Rate
0.59%
Average Tennessee Tax Rate
0.64%
Average United States Tax Rate
0.99%
Property Tax Rates Across Parsons, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38363 | 0.59% | 0.59% | 0.59% | 0.59% | 0.59% |
Source: Ownwell
Property Tax Assessment Values Across Parsons, Tennessee
In Parsons, Tennessee, 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 Henderson 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 Parsons, 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 median home price in Parsons is $108,150, and the tax bill varies significantly, with the 25th percentile at $357 and the 75th percentile at $1101. The highest and lowest median tax bills, both at $640, are found in zip code 38363. Being aware of these valuation processes in Parsons helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Parsons Assessed Value
$108,150
Average Henderson County Assessed Value
$78,000
Average Tennessee Assessed Value
$173,500
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Parsons, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38363 | $28,580 | $60,350 | $108,150 | $185,875 | $214,720 |
Source: Ownwell
Property Tax Bills Across Parsons, Tennessee
In Parsons, located in Henderson County, TN, property tax bills are calculated based on the assessed value of your home. The assessment rate is applied to the market value of the property to determine its assessed value. This assessed value is then multiplied by the local tax rate to calculate the annual tax bill. Several factors influence the assessed value, including property size, location, and any improvements made to the home. For homeowners in Parsons, the median home price is $108,150. Property tax bills in the area range significantly, with the 25th percentile tax bill at $357 and the 75th percentile at $1101. At the 90th percentile, tax bills can reach up to $1272. These property taxes play a crucial role in funding local services such as schools, emergency services, and infrastructure. Compared to the national median property tax rate of 0.99%, the property taxes in Parsons provide a relatively predictable expense for homeowners, ensuring they contribute to the community’s overall well-being and development.
Average Parsons Tax Bill
$640
Average Henderson County Tax Bill
$514
Average Tennessee Tax Bill
$1,206
Average United States Tax Bill
$2,690
Property Tax Bills Across Parsons, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38363 | $169 | $357 | $640 | $1,101 | $1,272 |
Source: Ownwell