2026 Homestead Reduced Tax Rate FAQs

• Many homeowners are automatically enrolled to receive the Homestead Reduced Tax Rate. If you received a property tax rebate in 2025 and still own and live in the same home for at least 7 months in 2026, you don’t need take any further action; you’re already enrolled for the reduced tax rate.
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• You will need to enroll for the Homestead reduced tax rate if you did not get a property tax rebate in 2025 or are buying/building a new home.

• Starting December 1, 2025 you can enroll online at or by mail using the 2026 Montana Application for a Reduced Property Tax Rate on a Principal Residence (Homestead).

• The enrollment period runs from December 1, 2025 to March 1, 2026.

No. Starting December 1, 2025, you must submit the 2026 Montana Application for a Reduced Property Tax Rate on a Principal Residence (Homestead) online or by mail (download the printable form).

The enrollment deadline is March 1, 2026, to be considered for Tax Year 2026.

To enroll a new home, you must submit a 2026 Montana Application for a Reduced Property Tax Rate on a Principal Residence (Homestead) to receive the reduced rate. You can apply online or by mail (download the printable form).

If you sell your principal residence and purchase a new principal residence, the reduced rate can apply to your new home, but you must submit a new application.

It depends:

• f the home already has the reduced rate, you’ll get that rate for the rest of the year. To keep it the following year (2027), you must enroll as the new owner.
• If the home was not approved for the homestead reduced tax rate, your tax rate will be 1.9% for that tax year, and you can apply for the reduced tax rate for homesteads the following year.

You must live in the home at least seven months of the year to qualify. Homes lived in only six months are taxed as second homes.

Homes owned by an LLC, corporation, or irrevocable trust do not qualify for the Homestead reduced tax rate.

Only property owned by an individual or a revocable trust is eligible to qualify as a principal residence.

The property qualifies for the Homestead reduced tax rate as long as one of the owners lives in the residence for at least seven months each year.

• Yes, if the owners live on-site for at least 7 months.
• No, if it’s owned by an entity (LLC, corporation, etc.) or if the owners live elsewhere and hire someone else to manage it.

You qualify if you live in the home as your primary residence for at least 7 months of the year.

You can still get the reduced rate on your own principal residence, even if you’re listed as an owner on another property approved for the reduced tax rate.

No. You must be current on your property taxes to be eligible for the Homestead reduced property tax rate.

“Current” means:

• All past property taxes are paid.
• For 2025 taxes, you must have paid in full or made the first-half payment.

To be safe, apply for the homestead reduced tax rate and verify that your property taxes are paid in full; otherwise, your application will be denied.

No. They are two separate things:

• Homestead Declaration (filed with your county): Protects up to $409,450 of your home’s value from unsecured debts if you face financial problems.
• Homestead Reduced Tax Rate (offered by the Department of Revenue): Lowers your property tax rate if you own and live in your home for at least 7 months of the year.