If you're looking to buy or sell residential real estate, it is recommended that you know what the property taxes for the home will be, at a given price.Â This post is being written to demystify the calculation of property taxes, toÂ help youÂ determine this important piece of information.
The first step is to find out what the effective tax rate is for the city/school district in which the home is located.Â The most up-to-date tax rates for Cuyahoga County can be found at:
Be sure to choose the rate sheet for residential tax rates.Â Once you have this figure, you can follow the steps below to estimate property taxes.
How to Estimate Property Taxes:
1. Multiply the market value of the home by 35%
2. Select the effective millage (aka effective tax rate) for the community
3. Place $0.0 in front of the millage amount in Step 2
4. Multiply the result of Step 1 and Step 3
5. Divide by two (2) to get the half-year effective taxes
6. Multiply to result of Step 5 by 87.50% to determine the adjusted current general half-year tax (after 10% rollback and 2.5% credit)
7. Add special assessment, if any apply, to get the total tax bill
Here's an Example:
Tax on a $200,000 home in North Royalton, Ohio
1. $200,000 x 0.35 = $70,000
2. Millage for North Royalton 70.03
3. Millage figure to use in calculation is $0.07003
4. $70,000 x $0.07003 = $4,902.10
5. $4,902.10 divided by 2 = $2,451.05
6. $2,451.05 x 0.875 = $2,144.67 adjusted currect half-year taxes
7. Be sure to add any Special Assessment, if applicable
Feel free to Contact Me anytime for more information.