Property taxes are one of the major financial obligations that come with owning a home in Pittsburgh.
In case you’re not aware, property taxes are a compulsory levy that is collected from homeowners yearly to fund essential local services and infrastructure we all depend on, such as public schools, emergency services (police, EMS, fire), libraries, parks, road maintenance, and public transportation.
Despite their significance, many existing and prospective homeowners don’t understand how property taxes work and are often confused about how much they’ll actually pay each year.
In this guide, we’ll break down everything you need to know about Pittsburgh’s property taxes, including who collects them, how they’re calculated, and ways to save.
How Are Pittsburgh Property Tax Rates Set?
Three entities collect property taxes from Pittsburgh homeowners: Allegheny County, the City of Pittsburgh, and the School District.
Each entity determines its tax rate, popularly known as a “mill rate,” which is the amount of tax paid per $1,000 of assessed property value. These rates add up to your total tax bill.
Generally, one mill is equal to $1 in property tax for every $1,000 in assessed value. For example, if a county has a mill rate of 6, you’ll pay $6 per $1,000 of the assessed value of your home.
The Allegheny County Council sets the Allegheny County mill rate, while the local school board and municipality establish the tax millages for the School District and the City of Pittsburgh, respectively.
Property tax rates are subject to fluctuation based on political decisions and the annual budget requirements of each taxing body. However, referendums are usually needed to get popular approval for large increases.
For example, to prevent an impending fiscal catastrophe, the Allegheny County Council has proposed raising the county’s millage rate by nearly 50% starting in 2025. If the proposal is passed it will result in higher property taxes for Pittsburgh residents next year.
County tax rates are often lower than those of school districts and municipalities. Here’s a quick summary of the 2024 Pittsburgh mill rates:
- Allegheny County: 4.73 mills ($4.73 per $1,000 of assessed value)
- City of Pittsburgh: 8.06 mills ($8.06 per $1,000 of assessed value)
- Pittsburgh School District: 10.25 mills ($10.25 per $1,000 of assessed value)
Combined, these create a total mill rate of 23.04 mills or $23.04 for every $1,000 of assessed value.
Your annual property tax is calculated by multiplying each mill rate by the assessed value of your house and then adding the results to work out how much you’ll pay in property taxes.
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Assessed Value vs. Market Value: An Important Distinction
Please be aware that your home’s assessed value and market value are not the same.
Market value is the fair price that your home would fetch in the current real estate market, frequently influenced by the property’s condition, demand for houses in the neighborhood, recent sales, and the time of year.
The assessed value is the estimated value of your home decided by the Allegheny County Assessor’s Office for tax purposes, typically a percentage of its market value.
A team of assessors evaluate the Pittsburgh home values each year; they often certify individual property assessments in January before sending you the tax bill in February. Because they can’t visit every house in the county yearly, these assessors normally employ comparables—the price at which homes similar to yours sold last year—to calculate the worth of your house.
They’ll take into account the location of your house, how many bathrooms and bedrooms it has, and any extra features it may have, like a pool or fenced-in yard. Additions to your home, such as a newly constructed guest wing or outdoor deck, will also be included in the property tax assessment that you get.
Assessed values are often 60–70% of the market value.
Example: Calculating Property Taxes for a Pittsburgh Home
Let’s say the assessed value of your home is $180,000. With the above-discussed 2024 mill rates, your tax breakdown would be as follows:
- Allegheny County Tax: 4.73 mills x $180,000 = $851.40
- City of Pittsburgh Tax: 8.06 mills x $180,000 = $1,450.80
- School District Tax: 10.25 mills x $180,000 = $1,845.00
Adding these up, the total amount owed for property taxes would be $4,147.20.
Several local programs and strategies can help you lower your property tax burden, including:
- Homestead Exemption. If your house serves as your primary residence, you may qualify for homestead exemption, which could reduce the taxable value of your property by up to $18,000. You can apply for the homestead exemption through Allegheny County.
- Senior Citizen Tax Relief Program. This property tax relief offers a flat 30% savings on Allegheny County home taxes to those who are over 60, have resided in their home for at least ten years, and have a gross household income under $30,000
- Appealing Your Assessment. If you believe your property’s assessed value is inaccurate or overestimated, you can file an appeal with Allegheny County to request a reassessment.
The best way to execute this strategy is with expert help — such as from a tax or real estate specialist who can demonstrate that your property has been overpriced. If your appeal is successful, your assessed value may be lowered, minimizing your tax liability.
Pay your taxes early to enjoy a 2% discount on the total annual property taxes due.
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With over a decade of experience buying and selling 750+ homes in Pittsburgh, we can help homeowners navigate property tax rate questions and save on taxes following a home sale.
