Three Way, Tennessee Property Taxes
The median property tax rate in Three Way, TN is 0.57%, considerably lower than both the national median of 0.99% and the Tennessee state median of 0.64%. With the median home value in Three Way at $132,950, the typical annual property tax bill reaches $760, significantly below the national median of $2,690. Property taxes in Three Way 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 Three Way'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 Three Way 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
Three Way, Tennessee Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.57%
Estimate Property Tax Bill
$758
Ownwell’s Three Way Property Tax Bill Calculator assists homeowners, real estate investors, and potential buyers in estimating their annual property taxes in Three Way with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Three Way 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 Madison County for property tax calculations, accounting for any exemptions that may apply.
Property Tax Rates Across Three Way, Tennessee
Property taxes in Three Way, Tennessee, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Three Way is 0.57%, which is lower than both the Tennessee state median and the U.S. national median of 0.99%. Local government entities within Three Way set these rates annually, and they can vary significantly across different neighborhoods. Each year, Three Way 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 Three Way's effective property tax rate to other counties in Tennessee and the national median. For comparison, the zip code 38343 has both the highest and lowest median property tax rate of 0.57%. Understanding how these cities compare with Three Way provides valuable insights into the varying tax landscape across Madison County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Three Way Tax Rate
0.57%
Average Madison County Tax Rate
0.87%
Average Tennessee Tax Rate
0.64%
Average United States Tax Rate
0.99%
Property Tax Rates Across Three Way, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38343 | 0.57% | 0.57% | 0.57% | 0.57% | 0.57% |
Source: Ownwell
Property Tax Assessment Values Across Three Way, Tennessee
In Three Way, 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 Madison 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 Three Way, 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 Three Way helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The median home price in the area is $132,950, with the highest and lowest median tax bills both being $760 in the 38343 zip code.
Average Three Way Assessed Value
$132,950
Average Madison County Assessed Value
$135,000
Average Tennessee Assessed Value
$173,500
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Three Way, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38343 | $99,230 | $111,875 | $132,950 | $154,025 | $166,670 |
Source: Ownwell
Property Tax Bills Across Three Way, Tennessee
In Three Way, property tax bills are calculated based on the assessed value of a property, which is typically a percentage of the market value. Madison County uses this assessed value to determine the tax bill by applying the local tax rate. For instance, the median home price in Three Way is $132,950. Homeowners in the 25th percentile can expect a tax bill around $640, while those in the 75th percentile might see a bill closer to $881. The 90th percentile tax bill reaches approximately $954. Factors such as property improvements, neighborhood developments, and changes in market conditions can influence the assessed value, thereby affecting the tax bill. Compared to the national median property tax rate of 0.99%, homeowners in Three Way benefit from relatively lower property tax bills. This can make homeownership more affordable, though it’s essential to keep an eye on any changes in local tax rates or property values that could impact future tax obligations.
Average Three Way Tax Bill
$760
Average Madison County Tax Bill
$848
Average Tennessee Tax Bill
$1,206
Average United States Tax Bill
$2,690
Property Tax Bills Across Three Way, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38343 | $567 | $640 | $760 | $881 | $954 |
Source: Ownwell