Understanding Arizonas Property Tax System

Arizona has one of the more complex property tax systems in the country, but understanding it can save you thousands. Here is what homeowners and buyers need to know:\n\nTWO VALUES: Arizona assesses property at two values — Full Cash Value (FCV) and Limited Property Value (LPV). Your primary residence taxes are based on the LPV, which can only increase by 5% annually. This is a significant benefit for long-term homeowners.\n\nTAX RATES: The average effective property tax rate in Maricopa County is approximately 0.62% of the home value. On a $400,000 home, expect roughly $2,480/year in property taxes.\n\nHOMEOWNER EXEMPTIONS: Primary residents get a significant tax break compared to investors. Make sure to file your primary residence exemption with the county assessor.\n\nAPPEAL PROCESS: If you believe your assessment is too high, you can appeal. The deadline is typically April 15 for residential properties. I can connect you with resources to help.