Owning real property in Kansas City means you have several responsibilities. One of the biggest ongoing responsibilities is paying property taxes. Property taxes are where the city gets its funding for critical services like schools, fire departments, and police, along with all of the other services that keep the city running.
Knowing how property tax rates are determined, how your tax bill is calculated, and what resources there are to help make the whole process smoother. In this guide, we’ll break down everything Kansas City homeowners need to know about their real estate taxes and how to keep those taxes paid.
Property taxes in Kansas City are paid as personal property taxes and as taxes on real property. The county assessor is in charge of determining the market value for each property and calculating the assessed valuation of tangible personal property and real property. That becomes the foundation for your tax bill.
At that point, local governments apply their individual levy rates. Levy rates apply at a county level and are applied as a percentage to the assessed valuation of the taxable real property. The percentage is set by the school district, city, and county.
The result is your property tax bill, which will vary wildly from one property to the next. If the high taxes of the Kansas City metro area have you looking to sell fast, some options can help you move on quickly.
Property tax rates in Kansas City vary depending on which county you live in, and different jurisdictions (city, county, school district) each contribute to your total tax. We’ve got a list of the effective tax rates for Kansas City residents below.
In Clay County, the median effective property tax rate in Kansas City is about 1.38% of market value. Residential property there is assessed at 19% of market value, per Kansas City policy.
Recent levy data also shows that tax areas within Clay have residential rates (plus surtaxes) in the 6.5-7.5% range when converted to mill rates (rates per $1000 of assessed rates) in many tax districts.
Homeowners in Wyandotte County face a median effective property tax rate of about 1.54%, higher than the state average. Real estate is assessed at 11.5% of market value for tax purposes.
Recent budget changes also added two mills to the levy, so taxes rose by $2 for every $1,000 of assessed value. For a $200,000 home, the annual bill averages around $3,080, before applying exemptions or credits.
In Jackson County, the median effective property tax rate is about 1.56%, one of the higher rates in the Kansas City area. Residential properties are assessed at 19% of market value.
The biggest point of confusion when it comes to calculating property taxes is the difference between the market value and the assessed value.
The market value is the price that your home would likely sell for, under current conditions. This is typically what would be on a property appraisal that you’d get before buying or selling a home.
The assessed valuation, however, is only a percentage of that amount. It’s a figure used specifically to calculate your property tax bill. For landlords in Missouri, these assessments can directly affect your bottom line, so be sure you know your rights when it comes to certain properties used for income.
Missouri law requires that residential properties be reassessed every odd-numbered year. This means the county assessor reviews comps, local trends, and the specifics of your property to determine the assessed valuation. This is then multiplied by the property tax rates for that location to determine the tax amount you’re liable for.
Once your mailing address has been given an assessed valuation, the county then applies levy rates from schools and other services. The total of these rates, a percentage, creates your total tax liability.
For a simple example, we’ll look at a modest home close to downtown Kansas City, MO, but north of the river. Let’s say the market value of this property is a solid $800,000. The state taxes real property at 19% of the entire amount, giving that homeowner an assessed value of $152,000.
If the combined tax rate for their district is 6.7%, that means they have $10,184 in property taxes paid annually.
In some cases, homeowners can qualify for various exemptions. Exemptions lower your assessed valuation, meaning you pay taxes on a smaller amount, and thus, pay less in taxes.
Taxes are also prorated when a home is sold. This means the person selling the home is only responsible for the taxes up to the date of closing. The buyer then assumes the responsibility for the property taxes after closing.
While state law doesn’t provide a statewide homestead exemption, Kansas City homeowners may still benefit from relief programs. Some property owners qualify for senior tax credits or credits designed to prevent displacement when property taxes rise significantly.
Additionally, exemptions may apply to properties held for religious purposes or other specific uses outlined by state law. These exemptions reduce the assessed valuation, lowering the total amount of taxes owed.
Programs vary by county and are subject to change, so homeowners need to review what they qualify for each tax year. Taking advantage of available exemptions can help ease the financial burden and make property tax payments more manageable.
Kansas City property taxes are generally due by the last day of the year, December 31. If a taxpayer doesn’t pay their full property taxes by that day, penalties and interest will start to accrue immediately, starting the day after the failure to pay.
Homeowners can pay their property tax bill in several ways. All counties in the state now offer a way to pay online via e-check and bank card. Payments can also always be made by mail, in person at the county tax office, or even through your mortgage company if your taxes are paid in escrow.
It’s always wise to confirm the payment methods your county accepts and to budget for taxes throughout the year. Staying current helps protect your home from tax liens and other complications.
We briefly talked about proration for property taxes during a home sale. Obviously, property taxes don’t just disappear, but if you’ve already paid them, you won’t want to just give that money away to the buyer as a housewarming gift.
As a seller, you shoulder the burden for the taxes up to and including the closing day. The day following closing is when the buyer’s responsibility kicks in. Their property taxes will be calculated from the closing date to the end of the year.
This proration ensures both parties pay their fair share based on when they owned the property. If you’ve already paid the full year’s bill, you’ll typically receive a credit at closing from the buyer. This can put even more money in your pocket if you’re looking to sell fast for a cash offer.
If you think your property’s assessed value has been overstated, you do have the right to appeal.
Throughout the whole process, you’ll be dealing with deadlines. Pay attention to these, since missing a filing date can mean losing your tax appeal that year.
Staying informed is easier when you know where to look. Kansas City homeowners can access multiple aspects of the county government from the official site:
Now that you’ve gotten a solid understanding of the Kansas City property tax rates, you’re much more well-prepared for bills, deadlines, and, if needed, appeals. If your property taxes are becoming overwhelming, a quick sale may be the best way forward. Huck Homebuyers can get you a fair cash offer and a short timeframe, so you can move on without stress and hassle.
