St. Louis County property values jump 6.6%, add record $337 million in new construction

St. Louis County’s property-tax base swelled by more than $337 million in net new construction, a record that helped push the county’s total estimated market value to $30,263,111,700 for 2026. The overall countywide increase in market value, including new construction, reached $1,889,075,200, a jump of more than 6.6% from 2025.

The numbers come from the county’s latest assessment summary, which used open-market sales from Oct. 1, 2024, through Sept. 30, 2025. County assessors said residential and seasonal residential recreational property accounted for 71.72% of the total value increase, underscoring how much of the gain came from homes, cabins and other living-related property rather than only commercial projects.

That matters for homeowners, cabin owners and businesses because the 2026 valuation notices now going into the mail will be used to calculate property taxes payable in 2027. Most property owners should receive their Notices of Estimated Market Valuation and Classification by early next week. The county said the notice reflects work done in 2025, including site visits or an analysis of comparable sales, and owners who disagree with the value or classification can appeal through the local process set out by Minnesota law.

The new assessment lands as county leaders are already dealing with a higher spending plan. In September 2025, the St. Louis County Board initially approved a 2026 maximum tax levy of more than $202 million, a 12.4% increase from 2025. A larger tax base can help spread that levy across more value, which could soften some of the pressure on individual bills. But for many property owners, especially in fast-appreciating neighborhoods and lake country parcels, higher valuations still point to a larger tax burden unless local tax rates ease.

County assessors said residential sales volume remains steady, but it is still down more than 27% from its 2021 peak, showing a market that is active but no longer moving at the feverish pace seen earlier in the decade. Every parcel in St. Louis County must be viewed at least once every five years, and properties with new construction, alterations or improvements are reviewed annually.

The latest jump also tops the county’s previous record. For the 2025 assessment, St. Louis County reported $305,743,375 in new construction value, then called that figure an all-time high. A year earlier, county budget presentations pointed to $237 million in new construction as a level not seen in more than 15 years. In a county that stretches across Duluth and far beyond through the Arrowhead region, this latest assessment signals both genuine building activity and the continued strain of rising property values on the next round of tax bills.