New Construction Tax Rebate in Moorhead

Moorhead's 2-year property tax rebate has no cap and covers building + land. Estimated savings: $7,500+ on a $300K home. Automatic enrollment — no application needed.

Moorhead offers one of the most generous new-construction incentives in the Fargo-Moorhead metro. The city's two-year property tax rebate has no maximum home value, covers both the building and the land, and you don't even need to apply — enrollment is automatic when your building permit is issued. You pay your property taxes on the regular schedule (May and October), then receive a rebate check in December covering general taxes paid to the city, county, and schools. On a $300,000 home, that works out to more than $7,500 in estimated savings over two years. The program has been running since 2009, with roughly 1,350 homes participating between 2012 and 2021.

Program at a Glance

Official program page

Frequently Asked Questions

How does Moorhead's property tax rebate work?

You pay your property taxes on the normal May and October schedule. In December of each eligible year, the city issues a rebate check covering the general taxes you paid to the city, county, and school district. The rebate lasts two years from when your building permit is issued.

Is there a maximum home value for Moorhead's rebate?

No. There is no cap on the home value that qualifies. Whether you build a $200,000 starter home or a $600,000 custom home, the full value — building and land — is included in the rebate calculation.

Do I need to apply for Moorhead's tax rebate?

No — enrollment is automatic. When your building permit is issued, the property is enrolled in the rebate program. You don't need to file an application or contact the city.

What taxes are included in Moorhead's rebate?

The rebate covers general property taxes paid to the city, Clay County, and the school district. It does not cover special assessments or special function levies like school bond referendums or watershed levies.

Does Moorhead offer incentives for remodeling too?

Yes. Moorhead has a separate two-year property tax rebate for home improvements of $25,000 or more. The rebate is calculated on the assessed-value increase from the improvements, not the project cost. Contact the city assessor's office for details.

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Modern Market REALTORS® — Jim Christl (Broker) & Shannon Barnum (Associate Broker). Serving Fargo, Moorhead, West Fargo, Horace, Detroit Lakes, and Minnesota lake country. Call (701) 205-5517.