Michigan (MI) property tax rate: 1.54% | Median home: $235,000 | Median annual tax: $3,619
Michigan is a revitalized Great Lakes state with very affordable homes. The average effective property tax rate in Michigan is 1.54%, which is above the national average of 1.1%.
On the median Michigan home valued at $235,000, annual property taxes come to approximately $3,619 or $302/month. This is a significant part of your total housing cost and should be factored into any home purchase budget.
Pro tip: Michigan caps annual property assessment increases at 5% or inflation, whichever is lower.
Combined with Michigan's state income tax rate of 4.25%, homeowners should consider the total tax picture. Property taxes in Michigan are a major expense — budget carefully.
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Michigan has an average effective property tax rate of 1.54%. On the median home value of $235,000, that equals approximately $3,619 per year or $302 per month.
Property taxes in Michigan are calculated by multiplying your home assessed value by the local tax rate. The assessed value may differ from market value depending on your county assessment ratio. Exemptions like homestead exemptions can reduce your taxable value.
Michigan caps annual property assessment increases at 5% or inflation, whichever is lower.
Michigan property taxes are above the national average of 1.1%. Budget carefully for this significant expense when buying a home here.
Property tax due dates vary by county in Michigan. Most counties offer semi-annual payments. Check with your county tax assessor office for specific due dates. Late payments typically incur penalties of 1-2% per month.