Skip to content
ClosingCodeClosingCode
ENES

North Dakota · Property taxNorth Dakota primary residence credit: up to $1,600, an April 1 application and proration after the credit

North Dakota gives a credit against the property tax on a parcel of primary residential property of up to $1,600; it can't reduce special assessments, can't exceed the tax due, and is applied after other exemptions, credits and discounts (N.D.C.C. §57-02-08.9(1)). Only one credit applies per parcel (§57-02-08.9(2)). To qualify, the owner signs and files a verified application with the tax commissioner by April first of each year for the taxable year in which it is filed (§57-02-01.2(3)). A primary residence is a dwelling owned by individuals, used as a residence and occupied as the owner's primary place of residence as of the assessment date, and an individual may have only one (§57-02-01.2(6)). A certification is valid for the entire taxable year regardless of a change of ownership after approval (§57-02-01.2). When the credit applies to a parcel in a real estate transaction, any proration of tax between buyer and seller is based on the tax owed after the credit (§57-02-08.9(2)).

What the statutes set

  1. Up to $1,600 (§57-02-08.9(1))

    Credit on a certified primary residence, after other credits; not on special assessments.

  2. April 1 (§57-02-01.2(3))

    Verified application to the tax commissioner each year.

  3. Whole year (§57-02-01.2)

    Certification stays valid for the year even if ownership changes.

  4. Proration (§57-02-08.9(2))

    Buyer-seller proration uses the tax after the credit.

What the TC checks on North Dakota property tax at closing

  • Ask whether the seller's parcel was certified as a primary residence for the current year.
  • Prorate the tax using the amount owed after the primary residence credit.
  • Remind the buyer to file the primary residence application by April 1 for the next year.

Questions about the North Dakota primary residence credit

How much is the North Dakota primary residence credit?

Up to $1,600 against the property tax on a certified primary residence, not counting special assessments (N.D.C.C. §57-02-08.9(1)).

How does the credit affect a North Dakota closing proration?

The buyer-seller proration is based on the tax owed after the credit is applied (N.D.C.C. §57-02-08.9(2)).

Related guides

Track the tax proration and the buyer's April 1 application as tasks on the deal in ClosingCode.

Start free trial

Sources: N.D.C.C. §§57-02-01.2, 57-02-08.9 (ndlegis.gov), read October 31, 2026.

General information, not legal advice. ClosingCode is software; it is not a law firm or brokerage. This guide is not a substitute for the advice or services of an attorney.