Property Taxes in Ankeny vs Des Moines: Which Is More Affordable?
When buying a home in Central Iowa, most buyers focus on purchase price — but property taxes can have a huge impact on your monthly payment and long-term affordability.
If you’re trying to decide between living in Ankeny or Des Moines, understanding how taxes compare can help you make a smarter financial decision.
In this guide, we’ll break down:
✅ Typical property tax rates
✅ Why taxes vary between cities
✅ Real-world cost examples
✅ How to estimate your tax bill before buying
How Property Taxes Work in the Des Moines Area
Property taxes in Iowa are based on several factors, including:
Assessed value of the home
Local tax levy rates
School district funding
County and city budgets
Statewide rollback rules
For example, residential property values are subject to a statewide “rollback” formula that helps limit how quickly taxable values can rise overall, even when home prices increase. (desmoinescounty.iowa.gov)
It’s also important to understand that your total tax bill is not just based on the city you live in.
Taxes fund:
City services
County government
Schools
Community colleges
Public transit and other districts
Because of this, two homes with the same price in different cities can have very different tax payments.
Property Tax Rates: Ankeny vs Des Moines
While exact tax bills vary by property and exemptions, effective tax rate estimates give buyers a helpful comparison.
Estimated effective tax rates
Ankeny: about 1.64% of home value
Des Moines: about 1.85% of home value
(ownwell.com)
This means homeowners in Des Moines often pay a higher percentage of their home’s value in property taxes than those in Ankeny.
Across Polk County, the median effective rate is around 1.69%, showing that both cities fall near the metro average. (ownwell.com)
Example Property Tax Comparison
Let’s look at a simple example using a $325,000 home.
Estimated annual property taxes
👉 That difference could equal about $55–60 more per month in your mortgage payment.
Over time, this can significantly affect affordability — especially for first-time buyers.
Why Are Property Taxes Higher in Des Moines?
Several factors influence tax differences between the two cities:
1. Home Values
Homes in Ankeny often have higher purchase prices, which can lead to larger total tax bills even if the rate is lower.
2. City Budgets and Services
Property taxes are a primary funding source for city operations such as:
Police and fire services
Parks and recreation
Infrastructure improvements
The City of Ankeny, for example, sets its own city levy rate each year as part of the total tax calculation. (ankenyiowa.gov)
3. School District Funding
School levies are one of the biggest components of property taxes.
Differences in district budgets and growth needs can impact tax rates.
4. Urban vs Suburban Development
Larger cities like Des Moines may have:
More aging infrastructure
Higher service demands
More tax-exempt property
All of these factors can contribute to higher effective tax rates.
Which City Is More Affordable Overall?
The answer depends on how you define affordability.
Ankeny may be more affordable if you want:
Lower effective property tax rates
Newer construction homes
Rapid growth and strong resale demand
Suburban amenities and schools
Des Moines may be more affordable if you want:
Lower home purchase prices
Urban lifestyle and shorter commutes
Historic neighborhoods and character homes
In many cases, buyers find that a lower purchase price in Des Moines offsets the higher tax rate, resulting in similar monthly payments.
How Buyers Can Estimate Property Taxes Before Buying
Before making an offer, you should:
✅ Review the home’s previous tax bill
✅ Ask your lender for a payment estimate including taxes
✅ Use a rough rule of thumb (1.6%–1.9% in Polk County)
✅ Talk with a local real estate expert
Taking these steps can help you avoid surprises after closing.
Final Thoughts
Property taxes are an important — but often overlooked — part of the homebuying process.
While Des Moines generally has higher effective tax rates, overall affordability depends on:
Purchase price
loan terms
neighborhood
long-term value
If you’re trying to decide where to buy in the Des Moines metro, comparing both home prices and property taxes can help you make the best financial decision.
👉 If you have questions about buying in Ankeny or Des Moines, reach out to us at The Hokel Real Estate Team anytime. Our team can help you compare neighborhoods, estimate monthly payments, and find the right home for your goals.