Montana Homeowners Could Save Big On Property Taxes This Year
Greg Gianforte on Thursday reminded Montana homeowners that the deadline to apply for the 2026 Homestead Reduced Rate is March 1, encouraging eligible residents to verify their status or submit an application.
The reduced rate applies to primary residences and qualifying long-term rental properties and is part of broader property tax changes adopted during the last legislative session.
“Recognizing the burden of rising property taxes, we worked with the Legislature to deliver permanent and meaningful property tax relief,” Gianforte said. “Thanks to our reforms, 80% of Montana homeowners saw lower property taxes last year. While those who claimed a property tax rebate are already enrolled for the lower rate this year, homeowners can verify their status or claim the lower rate by visiting Homestead.MT.gov.”
Property taxes in Montana are largely determined at the local level and fund services provided by local jurisdictions. Approximately 80 percent of residential property tax revenue goes directly to local governments, while about 20 percent goes to the state and is returned to help fund K-12 public schools.
Beginning Dec. 1, 2025, homeowners became eligible to apply for the Homestead Reduced Rate for the 2026 tax year. To qualify, applicants must attest that they will own and occupy the property as their principal residence for at least seven months during 2026. Required information includes the property’s physical address, geocode and the names and Social Security numbers of the property owners.
The Homestead Rate was established through House Bill 231, sponsored by Rep. Llew Jones, R-Conrad. The law created a lower property tax rate for primary residences and long-term rentals.
Properties that received the 2025 property tax rebate will automatically qualify for the 2026 Homestead Reduced Rate if ownership has not changed and the property remains the primary residence.
The application period is also open for the Long-Term Rental Reduced Rate. To qualify, properties must be rented for periods of 28 days or longer for at least seven months of the year. Applicants are required to provide property and ownership details, along with rental income and expense information.
In November, the governor’s office reported that nearly 80 percent of homes would see a tax reduction under the reforms, with about 10 percent remaining flat. The average savings for homeowners who saw a reduction was reported at more than $500, not including a rebate of up to $400 that was available to eligible homeowners last year.
Under Senate Bill 542, sponsored by Sen. Wylie Galt, R-Martinsdale, new tiered tax rates were established beginning in 2025, along with a property tax rebate for primary residences. More than 235,000 Montana homeowners claimed and received a rebate for property taxes paid in 2024.
Homeowners who claimed the rebate and did not move or change ownership in 2025 may be automatically enrolled in the 2026 Homestead Rate. Residents can verify enrollment or apply by visiting homestead.mt.gov.