Pelham, Shelby County, Alabama Property Taxes
Median Pelham, AL effective property tax rate: 0.56%, significantly lower than the national median of 1.02%, but higher than the Alabama state median of 0.47%.
Median Pelham, AL home value: $231,545
Median annual Pelham, AL tax bill: $1,328, $1,072 lower than the national median property tax bill of $2,400.
How are property taxes in Shelby County calculated?
Property taxes in Pelham, Alabama are calculated based on the tax assessed value, which is often lower than the actual market value due to property tax exemptions such as the homestead or senior exemption.
Understanding Pelham’s property tax system, exemptions, and reduction opportunities can lead to significant savings. Regardless of where you live in Pelham, knowing local tax details benefits homeowners and investors.
Last Updated March 1, 2025
Pelham, Shelby County, Alabama Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Median Effective Tax Rate
0.56%
Estimate Property Tax Bill
$1,297
$1,203
Property Tax Rates Across Pelham, Shelby County, Alabama
Local government entities are responsible for setting tax rates, which can vary significantly within Alabama. Each county annually estimates its required budget to provide essential services and divides this by the total value of all taxable property within its jurisdiction. This calculation results in the property tax rate. While votes and laws play a role in setting tax rates and budgets, this process is essentially how it unfolds each year.
In Pelham, located in Shelby County, the effective property tax rate reflects the county's specific budgetary needs and property values. Shelby County's tax rate is notably lower than the national median property tax rate of 1.02%. This lower rate can be advantageous for property owners, potentially resulting in lower property tax bills compared to the national median of $2,400.
Comparing Pelham’s property tax rate to other cities in Alabama and the median rates in the state and the U.S. can provide valuable insights for homeowners and prospective buyers. Understanding these differences can help in making informed decisions about property investments and financial planning.
Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.
Median Effective Pelham Tax Rate
0.56%
Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.
Median Effective Shelby County Tax Rate
0.48%
Median Effective Alabama Tax Rate
0.47%
Median Effective United States Tax Rate
1.02%
Property Tax Rates Across Pelham, Shelby County, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35124 | 0.34% | 0.55% | 0.56% | 0.57% | 1.16% |
Source: Ownwell
Property Tax Assessment Values Across Pelham, Shelby County, Alabama
When examining property taxes in Pelham, Alabama, understanding the distinction between "market value" and "assessed value" is crucial. The market value is what a willing buyer would pay to a willing seller in an open and competitive market, often influenced by location, property condition, and economic market trends. The Shelby County Appraisal District estimates the market value for tax purposes. The assessed value is the market value minus any applicable exemptions or limits determined by local laws and offerings. The tax assessed value is the figure used to calculate your property taxes or the amount multiplied by your tax rate to get your tax bill.
In Shelby County, assessment notices are sent in the spring each year. They’ll typically reach your mailbox by the middle of March. Each property owner receives an assessment notice that contains both the market value and assessed value, along with an estimate of your property tax bill. By providing insights into how assessed and market values are determined, this section helps property owners navigate their tax responsibilities and understand the valuation processes affecting their property taxes in Pelham.
For example, the median home price in Pelham is $231,545, with tax bills ranging significantly across the county. Zip code 35124 has the highest median home price at $231,545.
Property Tax Assessment Values Across Pelham, Shelby County, Alabama
Source: Ownwell
$175,500
$572,468
$969,435
Median Pelham Market Value
$231,545
Median Shelby County Market Value
$249,060
Median Alabama Market Value
$149,600
Median United States Market Value
$235,294
Property Tax Assessment Values Across Pelham, Shelby County, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35124 | $141,630 | $179,300 | $231,545 | $326,600 | $450,140 |
Source: Ownwell
Property Tax Bills Across Pelham, Shelby County, Alabama
In Pelham, Shelby County, Alabama, property tax bills are calculated based on the assessed value of a home, which is a percentage of its market value. Shelby County's property taxes are relatively low compared to the national median tax bill of $2,400. The median property tax bill in Pelham is $1,328, with bills ranging from $942 at the 25th percentile to $2,554 at the 90th percentile. This means that while some homeowners experience lower tax bills, others may face higher costs depending on their property's assessed value and local tax rates.
The impact on homeowners can vary significantly, as property taxes are a substantial component of homeownership costs. However, Ownwell can assist homeowners in Pelham by reviewing their property assessments and identifying opportunities for appeals or exemptions. By leveraging expert knowledge and experience, Ownwell aims to reduce property tax burdens, ensuring homeowners pay only their fair share. This service can lead to significant savings, making homeownership more affordable and manageable in the long run.
Median Pelham Tax Bill
$1,328
Median Shelby County Tax Bill
$1,229
Median Alabama Tax Bill
$717
Median United States Tax Bill
$2,400
Property Tax Bills Across Pelham, Shelby County, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35124 | $216 | $942 | $1,328 | $1,921 | $2,554 |
Source: Ownwell