Colorado Odd-Year Reassessments, Assessment Rates and Property Tax Escrow Math
Updated October 2026
Colorado’s relatively low residential assessment rate does not guarantee a small property tax bill. Your bill also depends on the county’s valuation, applicable adjustments, and the combined mill levy. Understanding those pieces helps explain why an unchanged fixed-rate mortgage can still produce a higher monthly payment.
Separate reassessment years from payment years
Colorado generally reappraises real property on an odd-year cycle. The next regular cycle after 2026 is 2027, although new construction, property changes, and corrections can affect values between regular reassessments.
Property taxes are generally paid in arrears. That means a bill paid during one calendar year usually concerns the preceding tax year. Keep the valuation year, tax year, and payment date separate when comparing an assessor notice with a lender’s escrow statement.
Residential assessment rates around 6.4%–6.7% illustrate Colorado’s comparatively small assessed-value share, but there is not one universal percentage for every calculation. Tax-year rules, property categories, valuation reductions, and differences between levy purposes can affect the result. Check the Colorado Division of Property Taxation and the parcel’s county records.
Work through the tax calculation
For a simplified illustration, assume $600,000 of taxable actual value after applicable adjustments, a 6.5% assessment rate, and a combined 100-mill levy.
- Assessed value: $600,000 multiplied by 6.5% equals $39,000.
- Annual tax: $39,000 multiplied by 100 and divided by 1,000 equals $3,900.
- Monthly tax allocation: $3,900 divided by 12 equals $325.
If assessed value rises 10% while the levy remains unchanged, the illustrated annual tax becomes $4,290, or $357.50 monthly. A levy change could amplify or offset that increase.
Use the Metro District guide to identify why a neighboring parcel might have a different levy despite a similar market value.
Understand the two parts of an escrow increase
An escrow analysis can increase your payment for two separate reasons: the lender expects higher future bills, and the account has a shortage from past undercollection. Temporarily, your payment may include both the new monthly tax allocation and a shortage repayment amount.
The Consumer Financial Protection Bureau offers resources for understanding mortgage costs and statements. Compare your actual tax bill and insurance renewal against the figures used in the analysis.
Update the monthly payment calculator with current annual costs. For a newly built home, avoid relying on a vacant-land bill. Ask when the completed structure enters the assessment and how the lender estimated the first full year of taxes.
Compare Current Mortgage Rates
Compare current APRs, points, fees, and estimated monthly payments from participating lenders below.
Loan Program Comparison: 2026 Benchmarks
Colorado Odd Year Reassessments, Assessment Rates and Property Tax Escrow Math — National benchmarks are not personal APR quotes. Compare the same loan term, points, lock period and fees on written Loan Estimates; the supplied snapshot is not a live offer.
Historical 2025 one-unit comparison: conforming $806,500; FHA floor $524,225. County and unit-count limits can differ.
| Loan program | Down payment / equity | 2026 one-unit baseline | Costs and page-specific comparison |
|---|---|---|---|
| Conventional | 3%–5% subject to eligibility | $832,750 | PMI generally below 20% down |
| FHA | 3.5% at 580+; 10% at 500–579 | $541,287 floor | 1.75% upfront MIP; 0.55% annual for >95% LTV, base loan ≤$726,200, term >15 years |
| VA | 0% for eligible borrowers | No VA limit with full entitlement | No monthly PMI; funding fee unless exempt |
| USDA | 0% for eligible borrowers | Income, address and repayment eligibility | Guarantee and annual fees; confirm current schedule |
| Jumbo | Lender-specific cash and reserves | Above applicable conforming limit | Lender-specific pricing and insurance |
| Home Equity / Refinance | Equity and underwriting dependent | Property and lender dependent | Compare closing costs, term and break-even |
Sources: FHFA limits; HUD FHA limits.
Editorial Methodology & Primary Sources
Verification date: Not recorded; check the primary source and lender timestamp before relying on an estimate.
Rate comparisons use participating lender feeds, not a whole-market survey or guaranteed offers. Freddie Mac PMMS is a market benchmark, not a personalized quote. Calculator models rely on published regulatory formulas and disclosed assumptions rather than fabricated first-person loan testing.
Monthly principal and interest use the amortization formula P × r / (1 − (1 + r)−n), where r is the monthly note rate and n is the number of payments; at zero interest use P / n. PITI adds monthly property taxes and homeowners insurance; PMI is separate. APR includes applicable finance charges under Regulation Z and is not the note rate used for payments. Compare lender Loan Estimates for actual APR and fees.
- Consumer Financial Protection Bureau (CFPB) — Loan Estimates, APR and borrower disclosures; Regulation Z.
- U.S. Department of Housing and Urban Development (HUD / FHA) — FHA program guidance.
- U.S. Department of Veterans Affairs (VA) — VA loan eligibility and benefits.
- Freddie Mac Primary Mortgage Market Survey (PMMS) — published rate benchmarks.
- U.S. Census state tax collections — state property tax benchmarks; confirm parcel-specific assessments and exemptions with the state revenue department and local assessor.
The payment snapshot uses illustrative annual taxes of 1% of home price, $1,200 insurance and 0.5% PMI below 20% down, not verified local quotes. Other calculators disclose their inputs and assumptions. Published guidance and lender feeds may change independently; confirm current program rules, taxes and offers before a decision.