Know Your Options for Property Tax Relief

Have you filed for your property tax refund? Make sure to file before August 15^th! 

At Habitat, our goal is to create a world where everyone has a safe, stable, and affordable place to call home. Part of that includes keeping homes affordable in the long term. Raising awareness about the available property tax relief options is one way to advance long-term affordability at a time when we see the impact of high property taxes in communities across Minnesota.  

Minnesota offers property tax relief to both homeowners and renters. Plus, homeowners may be eligible for a special property tax refund depending on how much their taxes have increased.  

Unfortunately, as of 2023, approximately one in three eligible individuals weren’t filing their property tax relief application. If you are unaware of Minnesota’s current property tax relief options, whether you qualify, how to apply, and due dates, you may be leaving money on the table.  

Homeowners  

• Homestead Credit Regular Refund allows eligible homeowners to receive a state-paid refund to offset some property taxes. Learn more about this credit refund and how to apply.  

• Homestead Credit Special Refund directs property tax relief to homeowners who have large property tax increases from one year to the next. Homeowners qualify if the property tax on their home has increased by more than 12 percent over the previous year’s tax and if the increase is over $100. The homeowner must have owned and lived in the same home for both years. Learn more about targeted (special) refunds and how to apply.  

• Senior Citizens Property Tax Deferral Program allows seniors with household income of $96,000 or less to defer a portion of their property taxes. It provides senior citizens whose property taxes are high relative to their incomes, but who wish to stay in their homes, an option for paying their property taxes. Learn more about this deferral program and how to apply.  

Renters 

• Renter’s Property Tax Refunds are available to qualifying Minnesota renters, depending on their income and how much they paid in rent. Learn more about the renter’s refund, qualifications, and how to apply.  

Property tax relief can promote long-term affordability, especially for aging adults and in areas where gentrification threatens to displace lower-income households, Black residents, and other residents of color. Targeted relief and deferral options can further help offset those disparities.​​​​  

FAQ 

How to Apply? 

Refund claims are filed using the Minnesota Department of Revenue (DOR) M1PR, the homestead credit refund form (which is filed separately from the individual income tax form due in April). There is a separate section on the back of the M1PR (“Schedule 1 – Special Refund”) for the targeting program.  

When to Apply? 

You can file for this refund after receiving your property tax statement in February or March. You must file before August 15. 

When Will I Receive my Refund? 

Filers will be paid beginning in September. You can check the status of your refund online or by calling the Department of Revenue at 651-296-4444.