Stung by that ‘26 property tax bill? Minnesota has a range of relief programs
Go Deeper.
Create an account or log in to save stories.
Like this?
Thanks for liking this story! We have added it to a list of your favorite stories.
Homeowners in Minnesota should have received a preliminary tax notice detailing projected property taxes for 2026.
Overall, property tax levies across Minnesota are expected to rise 8.7 percent for cities and 8.1 percent for counties.
Many homeowners can expect an increase this year, as cities, counties and school districts face rising costs. The precise percentage varies by location.
There is help out there for qualifying homeowners facing sticker shock.
Turn Up Your Support
MPR News helps you turn down the noise and build shared understanding. Turn up your support for this public resource and keep trusted journalism accessible to all.
The state has several programs aimed at easing property tax burdens for people under a certain income ceiling, for some seniors and for certain disabled veterans, among others.
What’s in those tax notices that are landing in mailboxes this month?
The notice provides a breakdown of a property’s assessed value, whether a person qualifies for a homestead exclusion and a parcel’s taxable market value - both for 2025 and 2026.
It will also give an overall number on what the total proposed tax is for 2026.
The notice breaks down the actual property taxes owed for 2025 and proposed property taxes for 2026 for each local tax entity – county, city/township, school district and any special taxing district for the area. It will also note the percentage change year over year.
It should include dates for when the Truth in Taxation hearings will be held for every one of those entities.
What if I haven’t received my notice?
Contact the county auditor or treasurer’s office to get a copy or a duplicate. Contact information for those offices should be listed on a local county website.
Are these numbers set in stone?
The numbers represent the maximum taxes these entities have proposed charging. Those figures can be reduced as governing bodies make their final determinations on tax rates, which has to be done by Dec. 29.
In the meantime, those public hearings are the best place to learn more about why taxes might be going up, for property owners to speak up about the overall tax levy increase and to get questions answered about any changes.
Those meetings are not for seeking changes to proposed taxes for an individual home or property.
What if I don’t agree with the assessed value of my property?
Those who think their assessment is wrong can appeal the market value or classification.
The state recommends first contacting a county assessor.
After that, there is an avenue for appeal either to the local or county board of appeal and equalization (those meetings usually happen starting in April and go through May or June) or to the Minnesota Tax Court.
An appeal of either the initial assessment or the decision of the county/local board of appeal and equalization has to be filed with the court by April 30.
Market value and classification are finalized on July 1 of the tax year.
What programs are available if a proposed property tax increase goes beyond the ability to pay?
The Minnesota Department of Revenue has several programs to help reduce the property tax burden for people who might not be able to afford the increases or are in very specific situations.
Some are as specific as helping those with damaged properties or those in a declared disaster or emergency area. Same goes for properties that have high voltage power lines that run over them or homes in taconite tax relief areas. There is a program that reduces a tax burden for qualifying blind or disabled persons.
But there are more broadly defined programs, too, based on a taxpayer’s age, income, veteran status and more (see below for more on those).
Finally, some counties provide help to people facing exceptional hardship or need to set up payment plans. Check with an area county auditor/treasurer/assessor’s office for more information on whether those options exist and what they offer.
To qualify for most of these programs, check that the property has homestead classification
To qualify, the homeowner must own and occupy the property as their primary residence and be a Minnesota resident. A tax notice should say whether a property is classified as a homestead. A property that has homestead classification can get a market value exclusion, which, depending on the assessed value of a property, can decrease a property’s net property taxes. Doing so can also make a homeowner eligible for several of the state’s property tax relief programs. Once a property owner is given homestead classification, they do not need to reapply. To apply or to find out if a property has the classification, contact the county assessor. Applications must be submitted by Dec. 31 to qualify for 2026.
Taxes going up by 12 percent or more? There’s a program for that.
The state has a special homestead property tax refund for homeowners who have occupied their home for the last year, are seeing a 12 percent increase in net property tax between 2025 and 2026, and whose net tax increase is at least $100.
The program has no income limit. The maximum refund is $1,000.
Help for those over 65 and on a fixed income
Minnesotans who are older than 65 and have a household income of $96,000 a year or less could qualify for the property tax deferral program for senior citizens. Under the program, a property owner has to pay property taxes up to 3 percent of their total household income, anything above that is paid for by the state as a loan.
The deferred payments will be owed when a home is sold, the deferrals are cancelled or when the homeowner dies, at which point the homeowner’s estate needs to pay off the loan.
More information on the program can be found on the program FAQ page.
Relief for households that make less than $139,320 per year
If a household income for a property owner is less than $139,320, they may qualify for the regular homestead credit refund.
Minnesota Revenue Commissioner Paul Marquart said it is the most popular of the state’s property tax programs and gives an average refund of around $1,500.
“I've always used kind of a rule of thumb that if your property taxes are more than about 2 percent of your income, you probably qualify for the property tax refund,” he said. “A lot of taxpayers use that refund they get to pay for the second half of their property taxes. That's how significant that can be.”
Veteran with a disability or a spouse or caregiver to one?
The state has a program aimed at giving some veterans and their families relief on property taxes.
Under the program veterans with a 100 percent permanent and total disability rating can get a $300,000 market value exclusion, meaning the first $300,000 of their property value is not subject to property tax.
Veterans with 70 percent or greater service-connected disability rating can get at least $150,000 in market value exclusion. The program also extends to surviving spouses of veterans who meet certain standards, as well as primary family caregivers to veterans who meet certain standards.
To qualify, a homeowner must apply to their county assessors office by Dec. 31. Veterans need to work with their veterans service officer to get their disability rating.
