Rochester, Minnesota Property Taxes
The median property tax rate in Rochester, MN is 1.23%, considerably higher than both the national median of 0.99% and the Minnesota state median of 1.11%. With the median home value in Rochester at $266,500, the typical annual property tax bill reaches $3,234, exceeding the national median of $2,690. Property taxes in Rochester are calculated based on the tax assessed value, which typically falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Rochester's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to significant annual savings. Whether you're in the heart of Rochester or another part of the city, understanding the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Rochester, Minnesota Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.23%
Estimate Property Tax Bill
$3,278
Ownwell’s Rochester Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Rochester with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Rochester to estimate your property tax bill. This insightful tool helps you understand potential tax liabilities. If you’re interested in seeing trends on a neighborhood level, scroll down to find more localized information. Your property’s assessed value is the value assigned by the county for property tax calculations, accounting for any exemptions that may apply.
Property Tax Rates Across Rochester, Minnesota
Property taxes in Rochester, Minnesota, are crucial for funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Rochester is 1.23%, which is higher than both the Minnesota state median and the U.S. national median of 0.99%. Local government entities within Rochester set these rates annually, and they can vary significantly across different neighborhoods. Each year, Rochester estimates its required budget to maintain services for the upcoming fiscal year, then divides this budget by the total value of all taxable property within the jurisdiction to calculate the property tax rate. While tax rates and budgets are influenced by laws and voter input, this calculation forms the basis of setting property tax rates. The data below compares Rochester's effective property tax rate to other counties in Minnesota and the national median. For comparison, the 55902 zip code has the highest median property tax rate of 1.26%, while the 55904 zip code has the lowest median tax rate of 1.19%. Understanding how these cities compare with Rochester provides valuable insights into the varying tax landscape across Olmsted County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Rochester Tax Rate
1.23%
Average Olmsted County Tax Rate
1.24%
Average Minnesota Tax Rate
1.11%
Average United States Tax Rate
0.99%
Property Tax Rates Across Rochester, Minnesota
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 55901 | 1.11% | 1.19% | 1.23% | 1.27% | 1.27% |
| 55902 | 1.11% | 1.20% | 1.26% | 1.27% | 1.33% |
| 55904 | 0.92% | 1.11% | 1.19% | 1.26% | 1.27% |
| 55906 | 0.99% | 1.17% | 1.24% | 1.27% | 1.30% |
Source: Ownwell
Property Tax Assessment Values Across Rochester, Minnesota
In Rochester, Minnesota, understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes. The market value is the price a willing buyer would pay a willing seller in an open and competitive market, influenced by factors like location, property condition, and economic trends. This value is estimated by the Olmsted County Appraisal District for tax purposes. In contrast, the assessed value is the market value minus any applicable exemptions or limits based on local laws and available programs. The assessed value is then used to calculate your property taxes by multiplying it by the combined tax rates of all relevant taxing entities. In Rochester, assessment notices are typically mailed out in the spring, usually by mid-April. These notices provide homeowners with both the market and assessed values, along with an estimate of the annual property tax bill. By understanding the distinction between these valuation concepts, property owners can better navigate their tax responsibilities and comprehend how their property taxes are determined. For instance, the median home price in Rochester is $266,500, with tax bills ranging from $2,480 at the 25th percentile to $6,228 at the 90th percentile. The highest median tax bill is $4,470 in zip code 55902, while the lowest is $2,584 in zip code 55904. Being aware of these valuation processes in Rochester helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Rochester Assessed Value
$266,500
Average Olmsted County Assessed Value
$264,500
Average Minnesota Assessed Value
$290,400
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Rochester, Minnesota
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 55901 | $152,900 | $218,200 | $262,700 | $333,900 | $424,920 |
| 55902 | $185,300 | $245,300 | $358,300 | $507,325 | $700,320 |
| 55904 | $108,460 | $171,100 | $221,500 | $279,300 | $394,150 |
| 55906 | $138,940 | $210,000 | $296,700 | $439,200 | $560,260 |
Source: Ownwell
Property Tax Bills Across Rochester, Minnesota
In Rochester, Olmsted County, MN, property tax bills are calculated based on the assessed value of a home, which is determined by the Olmsted County Assessor's Office. This assessed value reflects the market value of the property and is used to establish the property tax amount. The median home price in Rochester is $266,500, which serves as a benchmark for calculating property taxes. Several factors influence the final tax bill, including the property's location, any applicable exemptions, and the local tax rate. For example, the median property tax rate in Rochester is higher than the national median of 0.99%, resulting in a higher tax burden for homeowners. The 25th percentile tax bill in Rochester is $2,480, while the 75th percentile tax bill is $4,600, indicating a significant range depending on the specific circumstances of each property. Homeowners in the 55902 zip code face the highest median tax bill at $4,470, while those in the 55904 zip code experience a lower median tax bill of $2,584. This variation highlights the impact of location and property value on tax obligations.
Average Rochester Tax Bill
$3,234
Average Olmsted County Tax Bill
$3,296
Average Minnesota Tax Bill
$3,182
Average United States Tax Bill
$2,690
Property Tax Bills Across Rochester, Minnesota
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 55901 | $1,792 | $2,620 | $3,214 | $4,178 | $5,282 |
| 55902 | $2,154 | $2,967 | $4,470 | $6,338 | $9,100 |
| 55904 | $1,239 | $1,946 | $2,584 | $3,264 | $4,338 |
| 55906 | $1,602 | $2,504 | $3,590 | $5,322 | $6,954 |
Source: Ownwell