Home Affordability in Minneapolis, MN

The median home price in Minneapolis is $330,000 with a median household income of $63,507. Housing is significantly stretched relative to local incomes.

Median Home Price

$330,000

Median Income

$63,507

Price-to-Income Ratio

5.2x

Est. Affordable Home

$247,000

Property Tax Rate

1.16%

Annual Property Tax

$3,828

Sales Tax Rate

8.03%

Cost of Living Index

109

Buying a Home in Minneapolis

Based on the 28% rule (spending no more than 28% of gross income on housing), a household earning the median income of $63,507 in Minneapolis can afford a monthly housing payment of approximately $1,482. This translates to a home price of roughly $247,000, which is below the median home price of $330,000 — many households may need a higher income, larger down payment, or should consider more affordable neighborhoods.

Property taxes on a median-priced home in Minneapolis would be approximately $3,828 per year ($319/month) at the effective rate of 1.16%.

Down Payment Scenarios

Down PaymentAmountLoan AmountPMI Required
3%$9,900$320,100Yes
5%$16,500$313,500Yes
10%$33,000$297,000Yes
20%$66,000$264,000No

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