Fargo reports stable real estate market with 4% median price increase

The Fargo City Board of Equalization meeting on April 8, 2025, highlighted a stable real estate market, with key insights into property valuations and sales trends. Officials reported that while the market has not experienced significant price increases or a surge in foreclosures, the median price of single-family homes has risen, reflecting a resilient housing sector.

In 2024, residential sales increased by 5% compared to the previous year, with median sales prices climbing approximately 4%. This growth follows a modest increase of just 0.5% the year before, indicating a positive shift in the market. Commercial sales, however, saw an 11% decline, suggesting a slight softening in that sector.

The city has undertaken extensive reappraisal efforts, sending out around 6,100 notices of property value increases and adjusting values for approximately 18,000 properties. Notably, the access rate for review requests improved to 36.5%, up from last year. The total true and full value of properties in Fargo now stands at $23 billion, with residential properties making up a larger share than commercial ones.

Looking ahead, the projected taxable value for 2025 is estimated at $882 million, primarily driven by new growth. The meeting also addressed changes in tax increment financing, with the expiration of certain TIFs and the introduction of new ones, which now account for 1.29% of the total taxable base.

Additionally, discussions included updates on the Homestead Credit, which provides tax relief for eligible homeowners. With the state legislature currently in session, potential changes to this credit could impact future valuations and homeowner benefits.

Overall, the meeting underscored a cautiously optimistic outlook for Fargo's real estate market, with ongoing adjustments and legislative considerations shaping the landscape for residents and investors alike.