How Minnesota property tax works
Minnesota has the most complicated property tax math in the country, but it comes down to four steps:
- Homestead exclusion. For homes worth up to $517,200, part of the value is excluded: 40% of the first $95,000 (up to $38,000), shrinking by 9% of the value above $95,000.
- Class rate. The remaining value is multiplied by 1% for a homestead (1.25% on the part above $500,000). That gives the home's net tax capacity.
- Local tax rate. Net tax capacity is multiplied by your area's total local tax rate. Because it's applied to about 1% of value, the rate is expressed as a percentage over 100%: 138% of tax capacity is about 1.4% of value.
- Referendum levies. Voter-approved school and city levies are added as a separate small rate on market value.
So for a $350,000 homestead: the exclusion is $38,000 − 9% × $255,000 = $15,050; taxable value is $334,950; net tax capacity is $3,349.50; then multiply by the local rate.
Payable 2026 tax rates by city
Total local tax rates as a percentage of net tax capacity, for the main school district in each city, plus the referendum market value rate where available. The last column is our estimate for a $350,000 homestead, before refunds and special assessments.
| City (school district) | Local tax rate (pay 2026) | Pay 2025 | Est. tax on $350,000 |
|---|---|---|---|
| St. Paul (ISD 625) | 142.7%–145.5% | $5,756–$5,849 | |
| Minneapolis (ISD 1) | 138.1%–140.1%* | 132.4%–134.6% | about $5,127 |
| Brooklyn Park (Osseo) | about 127.5%* | about 121.3% | |
| Bloomington (ISD 271) | 119.7%–121.5%* | 110.4%–112.2% | |
| Rochester (ISD 535) | about 115.6% | about $4,782 (pay 2025) | |
| Edina (ISD 273) | 110.9%–111.1%* | 104.9%–105.0% | |
| Minnetonka (ISD 276) | 106.6%–107.3%* | about 102.7% | |
| Eden Prairie (ISD 272) | 101.4%–102.2%* | 96.5%–97.6% | |
| Maple Grove (ISD 279) | 101.2%–101.5%* | 97.2%–97.8% | |
| Plymouth (Wayzata) | about 97%* | about 92% | |
| Burnsville (ISD 191) | 95.2% | $3,849 | |
| Lakeville (ISD 194) | 84.6% | $3,689 | |
| Eagan (ISD 191) | 84.3% | $3,485 |
*Hennepin County rates for pay 2026 are from the county's proposed rate card; final rates are usually within a fraction of a point. St. Paul and the Dakota County cities are final pay 2026 rates. Rochester's is pay 2025 (Olmsted County hasn't posted 2026). Rates vary within a city by school and watershed district.
Rates went up 4 to 9 points across most of Hennepin County for 2026. In Minneapolis, the city's share alone rose from 66.2% to 70.7%. The cheapest major suburbs are in Dakota County, where Eagan and Lakeville homeowners pay roughly 35% to 40% less than in St. Paul for the same value.
The refunds that lower your bill
Minnesota gives back part of the property tax through the state income tax system. Many eligible homeowners never claim it.
- Homestead Credit Refund: for household income under $142,490 (2025 refund year), up to $3,480, plus a one-time 14.88% increase for 2025 refunds approved in 2026, which puts the maximum near $4,000. File Form M1PR by August 15; the final deadline for 2025 refunds is August 16, 2027.
- Special Property Tax Refund: no income limit. If your net tax rose more than 12% and at least $100 from the year before (not because of improvements), you get 60% of the increase above 12%, up to $1,000.
- Renters now claim the Renter's Credit on the income tax return instead of the M1PR.
See rebate programs by state for how Minnesota's compares.
Deadlines and appeals
- Payments: first half due May 15, second half October 15.
- Appeals: April and May are for the open book meeting or your Local Board of Appeal and Equalization, and June for the County Board of Appeal. You can also petition Tax Court by April 30 of the year the tax is payable. See our appeal guide.
Where these numbers come from
Class rates and the homestead exclusion are from the Minnesota Department of Revenue's Property Tax Calculation Workbook, Payable 2026. Local tax rates are from Hennepin County's pay 2025 rate card and pay 2026 proposed rate card and breakdown, Ramsey County's pay 2026 final rates, Dakota County's 2026 tax rates and Olmsted County's 2025 tax rates (where the total is our sum). Refunds are from the 2025 Form M1PR instructions and a Department of Revenue release of June 2026. The $350,000 estimates are our calculations. For ZIP-level data, start from our Minnesota page.