21842 Property Tax Rate

Property owners in ZIP code 21842 (Ocean City, Maryland) pay a median of $3,560/year in property taxes on homes valued at $415,900. This translates to an effective tax rate of 0.86%, which is 11% below the Maryland state average of 0.96%.

The monthly property tax burden for a median-valued home in 21842 is approximately $297, which factors into escrow payments on mortgages. This ZIP code is located within Worcester County. This is $414 less than the Maryland average of $3,974/year.

Compared to similar ZIP codes in Maryland, 21842 has lower property taxes. ZIP codes with similar effective rates include 20664 (0.86%) and 20905 (0.86%).

In Ocean City, property taxes represent approximately 4.7% of the median household income of $75,372, providing context for the relative tax burden on homeowners in this area.

Maryland's Homestead Tax Credit limits annual assessment increases to 10% on primary residences, shielding you from market-driven spikes in Worcester County. Register your homestead exemption with the Worcester County Assessor within 30 days of purchase to ensure the cap takes effect immediately. Contact the Worcester County Assessor's office to obtain the homestead application and verify your assessment base value before the 30-day deadline expires.