How to Access Property Records in Minnesota

What Information Can You Find in Minnesota Property Records?

A property history search in Minnesota can yield a cornucopia of records pertaining to all kinds of things. Some of the records you might find during a thorough property history search include:

Deeds and Conveyance Records

Everyone has heard of deeds. The deed to your house is a valuable piece of paper. Deeds transfer ownership and detail the sale or transfer of the property from one person to another. It also contains legal conveyance language that spells out the transaction and how it works.

All parties must sign deeds, and a notary witnesses them. Some of the information contained in deeds includes:

• Name of the Seller/Grantor and Buyer/Grantee.
• A detailed description of the property.
• Maps and plats along with boundaries and sometimes surveys showing the acreage and edges of the property.
• Conveyance language explaining the ownership transfer from one person or entity to another.
• Notarization and execution are at the bottom, where everyone signs to make it legal.

Much of the language contained in deeds refers to the warranty implied or specified and the conveyance of the land from one or more parties to another.

Property Tax Records

A Minnesota county property tax office is made up of an assessor, auditor, and treasurer. These people determine tax rates for each piece of real property within the county lines. They also issue bills and follow up on delinquent taxes. Property taxes pay for things like road maintenance, schools, fire, police, and local government salaries.

Minnesota's property taxes are close to the national average, with an average effective property rate of 1.02% of the property's value. Hennepin's average property tax rate is even higher at 1.28%. The median home value in Minneapolis is $329,654, meaning that taxes are roughly $3,956 per home.

Some of the information in a property tax bill in Minnesota includes:

• Value - The document will show the value determined by the local assessor. The value is the base for calculating property taxes.
• Tax Rate - The document will include the tax rate or mill rate applicable to the property. The rate differs depending on the taxing district or local area.
• Tax Calculations - The record will show the tax calculations determined by authorities. It will also note any exemptions and their exact values.
• Payment History - Property owners must make frequent payments to clear the taxes. The record will show the history of payments and the pending amount.
• Name of the Property Owner - The document should contain the owner's name and contact details. Legally, the owner is liable for the taxes.
• Property Description - The document should briefly describe the property under taxation.

How Often is Property Tax in Minnesota Assessed?

Determining and collecting property taxes in Minnesota for a year takes two years. The assessment date, known as the 'tax or lien date,' is on the 2nd of January. It is when the two-year cycle begins and extends through the following year. Local assessors at the city and town levels conduct assessments and determine the market value used to calculate the owed property taxes. There is no standard procedure for conducting property tax assessments. However, all assessors must follow state regulations when conducting assessments. The standard assessment process is as follows:

• Identification - The first step is to identify the property using its assigned identification number for tracking and assessment.
• Collection - The assessor then collects data on various property characteristics, such as construction type, size, age, and improvements.
• Market Analysis - The assessors analyze recent market data, such as the recent sales of similar properties in the area, to determine property values. They may also observe comparable sales, economic trends, and other relevant market factors.
• Valuation - The assessor determines the market value based on the collected information.
• Notice - The property owners receive a notice of calculation that lists the estimated market value and provides information on appealing.
• Appealing - The property owners may then appeal the assessment if they believe it is incorrect or unfair.

Building Permits and Regulations in Minnesota

Building permits allow you to renovate, build new construction, and demolish buildings. Most new construction and renovations require a building permit. Minnesota's Department of Labor and Industry handles issuing permits. You can learn more about the process and fees by visiting their website.

Property Liens and Encumbrances in Minnesota

Encumbrances like liens can drastically affect a property and are recorded in property records. Too many liens can make it hard to sell a property, and they must be paid off before the house can be sold. There are two main types of liens: voluntary and involuntary liens.

Voluntary Liens

Voluntary liens are cordial arrangements that you agree to. For example, when you take out a mortgage, your lender gives you the money to buy the house, and you agree to let them place a lien on the property. If you fail to pay the mortgage, they can foreclose and sell the house to get their money back.

