Michigan Property Tax Calculator 2026

Calculate property taxes in Michigan. The average effective property tax rate in MI is 1.13%, which is above the national average of 0.89%. Estimate your annual property tax bill.

By Konstantin Iakovlev · Updated October 19, 2026 · Methodology

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Annual Property Tax

$3,955.00

Monthly Equivalent

$329.58

Effective Rate

1.130%

Property Tax Breakdown

Assessed Value$350,000.00
Homestead Exemption$0.00
Taxable Value$350,000.00
Annual Tax$3,955.00
Monthly Equivalent$329.58

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

Michigan Property Tax Guide

Michigan homeowners pay an average effective property tax rate of about 1.13% of home value, noticeably above the roughly 0.9% national average. Property tax is assessed and billed locally: townships, cities, and counties set the millage rates that fund schools, roads, libraries, and public safety, so two homes of equal value in different jurisdictions can owe very different amounts. The tax is based on a property's taxable value, which Michigan law caps in annual growth.

Michigan uses a distinctive two-number system. Assessed value reflects roughly half of market value, while taxable value is the figure millage is actually applied to, and a state constitutional provision limits how fast taxable value can rise each year until the property sells. Owner-occupied homes can claim the Principal Residence Exemption, which removes the local school operating millage and meaningfully lowers the bill. To estimate a bill, multiply taxable value by the local total millage rate expressed as dollars per $1,000 of value.

Michigan Property Tax Details (2026)

Avg. Effective Property Tax Rate 1.13%
National Average 0.89%
vs. National Average 0.24 points above
Estate Tax None
State Sales Tax 6%
State Income Tax 4.25% (flat)

Official Sources:

Michigan Property Tax FAQ

How is a Michigan property tax bill calculated?
The local assessor sets a taxable value, and the bill equals that taxable value multiplied by the total millage rate for your jurisdiction, where one mill equals $1 of tax per $1,000 of taxable value. Millage rates combine levies from the county, township or city, schools, and special districts, so the total varies widely across Michigan. Because tax is based on taxable value rather than full market value, the bill is often lower than the headline 1.13% applied to a sale price.
What is the Principal Residence Exemption?
The Principal Residence Exemption, often called the homestead exemption, exempts an owner-occupied primary home from the local school operating millage, which is typically 18 mills. You claim it by filing an affidavit with your local assessor, and it applies only to the home you actually live in, not to rentals or second homes. The exemption can shave a substantial share off the annual bill for qualifying residents.
Why does my taxable value rise slower than my home's market value?
Michigan's Proposal A caps the yearly increase in a property's taxable value at the lesser of 5% or the rate of inflation, as long as ownership doesn't change. This means taxable value can lag well behind a rising market, holding the bill down for long-term owners. When the property is sold, the taxable value 'uncaps' and resets to the assessed value, which often raises the new owner's tax noticeably.
Who sets and collects property tax in Michigan?
Local assessors determine assessed and taxable values, and local treasurers in townships, cities, and counties issue and collect the bills. The state does not levy a general statewide property tax beyond the State Education Tax that funds schools. Disputes over valuation are first heard by a local Board of Review and can be appealed to the Michigan Tax Tribunal.

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