Minnesota · Stat. §287.21Minnesota deed tax: 0.33% of the net consideration
Minnesota taxes each deed that conveys real property at 0.0033 of the net consideration – $3.30 per $1,000 – when the consideration, excluding liens that remain on the property, exceeds $3,000 (Minn. Stat. §287.21). With no consideration, or $3,000 or less, the tax is $1.65, which also applies to mergers and designated transfers. On a $400,000 sale with no assumed loan the deed tax is $1,320. Converting one type of entity into another is not a conveyance.
Rate, who pays and an example
Rate
.0033 of the net consideration when it exceeds $3,000 (§287.21 subd. 1(b)(3)).
Small or no consideration
$1.65 when there is no consideration or it is $3,000 or less; also for mergers and designated transfers.
Net consideration
Excludes the value of any lien or encumbrance remaining on the property at the time of sale.
Example
$400,000 sale, no assumed loan → $1,320.
What the TC checks
- The tax line on the closing statement against the statutory rate.
- Who pays it – the statute, the contract or local custom.
- The value or consideration stated on the deed or declaration.
Questions about this tax
What is the Minnesota deed tax rate?
0.0033 of the net consideration above $3,000 – $1,320 on a $400,000 sale (Minn. Stat. §287.21).
Does an assumed mortgage reduce Minnesota deed tax?
Yes. Net consideration excludes liens or encumbrances that remain on the property at the time of sale.
What is the minimum Minnesota deed tax?
$1.65 when there is no consideration or it is $3,000 or less.
Related guides
Add the transfer tax check to the closing statement review as a task with an owner and due date in ClosingCode.
Start free trialSource: Minnesota Statutes §287.21 (revisor.mn.gov, read October 25, 2026).
General information, not legal or tax advice. ClosingCode is software; it is not a law firm or brokerage.