• Mortgage Liens - If you cannot afford to buy a house with cash, you must take out a mortgage. The lender will lend you the money if you make regular payments plus interest. You use your house as collateral, and if you default on the loan, the bank can take it and sell it to pay off the debt.

  The following information may appear in a mortgage document:

  • Parties Involved - The mortgage document identifies the borrower (mortgagor) and the lender (mortgagee), providing their names and contact information.
  • Property Description - The mortgage document contains a detailed description of the mortgaged property, including its legal description and physical address.
  • Loan Details - Information about the loan itself is included in the mortgage document. This includes the loan amount, interest rate, repayment terms, and any additional terms or conditions agreed upon by the borrower and lender.
  • Lien Establishment - The mortgage document establishes a lien on the property. This lien gives the lender the legal right to foreclose on the property if the borrower defaults, allowing the lender to recover their investment.
  • Signatures - The borrower and lender sign the mortgage document to indicate their agreement to the terms and conditions outlined.

Involuntary Liens

Unlike voluntary liens, involuntary liens are imposed against your will when you fail to pay a debt. There are three main types, but you might see many other specific types during a property history search.

• Mechanic's Liens - If someone does work on your property, like a contractor, laborer, landscaper, or material supplier, and you do not pay them what you owe, they can place a mechanic's lien on your property. If you sell the property, they will be paid from the proceeds.
• Tax Liens - Everyone who owns property in Minnesota must pay taxes on it. If you fail to pay your annual property taxes, the county can impose a lien and eventually foreclose and sell your house at auction.
• Judgment Liens - Other types of creditors use judgment liens to try to get paid what they are owed. They first must take you to court, and if the judge finds in favor of the creditor, they can foreclose and sell your home to pay off what you owe them.

The Process of Property Liens in Minnesota

The process of putting a property lien in Minnesota goes as follows:

• The claimants must notify the property owner before filing the lien. They must do so in person or by certified mail unless the property is a commercial space larger than 5,000 square feet or an apartment building with more than four units.
• Next, the claimant must fill in the lien form indicating details such as the property owner's name, their details, description of the property, work or supplies given, start and end dates, plus the owed amount.
• The next step is filing the liens, which should be at the county recorder's office. Individuals must file the correct documents, provide the proper fees, and follow instructions well. A filling is best done in person, but the recorders accept other filing methods, including postage.
• The claimant must then deliver the lien statement to the property owner. After which, the claimant has the right to enforce the lien within one year.

Easements and Covenants

Easements and covenants often accompany deeds and other property records. They both affect the land and property, and you must abide by both or risk losing your home.

Easements are rights-of-way that give someone the right to access property even though they don't own it. A good example is a wireless company with towers positioned on private property. The company can access the land to maintain these towers without asking the owner.

Covenants are rules about how land or buildings can be used. You will find these with gated communities and condo developments. These rules aim to keep property values high by dictating how common areas and even private land and buildings can be used. An example would be a condo development that requires all buildings and doors to be painted the same color for consistency.

Plats and Surveys

Plats and surveys are both types of maps detailing property boundaries. The difference is that plats include boundaries from neighboring properties, while surveys contain only the boundary of a single property. Surveys are often used in new construction, utility placement, and boundary disputes.

Property Descriptions and Boundaries in Minnesota

Property descriptions are another important facet of property records. The legal property description contains map coordinates, maps, plats, surveys, and a worded description using landmarks and other details to make it easy for anyone to find it.

Surveys are special land measurements that map the coordinates of a property to clearly define its boundaries. Surveyors use special machinery to perform land surveys. Survey records are stored with deeds and other property-related records. They are often used in boundary disputes.

A boundary dispute may ensue when one person believes another is trespassing on their land. These often end up in court, where a judge must decide who owns what land. Professional surveyors frequently provide expert testimony to help the courts make an informed decision.

Foreclosures

Foreclosures appear everywhere in Minnesota property records. They can make it more difficult for a house to sell, and regular buyers may want to avoid dealing with the hassles and extra paperwork.

Houses that are heading towards foreclosure are called pre-foreclosure homes. Investors search realty and county websites looking for deals to pick up cheap and sell for a profit.