# What Will a First-Time Buyer Actually Pay in Medford Property Taxes?
What are the key takeaways?
•The residential rate is a formula, not your bill. Medford's Fiscal Year 2026 residential tax rate is $8.63 per $1,000 of assessed value. Multiply it out before you offer — don't guess.
•The real number: the reported 2026 average residential bill rose $344, or 4.9%, over 2025. A small Community Preservation Act (CPA) surcharge sits on top.
•The bottom line: every $100,000 of assessed value adds roughly $863 a year. Run that math on any listing, add the CPA surcharge, then subtract any exemptions you qualify for.
•Watch assessed value, not just the rate. A low rate does not freeze your bill; rising assessments have pushed the average bill up steadily since 2020.
What is the one Medford tax number buyers often misunderstand?
You're scrolling listings, weighing Medford against Cambridge and Somerville, and one small number on the tax line catches your eye. It looks simple. It isn't the whole story.
Medford's Fiscal Year 2026 residential tax rate is $8.63 per $1,000 of assessed value — a formula, not your final bill.
The reported 2026 average residential bill rose $344, or 4.9%, over 2025.
Medford FY26 Property Tax Snapshot
Headline Medford property-tax figures combining the city assessor’s FY26 rates with the reported 2026 average residential bill increase.
FY26 tax rate
Residential$8.63
Commercial / Industrial / Personal Property$16.68
Reported 2026 average bill impact
Avg. Tax Bill Increase$344
Percent Increase (over 2025)4.9%
Your true monthly cost hinges on the exact parcel you buy.
Why is Medford's rate low, and why can your bill still rise?
Medford keeps its residential rate down by shifting more of the tax burden onto business properties. This is called a classification shift: the city taxes commercial properties at a higher rate so homeowners pay less.
For FY2026, Medford set the residential rate at $8.63. The commercial, industrial, and personal property rate landed at $16.68 — nearly double.
Medford FY26 Tax Rates by Property Class
Comparison of Medford’s Fiscal Year 2026 tax rates per property class as published by the assessor.
| Series | Label | Value |
|---|---|---|
| FY26 tax rate | Residential | $8.63 |
| FY26 tax rate | Commercial / Industrial / Personal Property | $16.68 |
Chief Assessor Jared Yagjian put it plainly to the City Council: "We shift to the maximum that we can, which then gives us the lowest minimum factor for the residential class." Translation: the city pushes as much tax as the law allows onto businesses so homeowners carry the smallest share.
Here's what first-time buyers need to hear clearly: a low rate doesn't freeze your bill. Your bill tracks assessed value, and Medford's assessed values have been climbing. The average tax bill rose from $5,646 in 2020 to $7,083 in 2025.
Medford Average Tax Bill Trend, 2020–2025
Time-series view of reported Medford average tax bills from 2020 through 2025.
| Series | Label | Value |
|---|---|---|
| Avg. Tax Bill | 2020 | $5,646 |
| Avg. Tax Bill | 2021 | $5,768 |
| Avg. Tax Bill | 2022 | $5,903 |
| Avg. Tax Bill | 2023 | $6,215 |
| Avg. Tax Bill | 2024 | $6,551 |
| Avg. Tax Bill | 2025 | $7,083 |
That increase follows home values, not the rate. The reported average home value went from $615,010 in 2020 to $804,888 in 2025.
Medford Average Home Value Trend, 2020–2025
Time-series view of reported average Medford home values from 2020 through 2025.
| Series | Label | Value |
|---|---|---|
| Avg. home | 2020 | $615,010 |
| Avg. home | 2021 | $612,965 |
| Avg. home | 2022 | $654,409 |
| Avg. home | 2023 | $718,458 |
| Avg. home | 2024 | $768,849 |
| Avg. home | 2025 | $804,888 |
A low rate doesn't mean a flat bill — it means each dollar of assessed value costs less than it would in a higher-rate city.
Assessments typically reflect sales from 12 to 18 months earlier. Any gap between a home's assessed value and its market price is temporary — it closes at the next reassessment. So if you buy in 2026, model your future bill using market value times the rate, not just the current tax line.
Officials are studying a possible residential exemption for owner-occupants down the road. Nothing's settled yet, so plan around the current rules and confirm the latest status with your agent.
How do you calculate the actual tax on a Medford listing?
Use this formula:
Annual tax = assessed value ÷ 1,000 × $8.63
The shortcut is even simpler: every $100,000 of assessed value adds about $863 per year, since $100,000 ÷ 1,000 × $8.63 = $863.
