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Minnesota Closing Cost Calculator
Minnesota deed tax is 0.33% of net consideration (0.34% in Hennepin and Ramsey), with a $1.65 minimum. Choose the property's county and confirm any lien remaining after the sale. The deed-tax estimate then feeds your buyer or seller worksheet.
Minnesota deed tax and closing worksheet
Ordinary taxable deed: 0.33% of net consideration above $3,000; $1.65 when net consideration is $3,000 or less. Hennepin and Ramsey add an Environmental Response Fund amount, producing 0.34% or a $1.70 minimum. Confirm liens that remain after closing. Special designated transfers, exemptions and mortgage registry tax are outside this model.
Choose the correct county rate
Minnesota Revenue publishes a 0.33% state rate and an additional 0.01% Environmental Response Fund charge in Hennepin and Ramsey counties. A $200,000 net consideration produces $660 elsewhere or $680 in those two counties.
The model does not guess the county from the price. Select Hennepin, Ramsey or another Minnesota county before using the automatic tax. In the two surcharge counties, the combined amount is rounded to cents; the displayed ERF line is the difference between that amount and the rounded state component.
The $3,000 threshold changes the calculation
Section 287.21 assigns $1.65 when ordinary net consideration is $3,000 or less. Above that threshold the full net consideration is multiplied by 0.0033. The calculator therefore moves from $1.65 at $3,000 to $9.90 at $3,000.01; it does not merely tax the extra cent.
The DOR minimum-tax guidance identifies a $1.70 minimum in Hennepin and Ramsey and explains the deed statement or DT1 documentation. A minimum-tax transaction and a fully exempt deed are different classifications. Special designated transfers and exemptions require a confirmed quote.
Minnesota deed-tax worked examples
| Scenario | Taxable value | State tax | Local amount | Tax subtotal |
|---|---|---|---|---|
| Ordinary sale outside Hennepin/Ramsey | $200,000.00 | $660.00 | $0.00 | $660.00 |
| Same sale in Hennepin | $200,000.00 | $660.00 | $20.00 | $680.00 |
| Minimum-tax threshold in Ramsey | $3,000.00 | $1.65 | $0.05 | $1.70 |
| Above the minimum-tax threshold | $3,000.01 | $9.90 | $0.00 | $9.90 |
| Confirmed assumed lien remains | $100,000.00 | $330.00 | $10.00 | $340.00 |
Deduct only a lien that stays after transfer
DOR defines net consideration by excluding an existing lien or encumbrance that remains and is not paid off or released because of the sale. An assumed seller mortgage can meet that description. A new buyer mortgage is not an existing lien remaining from before the sale.
For $200,000 of consideration with a confirmed $100,000 lien remaining, the model uses $100,000. Enter zero when no qualifying lien remains. If a professional has already supplied the final net consideration, use the taxable-value override; the lien is not deducted from that amount again.
Round the tax, then allocate the cost
Cass County's recorder manual, exhibit VII, illustrates $55,699 × 0.0033 = $183.8067, rounded to $183.81. The model uses cent rounding rather than rounding consideration up to stamp blocks.
Section 287.24 places liability on the grantor, so the budgeting allocation starts with a 100 percent seller share. Change the allocation to reflect your agreement or enter your own tax quote. Seller payoff belongs in the proceeds field, where it reduces proceeds without incorrectly changing the deed-tax base.
Obtain separate mortgage registry tax, recording and title figures for your transaction. Add lender charges, reserves, credits and commission only once. The resulting cash-to-close or proceeds figure covers the listed amounts; it is not a filing service or a complete provider quote.
| Parameter | Amount or rule | In effect | Primary source |
|---|---|---|---|
| Deed tax | 0.0033 of net consideration above $3,000; $1.65 at or below | Current statute | Minn. Stat. 287.21 |
| Mortgage registry tax | 0.0023 of the debt secured by the recorded mortgage; paid by the mortgagor | Current statute | Minn. Stat. 287.035 |
| Hennepin and Ramsey surcharge | Additional 0.0001 on both the deed tax and the mortgage registry tax | Current statute | 383B.80; 383A.80 |
| County recorder fee | $46 to index and record a deed or other instrument | Current statute | Minn. Stat. 357.18, subd. 1 |
The buyer's side: mortgage registry tax and recording
A financed buyer pays a different Minnesota tax from the deed tax. Section 287.035 taxes the privilege of recording a mortgage at 0.0023 of the secured debt and names the mortgagor, the borrower, as the person liable. Hennepin and Ramsey add 0.0001 under their own county statutes. The county recorder charges $46 for each deed or mortgage recorded on abstract property (section 357.18); registered (Torrens) land is filed with the registrar of titles instead.
On a $200,000 purchase with a $160,000 mortgage, the registry tax is $160,000 × 0.0023 = $368, or $384 in Hennepin or Ramsey. Recording the deed and the mortgage adds $92, so the buyer's government lines total $460 outside those two counties. The seller's deed tax on the same sale is $660 ($680 in Hennepin or Ramsey). Enter the registry tax and recording total in the buyer's quote lines; the worksheet's deed-tax figure does not include them.
Last reviewed 2026-10-09. Calculation methodology.
Questions about Minnesota
- Why is Minnesota deed tax higher in Hennepin and Ramsey?
- Those counties add an Environmental Response Fund charge. For an ordinary taxable deed above $3,000 of net consideration, the combined rate is 0.34% instead of 0.33%. The minimum is $1.70 instead of $1.65.
- Can the seller mortgage payoff reduce Minnesota deed tax?
- A lien qualifies for the net-consideration deduction only if it remains on the property and is not released or satisfied as a result of the sale. A normal payoff at closing is not that deduction. Enter payoffs separately when calculating seller proceeds.