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Updated 2025 Tax Year

Iron County
Property Tax Guide

Everything you need to know about property taxes in Iron County, MI. Rates, due dates, exemptions, and how it affects your monthly payment.

9 Official Sources
8 min read
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Quick Facts
Tax Rate
Approximately 1% of assessed value (varies by district due to school districts, fire districts, and municipal authorities)
Exemptions
5+ Available
Section 1

How Property Tax Works

Iron County, Michigan utilizes property taxes as a primary funding source for essential local services including schools, county operations, road maintenance, and emergency services. Property owners in Iron County can expect effective tax rates that typically range around 1% of assessed value, though actual rates vary significantly based on your specific location within the county due to various special taxing districts such as school districts, fire districts, and local municipal authorities.

The county operates on a calendar year tax cycle, with assessments based on market value as of December 31st of the previous year. Your property tax bill reflects levies from multiple jurisdictions - the county, your local municipality or township, school district, and any applicable special assessment districts. Iron County's rural nature means that tax rates can vary considerably between different townships and special districts within the county boundaries.

Section 2

What Makes Up Your Tax Bill

ComponentEstimated Rate (mills)Description
County Operating4.5-6.0General county services, administration
School District18-24Local school operations (varies by district)
Township/Municipal1-3Local government services
Library District0.5-1.5Public library services (where applicable)
Fire Protection1-2Emergency fire services
Special AssessmentsVariesRoad improvements, drainage, etc.

Note: These rates apply to the 2025 tax year and are expressed in mills (per $1,000 of taxable value). Actual rates vary significantly by location within Iron County due to different combinations of special taxing districts. Contact the Iron County Treasurer's office for your specific district's current rates.

Section 3

When Are Property Taxes Due?

For the 2025/2026 tax year in Iron County, property taxes are due in two installments:

Pro tip: If you pay through mortgage escrow, your lender splits these payments across your monthly mortgage. If you pay directly, set calendar reminders to avoid late penalties.
Section 4

Supplemental Tax Bills

Supplemental taxes in Iron County are triggered by changes in property ownership, new construction, or significant improvements that occur after the annual assessment date of December 31st. When you purchase property or complete new construction, the assessor may issue a supplemental assessment to capture the change in taxable value for the remaining portion of the tax year.

The supplemental tax is calculated by determining the difference between the new assessed value and the previous assessed value, then applying the current tax rate to that difference, prorated for the remaining months in the tax year. For example, if you purchase a home in June that results in a $50,000 increase in taxable value, and your total tax rate is 30 mills, you would owe approximately $750 ($50,000 × 0.030 × 6/12 months) in supplemental taxes for the remainder of that tax year.

Example Calculation

Example 1: $300,000 Home with Homestead Credit

  • Market Value: $300,000
  • Assessed Value (50%): $150,000
  • Homestead Credit Applied: Caps annual assessment increases
  • Taxable Value: $150,000
  • Tax Rate (30 mills): $4,500 annually / $375 monthly

Example 2: $600,000 Home with Homestead Credit

  • Market Value: $600,000
  • Assessed Value (50%): $300,000
  • Homestead Credit Applied: Caps annual assessment increases
  • Taxable Value: $300,000
  • Tax Rate (30 mills): $9,000 annually / $750 monthly

Example 3: $1,000,000 Property (No Homestead)

  • Market Value: $1,000,000
  • Assessed Value (50%): $500,000
  • No Homestead Credit: Full assessment increases allowed
  • Taxable Value: $500,000
  • Tax Rate (30 mills): $15,000 annually / $1,250 monthly

Note: Homestead credits require annual application and limit assessment increases rather than reducing the tax rate. Actual rates vary by specific taxing districts.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Iron County require property tax escrow accounts for borrowers with less than 20% down payment. Your lender collects monthly tax payments along with your mortgage payment and holds these funds in an escrow account. The lender typically pays your property taxes directly to Iron County when they become due in December.

Lenders are required to conduct annual escrow analyses to ensure adequate funds are collected. If property taxes increase, your monthly escrow payment may increase accordingly. You can verify your tax amounts by checking with the Iron County Treasurer's office or accessing their online payment portal. If you pay taxes independently without escrow, you're responsible for ensuring timely payment to avoid penalties and potential tax lien proceedings.

How HonestCasa Helps
  • Understand whether your escrow is set correctly
  • See how rising taxes will change your monthly payment
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Section 6

Frequently Asked Questions

Q: When are Iron County property taxes due? A: Property taxes for the 2025 tax year are due December 1, 2025, with a 1% penalty applied for late payments.

Q: What tax credits are available and do I need to apply? A: The primary credit is the Homestead Property Tax Credit, which caps annual assessment increases. This requires an annual application filed with your local assessor. Additional credits may be available for disabled veterans, seniors, or qualified forest property - all requiring separate applications.

Q: How does the Homestead Credit work? A: The Homestead Credit doesn't reduce your tax rate but limits how much your property's taxable value can increase annually (typically capped at inflation rate or 5%, whichever is less). You must file an application to receive this benefit.

Q: When are properties assessed and how can I appeal? A: Assessments are conducted annually based on December 31st market values. Appeal deadlines and procedures are established by your local township or city assessor, typically in March following assessment notices.

Q: What are the penalties for late payment? A: A 1% penalty is applied immediately after the December 1st due date, with additional penalties and interest accruing monthly thereafter.

Q: Can I pay property taxes online? A: Yes, Iron County offers online payment options through their treasurer's website. Payment methods typically include bank transfers and credit cards (fees may apply).

Q: Why do tax rates vary within Iron County? A: Different combinations of school districts, fire districts, library districts, and special assessment zones create varying total tax rates depending on your property's specific location.

Q: What happens if I don't pay my property taxes? A: Unpaid taxes result in penalties, interest, and eventually tax lien proceedings. Properties with delinquent taxes may ultimately face foreclosure proceedings through the county treasurer's office.

Verified Sources

Backed by 9 Official Government Sources

Every fact in this guide is sourced from official county, state, and federal documents.

01
Treasurerironcountyut.gov
02
Tax Doc
2025 Ad Valorem Property Tax Reportmichigan.gov
03
County
Iron Countyironcountyut.gov
04
Frequently Asked Questions - CivicPlus.CMS.FAQironmountainmi.gov
05
Billing Rules & Regulationsironmountainmi.gov
06
Tax Doc
the general property tax act (excerpt)legislature.mi.gov
07
State
MCL - 206-1893-REAL-ESTATE-EXEMPTIONS.legislature.mi.gov
08
Principal Residence Exemptionironmountainmi.gov
09
Tax Doc
THE GENERAL PROPERTY TAX ACT Act 206 of 1893 AN ...legislature.mi.gov
All sources verified as of 2025 Tax Year

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