Property Taxes in Ohio
Understanding Ohio property taxes is important to being a successful homeowner or landlord. Knowing their ins and outs and staying on top of any changes can set you up for success by properly planning around them.
Even though local governments use these to pay for infrastructure and schools, property taxes can burden investors. However, factoring in the cost of property taxes each year can help you plan for the future and avoid any shortfalls.
In this guide, we’ll explore Ohio property tax, how counties calculate it, what they use it for, and how you can minimize its impact on your bottom line.
Ohio Lease Agreement
Learn MoreTurboTenant's Ohio lease agreement forms the backbone of a solid landlord-tenant relationship.
Ohio Rental Application
Learn MoreTurboTenant's customizable online rental application platform simplifies the rental process for Ohio landlords, ensuring compliance with state laws while offering features such as tenant screening, online payments, and real-time notifications.
Calculating Property Taxes in Ohio
Property taxes in Ohio are based on the assessed property value, and local governments tax 35% of that value. However, the final total that landlords and homeowners pay depends on each county’s tax rate.
Property tax calculation: The calculation for property tax in Ohio takes the assessed value (35% of the appraised value) and multiplies it by the county’s effective tax rate.
Property tax = Assessed value x tax rate
Three types of levies against a property dictate the tax rate. It varies based on the county’s rules and is calculated in mills ($1 of tax for every $1,000 of assessed value), plus additional levies each county sets. Check with your county to understand the specific levies enacted to understand your tax rate.
New and recent laws: Ohio recently passed a law limiting the amount of property taxes the county can collect when the market value of a home dramatically increases. Now, the Tax Commissioner will need to weigh the previous 3 years of property values rather than just the preceding year when deciding on the appraised value.
Ultimately, this law prevents homeowners from paying exorbitant property taxes after a sharp increase in value. Several other pieces of legislation are moving through the state to reduce the tax burden on homeowners.
National comparison: Ohio’s average property tax is on the higher side. It’s nearly in the top 10 most expensive in the country.
County/Municipality-Specific Rates
As a big state, county-to-county tax rates can be dramatic. Let’s take a look.
Cuyahoga County: Cuyahoga County is among the highest in the state, with an average property tax rate of around 2.18%.
Geauga County: The county sets its property tax rate at around 1.52%.
Noble County: As one of the smallest counties in the state, Noble’s average rate hovers around 0.83%
Union County: Union County is also above the national average, with an average property tax rate of around 1.44%.
Reassessments and Increases
Reassessment frequency: County auditors assess a property’s value every 6 years but update it every 3 years to accurately reflect market value. Every county in Ohio does not assess value in the same year; instead, one-third of the counties reappraise or update each year. Counties do not automatically reassess them when a property sells or a title transfers.
Renovations and improvements: Renovations and improvements can add to the property value of a home. Once the county assessors get a look at the building permits (or during a visual inspection), they can assess the home’s value, leading to a higher tax bill due to the improvements.
Reassessment impact: Because property tax assessments only happen every 6 years (and are updated every 3 years), the only unknown is the tax rate from year to year, which can impact how much you owe. Be mindful of renovations or improvements to stay on top of your tax burden.
Property Tax Deductions
Tax deductions: Generally, landlords can deduct up to $10,000 in property tax (or $5,000 if married filing separately). Combining this with other rental property tax deductions can significantly impact your bottom line.
Forms: All relevant rental property deductions are compiled on Schedule E when you file your yearly income taxes.
How Often You Pay Taxes
Payment frequency: In Ohio, property taxes are generally split into two payments, often referred to as first-half and second-half collections. While the exact dates differ based on county, most counties will collect a payment around January / February and then again in June or July.
Due dates: Most Ohio property owners will receive their property tax bills in January and again in June. Payment is expected within 30 days of receiving the notice.
Late payments: The homeowner incurs a 5% or 10% penalty and monthly interest charges for late payments.
How to pay: There are a number of ways to pay property tax bills in Ohio, including through an online portal by e-check, credit or debit card, by phone, mail, or in person at the county’s tax assessor’s office.
What do property taxes pay for in Ohio?
Now that we’ve learned all about Ohio property tax, what do they actually pay for? Property taxes in Ohio stay in the local communities and do not flow into the state system.
Education: Roughly two-thirds of property taxes go towards education, with the remainder divided up between other county services. The funds go towards teacher and staff salaries, classroom supplies, building maintenance, and new school construction, among other areas.
Public safety: Ohio property taxes also fund police and fire department operations, emergency medical services, and other county emergency management systems.
Infrastructure: Counties may use property taxes for road and bridge maintenance, traffic signal upgrades, and other public transit initiatives.
Government services: Property taxes partially fund libraries, public parks, zoos, cultural facilities, county health departments, and solid waste removal.
Resources and Contacts
Ohio Property Tax FAQs
Does Ohio have property tax?
While there is no standard Ohio property tax, each county throughout the state collects its own.
How much is property tax in Ohio?
On average, Ohio’s property tax is among the highest in the country, with the average homeowner paying around $2,700.
When are property taxes due in Ohio?
Property taxes in Ohio are typically due twice a year — once in January / February, and once in June / July.
What is the property tax rate in Ohio?
Ohio’s average property tax rate is around 1.43% as of 2024.
