Taxes & Insurance in Takoma Park

Takoma Park carries a real, above-average 1.72% effective property tax rate, Montgomery County's maximum permitted local piggyback income tax, and the same statewide insurance-cost pressure documented across this dataset -- at a higher absolute dollar cost given the city's elevated home values.

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A property tax rate above national and state averages

Takoma Park's median effective property tax rate (1.72%, Ownwell) runs above both the 1.02% national median and Maryland's own 0.95%-1.04% statewide average, layered onto a real $0.318-per-$100 city rate on top of the resident's home county rate.

Montgomery County's maximum local income tax piggyback rate

Maryland's real, 10-bracket state income tax (2%-6.5%) applies in Takoma Park exactly as it does statewide, and Montgomery County, Takoma Park's primary home county, is one of only three Maryland counties currently levying the maximum 3.2% local piggyback rate on top of it -- a real combined top marginal rate of approximately 8.95%.

Rising statewide insurance costs, at a higher absolute dollar cost

No Takoma Park-specific homeowners-insurance premium figure distinct from Maryland's own statewide figures was found this pass -- Maryland insurance costs are rising statewide (a real, measurable 26.3% increase since 2023), and Takoma Park's genuinely elevated home values mean the real dollar cost of that statewide percentage increase runs higher in absolute terms than in Maryland's more affordable markets.

Key takeaways

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Last reviewed: 2026-08-27. Independent research; not financial, tax, or legal advice -- confirm current figures with a local professional before making a decision.