2-LBAE Otsego Packet 2025 finalTuesday, April 22, 2025
Otsego
Local Board of Appeal & Equalization
1
Minnesota State Law requires assessors to value property based on historical data. Taxes payable
are always based on the prior year’s value, which was determined using sales data from a
previous time period (see chart below).
Therefore, in an escalating market, assessed values are typically lower than the current market.
Likewise, if sales prices are declining it’s possible that assessed values will be higher than the
current market. This is due to the time frame we are required to work with and the effects of a
rapidly changing market.
PREVIOUS MARKET CURRENT MARKET
Gather & Verify
Sales Data
Valuation
Year
Pay taxes
Oct. 1, 2022
Thru
Sept. 30, 2023
2024
2025
2026
Oct.1, 2023
Thru
Sept. 30, 2024
2025
2
SUMMARY OF THE OTSEGO 2025 ASSESSMENT
Estimated Market Value of City of Otsego 2020-2025 Assessment
TOTAL CITY VALUE: $3,992,153,100
(Excludes: exempt, state assessed, & personal property)
3
Otsego Valuation Change – 2025 Assessment
Property Type Net Change
(excluding n/c)
Residential +4.21%
Agriculture -1.24%
Commercial +3.01%
Industrial +15.37%
Apartments +2.85%
MH Parks 0.00%
Total Valuation +4.44%
4
Residential / Seasonal Recreational
During this year’s study, there were 288 qualified sales used for the sales ratio study with an initial state
time-adjusted median ratio of 91.45%. After adjusting for market conditions and equalization, the final
median ratio of the 2025 assessment is 95.05%. This was the result of a 4.21% net increase of total city
residential value, year-over-year. The State of Minnesota requires assessors to value property at 100 percent of
market value with an allowable median ratio range of 90 to 105 percent.
Wright County Large Cities Net % Change
Total Dollar Value of New Construction 2025 (assessment) compared to 2021-2024
Total dollar value of new construction in 2024 (Residential) $89,680,100
Total dollar value of new construction in 2024 (C/I/A/MH)* $10,980,700
Total dollar value of new construction in 2024 (Agriculture) $ 66,200
Total 2025: $100,727,000
Total 2024: $105,297,700
Total 2023: $176,372,400
Total 2022: $184,300,800
Total 2021: $130,909,900
New Construction Dwellings
(Assessment Year)
Net # of Permits
2025 239
2024 252
2023 302
District % Change
Albertville
Buffalo
Delano
0.69
4.24
1.76
Monticello 2.94
Otsego 4.21
St. Michael 3.98
5
*Graphs depict only QUALIFIED SALES from 10/1/23 – 9/30/24
$271,333
$301,343
$349,429
$421,760
$382,192
$399,435
$200,000
$250,000
$300,000
$350,000
$400,000
$450,000
2020 2021 2022 2023 2024 2025
Time-Adjusted Median Sale Price
6
*Value of all improved residential properties including seasonal recreational and partially
complete n/c
7
Review Area
2025 QUINTILE (Calendar Year)
2024 QUINTILE (Calendar Year)