Discuss Detroit » Archives - Beginning July 2006 » Metropolitan Detroit tax rates « Previous Next »
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Miketoronto
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Username: Miketoronto

Post Number: 197
Registered: 07-2004
Posted From: 65.92.149.153
Posted on Thursday, July 13, 2006 - 11:21 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

In the other thread about tax decreases, it says a house in Detroit valued at $160,000 pays like $11,000 a year in taxes.

I was just wondering that the rates are in the rest of Metro Detroit. How much does a person say pay in Sterling Heights for a house of similar value. Or any other suburb?

Is there a big difference in tax rates?
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Ilovedetroit
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Username: Ilovedetroit

Post Number: 2376
Registered: 02-2005
Posted From: 63.149.5.130
Posted on Thursday, July 13, 2006 - 11:30 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

I was just discussing this with a friend...he parents live in Grosse Pointe Farms. They have a 3000 sq ft house, center entrance colonial, nice shape, well maintained, the total value of the house is around is 350-380,000k (similar to your question above 160k is 320k home)...he said his parents pay almost 15,000 in taxes! I was shocked that it was that hight.

Also I noticed homes in Taylor (new builds) last year were at 10,000 tax on a 350k home.

Of course services are an issue...but I am fine with the services I get for what I will be paying.
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Magnasco
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Username: Magnasco

Post Number: 121
Registered: 10-2003
Posted From: 71.159.22.100
Posted on Thursday, July 13, 2006 - 11:32 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

Let's make sure we start with the right numbers for Detroit. Let's say a house in Detroit that sells for $200 K and that has an equalized value of roughly half of that, say $105,000, has a tax bill of about $7000. There's your starting point.

And the interesting thing about that $200/$100 K number is that it is also close to the break even point for $100 per mil, so the roughly 70 or so mils in detroit gets you about $7000 in taxes.
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Jfried
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Username: Jfried

Post Number: 857
Registered: 11-2003
Posted From: 209.131.7.190
Posted on Thursday, July 13, 2006 - 11:33 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

You can calculate any Michigan municipality's tax rate here

https://treas-secure.state.mi. us/ptestimator/ptestimator.asp

Yes, there is a huge difference in tax rates across the state. There can even be huge differences throughout a single community based on what school district the property is located in.
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Magnasco
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Username: Magnasco

Post Number: 122
Registered: 10-2003
Posted From: 71.159.22.100
Posted on Thursday, July 13, 2006 - 11:34 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

And ILovedetroit, the numbers posted above are for a 2400 sq foot center entrance colonial in East English Village, two blocks from Grosse Pointe.
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Magnasco
Member
Username: Magnasco

Post Number: 123
Registered: 10-2003
Posted From: 71.159.22.100
Posted on Thursday, July 13, 2006 - 11:36 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

Using that website, the $105,000 had a $7,041 tax bill, with 67.06 mils. I wonder if that is before or after taking the 3 mils off for the garbage fee.
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Jfried
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Username: Jfried

Post Number: 858
Registered: 11-2003
Posted From: 209.131.7.190
Posted on Thursday, July 13, 2006 - 11:42 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

Magnasco - the calculation is based on the 2004 rate of 67.06 mills.

2004 rates have not changed too much, so this is a nice tool for comparison.
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Jfried
Member
Username: Jfried

Post Number: 859
Registered: 11-2003
Posted From: 209.131.7.190
Posted on Thursday, July 13, 2006 - 11:44 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

.003 x 105,000 will give you a reduction of $315, so $6,726
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Magnasco
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Username: Magnasco

Post Number: 125
Registered: 10-2003
Posted From: 71.159.22.100
Posted on Thursday, July 13, 2006 - 11:45 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

I thought my percentage on my bill last year was around 71. Maybe because I'm special. I will have to pull it out and take a look.
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Jfried
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Username: Jfried

Post Number: 860
Registered: 11-2003
Posted From: 209.131.7.190
Posted on Thursday, July 13, 2006 - 11:55 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

http://www.ci.detroit.mi.us/fi ntreasury/faq.htm

the 2004/2005 Millage table is near the bottom. It doesn't seem accuarate.
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Jfried
Member
Username: Jfried

Post Number: 861
Registered: 11-2003
Posted From: 209.131.7.190
Posted on Thursday, July 13, 2006 - 11:56 am:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

magnasco - maybe you get charged extra because your show is so cool :-)
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Ndavies
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Username: Ndavies

Post Number: 1995
Registered: 10-2003
Posted From: 129.9.163.233
Posted on Thursday, July 13, 2006 - 12:02 pm:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

Michigan real estate taxes 101:

The "value" of the home you posted is the State Equalized value. It is set at 50% of the homes true market value. Therefore the House Valued at $160,000 actually cost the purchaser $320,000.

In Detroit the millage rate for a homesteaded home is 68 mills. Homesteaded means it is your primary residence. If it's not your primary residence it is 72 mills. To get your tax bill you take the SEV divide it by 1000 and multiply it times the number of mills.

The millage rates can very greatly from one community to another. I own a home in northern Monroe county, thirty minutes from downtown. It's millage rate while it was homesteaded was 38 mills.

I own 2 homes, one in Detroit with an SEV of $101,000 and the home in Monroe with an SEV of $98,000. They both cost about the same each year in taxes. Why? My Detroit home is NEZed, I only pay 56% of the true tax rate. If my home in Detroit wasn't NEZed, The taxes on it would cost me 45% more than the house I own in Monroe even though they are roughly equivalent in value.

Sterling Heights mill rates are 29.7895 if you are in the Utica school district and 36.1822 if you have Warren consolidated school district.

So taxes for an equivalent valued home are at least 50% less in Sterling Heights than Detroit.
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Jfried
Member
Username: Jfried

Post Number: 863
Registered: 11-2003
Posted From: 209.131.7.190
Posted on Thursday, July 13, 2006 - 12:17 pm:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

non homestead in detroit is more like 85 mills. 68 homestead + school operating 17 mills (approximately).
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Ndavies
Member
Username: Ndavies

Post Number: 1996
Registered: 10-2003
Posted From: 129.9.163.233
Posted on Thursday, July 13, 2006 - 12:19 pm:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

You're right Jfried, Some days I just can't add. :-)
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Ilovedetroit
Member
Username: Ilovedetroit

Post Number: 2378
Registered: 02-2005
Posted From: 69.246.54.234
Posted on Thursday, July 13, 2006 - 5:04 pm:   Edit PostDelete Post   Move Post (Moderator/Admin Only)

Magnasco - I think it is more like 3 blocks from GP and a smaller house :-)

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