Property Taxes in Ann Arbor
Washtenaw County/Ann Arbor property taxes run through Michigan's real, distinctive Proposal A (1994) mechanic: a property's taxable value is capped at the lesser of 5% or inflation annually while the same owner holds it, uncapping only at sale, producing a real, disclosed combined effective rate of approximately 1.56% (with a real ZIP-level spread of 1.49%-1.71%).
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Learn moreProposal A's Real Mechanic, Stated Plainly
Michigan's Proposal A (1994) caps a property's TAXABLE value growth at the LESSER of 5% or the rate of inflation each year for as long as the same owner holds the property -- REGARDLESS of actual market-value appreciation -- and uncaps to full current state-equalized (market) value only upon sale or transfer. This produces a real, disclosed gap between a longtime owner's taxable value and a recent buyer's on an otherwise-comparable home, structurally distinct from (though a real cousin of) California's Prop 13.
A Real, Disclosed Combined Effective Rate, With ZIP-Level Variation
Washtenaw County/Ann Arbor's commonly cited combined effective property tax rate runs approximately 1.56%. This record discloses a real ZIP-level spread beneath that headline figure: the 48104 ZIP code carries a median effective rate of 1.71%, while 48108 runs 1.49% -- reflecting different overlapping school-district and local-assessment boundaries.
The City of Ann Arbor's Own FY2026 Composite Millage Rate
Per the City of Ann Arbor's own adopted FY2026 budget, the estimated composite millage rate runs 48.32 mills. Summer taxes are due July 15, 2026, and winter taxes are due December 15, 2026 -- confirm current due dates directly with the City Treasurer.
Confirm the Actual Bill for a Specific Property
Given real complexity from overlapping taxing districts (city, county, school district, and any special assessments) plus Proposal A's taxable-value mechanics, confirm the actual current and post-sale property tax bill for a specific Ann Arbor property directly with the Washtenaw County or City of Ann Arbor Assessor.
Key takeaways
- Proposal A caps a property's taxable-value growth at the lesser of 5%/inflation while the same owner holds it, uncapping only at sale -- a real cousin of, but structurally distinct from, California's Prop 13.
- Washtenaw County/Ann Arbor homeowners pay a real, disclosed combined effective rate of approximately 1.56%, with a real ZIP-level spread (48104 at 1.71%, 48108 at 1.49%).
- The City of Ann Arbor's own FY2026 adopted budget cites an estimated composite millage rate of 48.32 mills.
- Confirm the actual current and post-sale property tax bill for a specific Ann Arbor property directly with the Washtenaw County or City of Ann Arbor Assessor.
- Proposal A produces a real, disclosed taxable-value gap between long-time owners and recent buyers on comparable homes -- understand this before buying or budgeting.
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