District Of Columbia vs Michigan
District of Columbia
Property‑Tax Comparison: District of Columbia vs. Michigan
Summary – According to the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates), the District of Columbia (DC) has an effective property‑tax rate of 0.58 %, while Michigan’s rate is 1.28 %. The lower rate in DC results in lower annual taxes for comparable home values, even though median home values differ markedly between the two jurisdictions.
Side‑by‑Side Metrics
| Metric | District of Columbia | Michigan |
|---|---|---|
| Effective property‑tax rate | 0.58 % | 1.28 % |
| Median home value | $724,600 | $217,600 |
| Median annual property tax | $4,180 | $2,795 |
| Annual tax on a $250,000 home | $1,442 | $3,211 |
| Annual tax on a $500,000 home | $2,885 | $6,423 |
| Median household income | $106,287 | $71,149 |
Sources: “According to the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates).”
Which Jurisdiction Has the Lower Tax Burden?
- Winner (lower effective tax rate): District of Columbia
- Rate difference: 1.28 % – 0.58 % = 0.70 % (approximately a 55.09 % lower rate in DC).
- Annual tax difference on a $250k home: $3,211 – $1,442 = $1,769.
- Annual tax difference on a $500k home: $6,423 – $2,885 = $3,538.
Because the effective tax rate in DC is roughly half that of Michigan, property owners in DC pay less tax per dollar of assessed value, even though DC’s median home price is more than three times higher.
Who Might Benefit Most from This Comparison?
| Audience | Relevance of the Comparison |
|---|---|
| Current or prospective homeowners | Understanding how property‑tax rates affect overall housing costs in each market. |
| Retirees | Evaluating tax burden relative to fixed‑income budgets; lower rates can reduce recurring expenses. |
| Real‑estate investors | Comparing tax efficiency of owning comparable‑value properties across jurisdictions. |
| Policy analysts or researchers | Using the data to assess the impact of local tax structures on affordability. |
The analysis is factual and does not constitute financial advice; individuals should consider additional factors such as local services, school quality, and other taxes when making location decisions.
Further Reading
Based on the most recent ACS estimates, the effective property‑tax rate is the primary driver of the differences shown above.
Explore More Comparisons
Discover how property taxes compare across all states in our comprehensive comparison guide.
Data Source
All figures are drawn from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates). This comprehensive dataset provides reliable, standardized property tax information across all states.