Originally published Nov. 17, 2021
MINNEAPOLIS (WCCO) - Many Hennepin County residents are in shock after receiving proposed levies and taxes for 2022. Some saw their property tax estimates rise by more than 20%.
This is especially true for many homeowners in north Minneapolis, some who saw proposed increases of as much as 40%.
"The reason it's up is because your home value is up; 13% over a year ago is huge," said realtor Nate Pentz. He added that the numbers residents are seeing on this first property tax statement are not set in stone.
"For right now the tax amount isn't set, this is just a range that it could go up by. These are based on the values that were accessed on Jan. 2 of this year so, in February or March of 2022 you're going to get a postcard or a mailer that's going to say what the county and city asses your current property at. You can attest that value and that can be an adjustment that can happen then," said Pentz.
The Camden neighborhood saw some of the biggest proposed increases in the city but it's still considered one of the most affordable neighborhoods to purchase a home in Minneapolis.
"Some home-buyers are looking for something under $300,000 that is in good quality condition. That's where you're going to see a lot of demand," Pentz said.
Property taxes will fund approximately 36.5% of the proposed budget in 2022.
"There are some areas that will actually see a reduction in property taxes, there are some homes that will see a reduction in property taxes," said Minneapolis Mayor Jacob Frey. "While as others yes will see a more significant increase so much depends on if valuation has gone up or down."
Pentz said homeowners have to wait and see when budgets are set how much their property taxes increases. He added that the state does have a property tax refund available if it increases by more than $100 from last year.
If you are retired, or on a fixed income, there are programs that offer aid or a reduction in your property tax bill.
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