Property taxes in Arizona are paid ad valorem (in proportion to the value) on a property that is owned by an individual or corporation. The cost of this tax is usually based on the value of the property including the land and is paid by the owner of the property to the local government.
The rates for property taxes in Arizona vary with counties and the tax is paid to the county treasurer’s office. Property taxes in Arizona are calculated after the property is valued and appraised by the county assessor of each separate county.
How Are Property Taxes Calculated in Arizona?
If you are wondering “how are property taxes calculated in Arizona?” We have the answer for you.
The property taxes in Arizona are not based on full cash value but rather it is based on limited property value (LPV) which is calculated according to a regulated formula that is developed to minimize the effects of inflation on property taxes. This limits the tax rate in terms of how much it can increase from one year to another. In Arizona, the limited property value can not increase by more than 5% each year. Tax rates are applied to assessed values. The assessment ratio for residential property in Arizona is 10%. Therefore, assessed values are equal to 10% of the limited property value.
The rates for property taxes in Arizona are relatively low, they vary across counties and may also vary based on the school district and if your house is located in any special tax district. The rates can change annually too and are determined by the county.
The formula for arriving at the cash value for your property tax is the tax rate multiplied by your assessed home value. For example, if your county property tax rate is 1.01%(0.0101) and your assessed home value is $300,000, the tax you will be required to pay is $3,030 (0.0101×300,000).
How Much Are Property Taxes in Arizona?
To answer this question, one can not give a direct answer. As already stated, the property taxes would vary across counties in the state because the tax rates are different. Here are the average property tax rates for the different counties in Arizona:
- Apache county has an effective property tax rate of 0.81%. It has one of the lowest property taxes in Arizona with a median property tax payment of $505.
- Cochise county’s effective property tax rate is 0.83%
- Coconino County has an effective property tax rate of 0.59% which is among the lowest rates but with the county having the highest median home value, the actual amount paid in property taxes is among the highest in the state but still very well below the national average.
- Gila County has a property tax rate of 0.77%
- Graham County has a property tax rate of 0.66%
- Greenlee county has a property tax rate of 0.42%
- La Paz County has a property tax rate of 91%
- Maricopa county’s property tax rate is 0.61%. This rate may vary by city and school district.
- Mohave County has a relatively low property tax rate of 0.63% with a median yearly tax payment of $952
- Navajo county’s property tax rate is 77%
- Pima county’s property tax rate is 1.01%. This rate is higher than the state average and is the second-highest rate for property taxes in Arizona.
- Pinal County has a property tax rate of 0.76% which is above the state average but still below the national average.
- Santa Cruz county’s property tax rate is 77%
- Yavapai county’s property tax rate is 58% and is the second-lowest rate among all the counties.
- Yuma County has a property tax rate of 0.89% which is above average and with a median home value of $122,000, Yuma county residents pay $1,086 every year as property taxes.
When Are Property Taxes Due in Arizona?
The payment of property taxes in Arizona is made in two semi-annual installments. One on October 1st of the current tax year (payment becomes delinquent if not made before November 1st by 5.00 pm) and the other on the 1st of March of the following year. (payment becomes delinquent if not made before May 1st at 5.00 pm)
How Do I Pay My Property Taxes in Arizona?
It is recommended that payments for property taxes in Arizona be made through the mail. Address this payment to the county treasurer. The taxes can also be made online via credit or debit card payment through the property tax payment portal. You can also pay in person by going to the county treasurer’s office during office hours.
Considering moving to Arizona?
If you’re looking at moving to Arizona, you can rest assured that your search for a good realtor in Arizona is over. Tammy Gazda has got you covered on everything you’ll ever need.
Give her a call at (480)-848-7173.