Inver Grove Heights, MN · Updated Oct 2026

What a Inver Grove Heights home costs each year

Property tax, water, trash and energy from public rates. Look up your address to make it yours, and see how to pay less.

Suggestions as you type come from Google; the lookup uses free public map services to find who serves it. Not stored unless you save your house.

Example · a Inver Grove Heights house

$7,949a year · $662 a month

Starts at $361,700 of value before exemptions. Typical use.

Property tax$3,924
1.360% of $361,700, less $500,000 1.00% class rate on the first $500,000 and less $13,997 homestead market value exclusion
Electricity$1,328
700 kWh a month $1,328
Water and sewer$924
6,000 gallons a month on City of Inver Grove Heights: water $28, sewer $42, stormwater utility fee, single-family first acre (new rate effective for the first full billing cycle after july 1, 2026) $6 a month
TrashNot included
Residents choose a licensed private hauler; the City does not bill for trash
Home insurance$1,774
Typical premium $1,774

A typical Inver Grove Heights house costs about $7,900 a year: $3,920 property tax and charges, $920 water and sewer, $1,330 electricity, $1,770 home insurance; trash is billed separately. Estimated from public rates, not anyone's actual bill.

Rates checked Oct 22, 2026. Insurance: what you enter, or a typical premium until you do. Sources are listed at the bottom.

Ways to pay less

Nothing here applies to every house automatically. These are worth checking:

File for homestead
Homestead reduces property taxes for owners who occupy the home as their primary residence. The homestead market value exclusion is 40% of market value for homesteads valued at $95,000 or less (a maximum of $38,000), is reduced as values rise, and phases out at $517,200 or more.
How: Apply online with Dakota County by Dec. 31; it affects the next year's taxes.
Claim the Minnesota property tax refund
Homestead owners with household income under $142,490 may get a refund based on their property tax; a special refund applies when net property tax rises at least 12% and $100.
How: File Form M1PR with the Minnesota Department of Revenue by August 15 (late filing allowed up to one year).
Seniors 65+: defer part of your property tax
The Senior Citizen Property Tax Deferral keeps taxes from exceeding 3% of net income; the state pays the rest as a low-interest loan that becomes a lien on the home.
How: You must be 65 (if married, one spouse 65 or older and the other at least 62), have household income of $96,000 or less, and have lived in, owned and homesteaded the home for the last five years; apply by Nov. 1.
Veterans with a 70%+ disability rating: market value exclusion$150,000 or $300,000 off market value
Honorably discharged veterans with a service-connected disability rating of 70% or higher can get a $150,000 or $300,000 market value exclusion on a homestead.
How: Apply with Dakota County by Dec. 31; it affects the next year's taxes.
Seniors 65+: discount on your water base fee
Seniors 65 or older may be eligible for a discount on the base fee of the water service charge; it does not apply to sewer, streetlights or stormwater fees.
How: Return the Application for Reduced Water Rates for Seniors with proof of age to Utility Billing; there are no retroactive discounts, and you apply only once.
Pay property tax by bank transfer, not card
Dakota County charges a 2.29% convenience fee for paying online by credit or debit card, but $0.35 for an electronic transfer from a bank account.
How: Pay online from your checking or savings account, or enroll in the free automatic payment program.

Money dates

Nov 1in 8 daysSenior Citizen Property Tax Deferral applications due to defer next year's taxes
Dec 31in 68 daysHomestead and Disabled Veterans applications due with Dakota County
May 15First half of Dakota County real estate taxes due; paying first-half homestead taxes on June 1 adds a 4% penalty
Aug 15Minnesota property tax refund (Form M1PR) due; you may still file up to one year late

Who serves this house

Water: City of Inver Grove Heights; City of Inver Grove Heights, single-family dwellings billed quarterly, 2026 rates
Property tax: 1.36% of value; 2026 taxes payable, Dakota County (Inver Grove Heights tax area 2003: ISD 199)
Garbage: Licensed private haulers; Residents pick one of the City's licensed trash and recycling haulers and set up service directly with it
Sewer: City of Inver Grove Heights; Sewer is billed on the city utility bill, based on your winter quarter water use
Gas: Xcel Energy; Xcel Energy collects a City fee of $2.00 a month on residential gas bills in Inver Grove Heights

Pay or manage your bills

Your water

Compliance: On Oct. 8, 2026 the City reported its water system back in compliance with EPA standards for gross alpha and combined radium after filter media replacement at the water treatment plant
Testing: Minnesota Department of Health testing of the water system is now annual rather than quarterly

