What actually sets Iowa apart
The rollback is the single most confusing thing about an Iowa bill. Your assessment notice will show a market value far above the value the tax is calculated on, so reading the assessed figure as your tax base overstates the bill substantially.
Property taxes in Iowa at a glance
- Average effective tax rate: 1.43% of home value per year
- Median home value: $195,900
- Estimated tax on a median-value home: $2,795 per year (about $233 per month)
- Rank by tax rate: 10th of 50, highest first
- Rank by amount actually paid: 20th of 50, highest first
- Where these figures come from: U.S. Census Bureau, American Community Survey 5-year estimates, for the Iowa statewide averages shown above — ACS 2019-2023 5-year estimates, last reviewed September 2026.
Why the Iowa rate overstates the bill
Iowa ranks 10th of the fifty on rate but only 20th on the bill itself — 10 places lower. The percentage reads worse than the cheque does, because it is applied to a median home value of $195,900.
California is the mirror image: a rate of 0.71%, well under the 1.43% charged here, and a median bill near $4,926 — about $2,131 more a year than an Iowa owner pays.
How Iowa works out what you owe
Assessors value property at market value in odd-numbered years, then a statewide rollback is applied that limits how much of that value is actually taxable.
The rollback holds statewide growth in taxable residential value to a statutory limit, so taxable value routinely rises far more slowly than market value.
Exemptions Iowa homeowners should claim
Each of these reduces an Iowa bill every year you hold the property, and almost none are granted without a claim:
- Homestead credit and exemption: A credit against the bill on an owner-occupied residence, with an additional exemption of assessed value for owners aged 65 or older.
- Military service exemption: A reduction in taxable value for qualifying veterans, claimed once with the assessor.
Where you buy inside Iowa changes the bill
A statewide average hides its extremes. Where they show up in Iowa:
- Polk County: Des Moines and its suburbs, the largest and most actively traded market in the state
- Linn County: Cedar Rapids, where post-derecho rebuilding reshaped a large part of the roll
- Scott County: Davenport and the Quad Cities, where buyers routinely compare bills across the Illinois line
Iowa and its neighbours
The same $195,900 — the Iowa median — taxed at each neighbouring state's average rate:
- Minnesota at 1.04%: about $2,037 a year, roughly $758 less than the $2,795 an Iowa owner would pay on the same value.
- Wisconsin at 1.51%: about $2,958 a year, roughly $163 more than the $2,795 an Iowa owner would pay on the same value.
- Illinois at 2.07%: about $4,055 a year, roughly $1,260 more than the $2,795 an Iowa owner would pay on the same value.
- Missouri at 0.88%: about $1,724 a year, roughly $1,071 less than the $2,795 an Iowa owner would pay on the same value.
- Nebraska at 1.5%: about $2,939 a year, roughly $144 more than the $2,795 an Iowa owner would pay on the same value.
- South Dakota at 1.09%: about $2,135 a year, roughly $660 less than the $2,795 an Iowa owner would pay on the same value.
Appealing an Iowa assessment
If the assessed value on your Iowa home overstates what it is worth, the route is an appeal to the county Board of Review, then the Property Assessment Appeal Board. The window is protests are accepted from the start of April through the end of the month, and it is strict — missing it means waiting a full cycle.
Frequently asked questions
When are Iowa property taxes due, and when must exemption claims be filed?
The fiscal year begins in July, with instalments due 30 September and 31 March. Claims are filed with the city or county assessor, generally by 1 July for that assessment year.
Does this calculator use my exact Iowa county tax rate?
No — it applies the Iowa statewide average of 1.43%. Rates are set locally, and the spread inside Iowa is wide enough to matter: on a $195,900 home, $871 a year separates Iowa from an averagely taxed state before any county variation is counted. Check the parcel's own rate with its Iowa county before relying on this figure.
Reference sources
Related calculators
How this estimate is built
Principal and interest come from the standard amortization formula, worked through in full on the formula reference page. Property tax, insurance, PMI and loan-program figures layer on top from published assumptions — each one sourced, dated and listed on the methodology page. Every result here is an estimate built from public data, not a quote: confirm the specifics with a lender before relying on it.
For developers
This calculation is also available as a REST API and through an MCP server, both running the same engine as this page — so the figures match by construction rather than by convention. No key required.