Beginning Dec. 1, 2025, Montana homeowners became eligible to apply for the Homestead Reduced Rate for the 2026 tax year. 

Many are already automatically enrolled to receive the Homestead Reduced Tax Rate, including homeowners who received a property tax rebate in 2025 and still own and live in the home for at least seven months in 2026.

Sen. Denley Loge for House District 45 wanted to remind Mineral County homeowners that they have until March 1 to apply for the 2026. 

“Homestead Reduced Rate” for property taxes on their primary home and long-term rentals. House Bill 231, sponsored by Rep. Llew Jones, R-Conrad, established the Homestead Rate, which took effect this year. The Homestead Rate is a new, lower property tax rate for long-term rentals and primary residences.

Loge explained, “This past legislative session, there was a real effort to try to protect homeowners from being taxed out of their residences. Property tax is so complex. The money is collected, goes to the state for school redistribution, and then approximately 83 percent is sent back out to the counties. The value of mills is set by the counties to pay for their budgets. The simple stated solution to lower taxes is to cut spending. That is not as easy as it sounds since mill levies are passed in communities to pay for projects.”

Who must apply? Primary residence owners who did not claim the 2025 property tax rebate, or who have changed their primary residence. Also, owners of long-term rentals need to apply for the rebate. Residents have roughly a week remaining to apply before the March 1 deadline. Montana homeowners can learn more at homestead.mt.gov.

To qualify, applicants must attest that they will own and live in their Montana home as their principal residence for at least seven months during 2026. When applying, homeowners will need to provide the property’s physical address, geocode, and the names and Social Security numbers of the property owners.

Montanans can verify their enrollment status or apply for the Homestead Reduced Rate and Long-Term Rental Reduced Rate by visiting homestead.mt.gov.  Approximately 80 percent of property tax revenue from residential homeowners goes directly to local jurisdictions, and the remaining 20 percent goes to the State of Montana, which returns the amount in full to help fund K-12 public schools throughout the state

Additionally, the application period for the Long-Term Rental Reduced Rate is open. To qualify, properties must be rented to tenants as their residence for periods of 28 days or longer for at least seven months of the year. Applicants will need to provide the property’s physical address, geocode, owner information, and details on rental income and expenses.

Loge said, “Back to what happened in the session, a homeowner reduction was set in place. If you live in your residence for at least seven months, your tax rate goes from 1.39% of appraised value down to approximately 0.7% of the appraised value. This holds for long-term rentals as well. This was meant to protect the primary residence tax from forcing people out of their homes and saved taxes for approximately 80% of the population.” 

In November, a report announced that nearly 80% of homes would see a tax cut from the reforms, and around 10 percent would see property taxes remain flat. According to the Governor’s Office, the average savings for homeowners who saw a tax cut was more than $500, not including the up to $400 property tax rebate.

More than 235,000 Montana homeowners claimed and received a property tax rebate in 2025. 

Loge noted, “If you received a rebate on your property tax, you should be automatically enrolled in the homestead exception. If you did not get a rebate and qualify for the exception, you must apply to the Department of Revenue by March 1. This can be done on your computer or by getting help at the county treasurer’s office. It is wise to double-check that you are enrolled, since some computer glitches have dropped a few names.” 

For guidance on how to apply or verify your residences status, go to the Montana Department of Revenue website or visit homestead.mt.gov to register. For those needing computer assistance, visit the Mineral County Library in Superior, the St. Regis School Library, or the Alberton Branch Library at the community center for help.