Property Taxes in Minnesota
Minnesota's effective property tax rate is 0.99%, ranking #34 out of 50 states (1 = lowest). The median annual property tax paid is $2,913.
Minnesota property taxes are above the national average, with rates varying significantly between metro suburbs and greater Minnesota communities. The state offers a market value homestead exclusion that reduces the taxable value of homes valued below $413,800 by up to 40% (maximum reduction of $30,400). This exclusion effectively creates a progressive property tax system where lower-valued homes receive proportionally more relief. The property tax refund (circuit breaker) provides additional relief based on income and is claimed through the state tax return.
By BuyAHomeIn Editorial | Updated 2026-03-02 | Sources: Tax Foundation, U.S. Census
Tax Rate
0.99%
Median Annual Tax
$2,913
National Rank
#34 of 50
1 = lowest
Homestead Exemption
Yes
Annual Property Tax by Home Price
| Home Price | Annual Tax | Monthly |
|---|---|---|
| $200,000 | $1,980 | $165 |
| $300,000 | $2,970 | $248 |
| $400,000 | $3,960 | $330 |
| $500,000 | $4,950 | $413 |
| $750,000 | $7,425 | $619 |
* Based on the average effective rate of 0.99%. Actual rates vary by county and municipality.
Homestead Exemption in Minnesota
Up to $450,000
File for the homestead exemption after purchasing your primary residence in Minnesota to reduce your assessed property value, lowering your annual tax bill. Contact your county assessor's office for the application.
How Minnesota Compares
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