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Massachusetts Property Tax Guide

Needham MA Property Tax Rate 2026

Needham's FY2026 residential property tax rate is $10.83 per $1,000 of assessed value, with a split commercial rate of $21.09 — nearly double the residential rate. This guide covers the rate table, example bills, how Massachusetts property tax works, and how to appeal an assessment.

Zev Steinmetz

Zev Steinmetz

Partner Agent, Steinmetz Real Estate Professionals · Updated June 2026

What is the Needham property tax rate for 2026?

Needham's FY2026 residential property tax rate is $10.83 per $1,000 of assessed value. The commercial rate is $21.09 per $1,000. The fiscal year runs July 1, 2025 through June 30, 2026. Needham uses a split tax rate, so homeowners pay the lower residential rate while businesses pay the higher commercial rate.

Fiscal YearResidential (per $1,000)Commercial (per $1,000)
FY2026$10.83$21.09

Source: Town of Needham Assessing Department. Rates verified 2026-06-10.

Why is Needham's commercial rate nearly double?

Needham's commercial rate of $21.09 is close to twice its $10.83 residential rate. This is the result of a split tax rate, a tool Massachusetts towns use to shift a larger share of the tax levy onto commercial, industrial, and personal property. With a sizable commercial base — including the N2 Innovation District near Route 128 — Needham can keep the residential rate lower than it would be under a single uniform rate. Homeowners benefit; businesses carry more of the load.

How much will I pay? Example Needham tax bills

At the FY2026 residential rate of $10.83 per $1,000, here is the annual property tax at several assessed values. Needham's median single-family and condo sold price over the past year is roughly $1,700,000 (from our MLS data), so the middle tiers reflect a typical Needham home. Tax is calculated on assessed value, which the town sets and which usually trails current market value.

Assessed ValueAnnual Tax (FY2026)Monthly Equivalent
$800,000$8,664$722
$1,200,000$12,996$1,083
$1,700,000$18,411$1,534
$2,500,000$27,075$2,256

Based on assessed value at $10.83 per $1,000 (FY2026). Median sold price based on information from MLS PIN. Not guaranteed accurate.

How does Massachusetts property tax work?

Massachusetts property tax is set locally and billed quarterly. Each town sets its own rate per $1,000 of assessed value, with the assessment fixed as of January 1 of the prior year. Statewide rules:

  • •Assessed, not market. Tax is based on assessed value, not your purchase price.
  • •Proposition 2½. A town's total levy can grow only 2.5% per year, plus new growth, unless voters override.
  • •Quarterly bills. Preliminary bills due August 1 and November 1; actual bills due February 1 and May 1.
  • •Abatements. File with the Board of Assessors after the Q3 actual bill, by the printed deadline.

Property taxes when buying or selling in Needham

When you buy a home, property tax is part of your monthly carrying cost and factors into loan qualification. When you sell, you pay the Massachusetts deeds excise of $4.56 per $1,000 of sale price at closing — a separate transfer tax. Taxes are prorated between buyer and seller at closing. Browse current listings or get an instant home estimate.

How Needham compares to nearby towns

Needham's $10.83 residential rate is among the higher per-$1,000 rates in the towns we serve. Compare FY2026 residential rates:

  • •Newton: $9.69
  • •Brookline: $10.24 (with an owner-occupant residential exemption)
  • •Needham: $10.83
  • •Natick: $12.17 (single uniform rate)

For current sale-price context, see our Newton market report and Brookline market report.

Frequently Asked Questions

What is Needham's property tax rate for 2026?
Needham's FY2026 residential property tax rate is $10.83 per $1,000 of assessed value. The commercial rate is $21.09 per $1,000. These rates apply to the fiscal year from July 1, 2025 through June 30, 2026.
Why is Needham's commercial tax rate so much higher than residential?
Needham uses a split tax rate. The commercial rate ($21.09) is nearly double the residential rate ($10.83) because the town shifts part of the tax burden onto commercial, industrial, and personal property. Homeowners pay the lower residential rate.
How much is property tax on a $1.7 million home in Needham?
A Needham home assessed at $1,700,000 owes $18,411 per year at the FY2026 residential rate of $10.83 per $1,000. That figure is based on assessed value, which the town sets and which typically trails current market value.
Is property tax based on what I paid for my home?
No. Massachusetts property tax is based on assessed value, set by the town as of January 1 of the prior year — not on your purchase price. In a rising market, assessments typically lag actual market values.
When are Needham property tax bills due?
Needham bills quarterly, like other Massachusetts towns. Preliminary bills are due August 1 and November 1; actual bills, reflecting the final FY2026 rate, are due February 1 and May 1.
What is Proposition 2½ and how does it apply in Needham?
Proposition 2½ is a Massachusetts law that caps a town's total property tax levy growth at 2.5% per year, plus new growth from new construction, unless voters approve an override. It limits how fast the overall levy can rise, though individual bills can still shift with reassessment.
Can I appeal my Needham property tax assessment?
Yes. File an abatement application with the Needham Board of Assessors after the Q3 actual tax bill is issued, by the deadline printed on that bill. An abatement challenges your assessed value, not the tax rate.
Does Needham offer a residential exemption?
Needham applies its residential rate to all owner-occupied and non-owner-occupied homes alike; it does not offer the owner-occupant residential exemption that Brookline does. Statutory exemptions for qualifying seniors, veterans, and others are handled through the Board of Assessors.
How does property tax affect buying or selling in Needham?
Buyers should factor the annual tax into their carrying cost and loan qualification. Sellers pay the Massachusetts deeds excise of $4.56 per $1,000 of sale price at closing, separate from property tax. We prepare a full net-cost estimate for every Needham transaction.

Official source: Needham's FY2026 property tax rates are published by the Town of Needham Assessing Department. View the official Needham tax rate page. Verified 2026-06-10.

Buying or selling in Needham?

We prepare a full cost breakdown — taxes, excise, and net proceeds — for every Needham buyer and seller. Get a market-based estimate or book a consultation.

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