Take a home assessed at the 2025 average of $804,888 — the base tax runs about $6,946 per year ($804,888 ÷ 1,000 × $8.63), before the CPA surcharge and before any exemptions.
Here's the common mistake: buyers anchor to the list price. Medford taxes assessed value, not the asking price, and that assessed value may sit lower than market value today — or reflect exemptions already applied.
Don't rely only on the MLS tax line. Confirm the number on the assessor card. This is where I earn my keep: I pull the assessor card and run the number with you before you write the offer, not after you close. You can also call the Assessor's Office directly at 781-393-2435.
What is the CPA surcharge, and how much should you budget?
The Community Preservation Act surcharge adds a small extra charge on top of your base property tax, funding open space, affordable housing, and historic preservation.
According to the Medford Community Preservation Committee, Medford's surcharge sits at 1.5%, with the first $100,000 of value exempt.
In practice, this is usually modest. Medford's estimated annual CPA surcharge runs $35 at a $300,000 assessed value, $53 at $400,000, and $70 at $500,000.
Medford Estimated Annual CPA Surcharge by Assessed Value
Estimated annual CPA surcharge examples for Medford single-family assessed values, reflecting the published calculation method.
| Series | Label | Value |
|---|---|---|
| Approximate Annual Surcharge | Assessed Value $300,000 | $35 |
| Approximate Annual Surcharge | Assessed Value $400,000 | $53 |
| Approximate Annual Surcharge | Assessed Value $500,000 | $70 |
Still, confirm the exact figure before closing.
For comparison, Somerville's CPA surcharge is 3%, according to the Fyts Somerville due diligence guide — double Medford's rate. That's one line item among many; a full comparison would also weigh each city's base rate and home values. Still, worth noting for a cost-conscious buyer.
Which Medford tax exemptions could lower your bill?
Several exemptions may reduce your Medford property tax bill if you qualify. Medford's Assessor's Office lists exemptions for:
•Disabled veterans, clause 22
•Low-income seniors, clause 41C
•Legally blind residents, clause 37
•Surviving spouses, clause 17D
•Senior deferral, clause 41A
Timing matters here. Per the Assessor's Office, exemptions apply to the January and April bills, not the July and October bills. Applications open near the start of the fiscal year.
Medford Exemption Timing: Ownership Date and Affected Bills
Key Medford assessor timing rules for exemption eligibility and which bills receive the exemption.
| Category | Exemption timing |
|---|---|
| Ownership date to qualify for exemption | July 1, 2026 |
| Bills that receive the exemption | January and April |
| Bills that do not get the exemption | July and October |
Confirm the current qualifying date and application deadline with the Assessor's Office. If you qualify, don't save this for later — it can shift your real carrying cost.
What are the strongest arguments against buying based on Medford's low rate?
"The low rate won't protect me if assessments keep jumping."
Correct — that's the key risk. The rate is only half the equation; assessed value is the other half.
The average bill rose from $5,646 in 2020 to $7,083 in 2025 as assessed values climbed from $615,010 to $804,888. Since assessments lag the market by 12 to 18 months, model future bills with room to grow.
"Proposition 2½ means my bill can't rise much."
Not exactly — and here's the honest concession. Proposition 2½ limits how much the city's total tax levy (the whole city's total property tax collection) can grow. It doesn't cap your individual bill.
If your specific home gets reassessed upward faster than the city average, your bill can climb by more than 2.5%. The reported 4.9% average increase into 2026 shows that even the citywide average already exceeds that cap — and any single parcel can exceed the average. Treat Prop 2½ as a limit on the city, not on you.
What should you do before making an offer in Medford?
Run this playbook before you write:
•Know the rate: $8.63 per $1,000 of assessed value.
•Run the shortcut: about $863 per $100,000 of assessed value.
•Add the CPA surcharge: modest, but still part of your monthly cost.
•Check exemptions: file on time if you qualify.
•Verify the assessor card: don't rely only on the listing.
•Watch the appeal deadline: if the assessment looks too high after purchase, confirm the current appeal deadline with the Assessor's Office.
Medford's rate runs lower than many neighbors', but the only number that matters is the one tied to the specific property you want to buy.
If you're considering a Medford listing, send me the address. I'll help you pull the assessor card, estimate the tax and CPA surcharge, check exemption angles, and get a clear read on what that home will likely cost month by month before you commit.