Other MN cities

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How these numbers are made

Water: City of Inver Grove Heights 2026 single-family rates (Resolution 2025-243): a $23.96 quarterly base fee ($7.99 a month) plus the $5.17 quarterly MN water test charge shown on the City's sample 2026 bill ($1.72 a month), then $1.55, $3.86, $4.63 and $5.57 per 1,000 gallons. The tier limits (6,000, 21,000 and 39,000 gallons) are per quarter, so we use 2, 7 and 13 thousand gallons a month. The starting use of 6,000 gallons a month is the 18,000-gallon quarter in the City's sample bill.
Sewer: the $25.01 quarterly base fee ($8.34 a month) plus $5.69 per 1,000 gallons (Resolution 2025-244). The City bills sewer on winter-quarter water use for the whole year; the calculator charges $5.69 on the water use you enter. Stormwater is the $18.75 a quarter ($6.25 a month) single-family first-acre rate that began July 1, 2026. Some neighborhoods also pay a street light charge on the quarterly bill, which is not counted.
Garbage: Inver Grove Heights licenses private haulers and sets no prices, and the utility bill has no trash line, so trash is not counted. Your hauler's price comes on top.
Property tax: Dakota County's final 2026 payable rates for Inver Grove Heights tax area 2003 (ISD 199): 95.224% of tax capacity (county 21.031%, city 51.344%, schools 19.798%, special districts 3.051%) plus 0.16947% of market value for the school referendum. Each tax-capacity rate is applied at the 1.00% class rate on the first $500,000 and one extra line adds 0.25% times 95.224% above $500,000. Owner-occupied homesteads also get the homestead market value exclusion (40% of the first $95,000, reduced by 9% of value above $95,000, zero from $517,200), taken off the tax-capacity parts only. Other tax areas: 2001 (ISD 196, 100.326% plus 0.28896%), 2002 (ISD 197) 94.252%, and areas 2010, 2015 and 2016 (ISD 199) 95.686% to 95.834%; we assumed area 2003 is the one most homes are in and have not confirmed it, so your own tax area may differ. The school referendum rate is applied to the full market value here; the County table does not say whether it is applied before the homestead exclusion, so check against your tax statement.
Electricity: Dakota Electric's Schedule 31 rate effective June 1, 2026: the $12.00 fixed charge and a year-round energy price of 14.09¢ per kWh (14.60¢ for three summer months and 13.20¢ for nine, averaged, plus the $0.0054 Resource and Tax Adjustment). Xcel Energy also serves part of Inver Grove Heights; its rates are not modeled, so homes served by Xcel will see different electric totals. Both utilities add a City fee on the bill (a flat $2.75 a month for residential electric, $2.00 for Xcel residential gas), which is not in the totals. Natural gas heating (Xcel Energy) is not included in the totals, so a home heated with gas pays more than shown; we have not modeled Xcel's gas rates.
Typical use: 700 kWh a month (Dakota Electric's residential example in its 2026 rate notice). Insurance: the 2022 NAIC statewide average premium for Minnesota (HO-3), the newest figure we found from that source. It is an older statewide average and is probably lower than a current premium for your home, so enter your own.
Nothing here is legal, tax or insurance advice.

Sources

How Inver Grove Heights compares

A typical Inver Grove Heights house against the 58 Minnesota cities we cover, using the same default numbers as the total above.

Per year	Inver Grove Heights	Median	Where it falls
Property tax rate	1.36%	1.50%	lower than 42 of the other 55 Minnesota cities we cover
Water	$339	$368	lower than 34 of the other 57 Minnesota cities we cover
Sewer and utility-bill fees	$585	$637	lower than 40 of the other 57 Minnesota cities we cover
Electricity and gas	$1,328	$2,109	lower than 54 of the other 57 Minnesota cities we cover
Home insurance	$1,774	$1,774	in the middle of 57 other Minnesota cities we cover
Total	$7,949	$9,677	lower than 54 of the other 57 Minnesota cities we cover

Cities bill differently (some put trash on the tax bill, some cover more services), so a higher number isn't necessarily worse. The property tax rate is compared instead of dollars because house values differ.

Questions to ask your candidates

Each one starts from a number above. Any candidate can answer them.

1. Property tax rate

The fact: Inver Grove Heights's property tax rate is 1.36%, lower than 42 of the other 55 Minnesota cities we cover. The rate adds up every agency on the bill, not only the city.

Ask: "Property tax in Inver Grove Heights is 1.36%, lower than 42 of the other 55 Minnesota cities we cover. What should that money pay for first, and would you change anything about how it is set?"

2. Electricity and gas

The fact: Electricity and gas for a typical house here cost about $1,328 a year, lower than 54 of the other 57 Minnesota cities we cover. Rates are set mostly by the utility and the state.

Ask: "Electricity and gas here cost about $1,328 a year for a typical house, lower than 54 of the other 57 Minnesota cities we cover. Which parts of that can the city influence, and what would you do about them?"

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Common questions about Inver Grove Heights house costs

What is the property tax rate in Inver Grove Heights?

About 1.36% of the value before exemptions a year (2026 taxes payable, Dakota County (Inver Grove Heights tax area 2003: ISD 199)), plus flat charges on the same bill.

How much is property tax on a $500,000 house in Inver Grove Heights?

About $5,594 a year on $500,000 of the value before exemptions with the 1.00% class rate on the first $500,000.

How much is the water bill in Inver Grove Heights?

About $77 a month for water and sewer at typical use (6,000 gallons a month) on City of Inver Grove Heights.

How much does trash pickup cost in Inver Grove Heights?

Residents choose a licensed private hauler; the City does not bill for trash

When is property tax due in Inver Grove Heights?

Nov 1: Senior Citizen Property Tax Deferral applications due to defer next year's taxes Aug 15: Minnesota property tax refund (Form M1PR) due; you may still file up to one year late

Can seniors lower their property tax or bills in Inver Grove Heights?

Yes. Seniors 65+: defer part of your property tax: The Senior Citizen Property Tax Deferral keeps taxes from exceeding 3% of net income; the state pays the rest as a low-interest loan that becomes a lien on the home.

How much does a house in Inver Grove Heights cost to run each year?

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