Loading
Assembling your view…
Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
The numbers are clear: 2 of 2 cities in Minnesota beat the national cost-of-living benchmark of 111. Minneapolis stands out at 96 on the index, with rent of $1,638/month and household income of $80,269. Assembled from 2026 Census, Zillow, and BLS data.
#1 Ranked: Minneapolis — cost index 96, rent $1,638/mo, income $80,269
2 of 2 cities come in below the national cost-of-living average of 111
Data sourced from Census Bureau, Zillow, BLS, and Tax Foundation — current as of 2026
The numbers are clear: 2 of 2 cities in Minnesota beat the national cost-of-living benchmark of 111. Minneapolis stands out at 96 on the index, with rent of $1,638/month and household income of $80,269. Assembled from 2026 Census, Zillow, and BLS data.
Minneapolis earns its position at #1 through a combination that's hard to replicate. The 96 cost index sits 15 points below the national baseline, and the $80,269 median income means purchasing power here is amplified by the low cost base. Homes list at $327,043 — $140,327 below the national median — a genuine ownership opportunity. On the cost side, Housing leads the way at 96, while Healthcare trails at 99. If you've been scrolling through listings in high-cost metros and feeling defeated, look at these numbers again. Seriously. The difference between renting here and renting in a major coastal city could literally fund a retirement account. That's not hyperbole — run the math yourself. A thousand dollars a month saved, compounded over a decade, is a down payment on a house. In this city, that math actually works.
The same data, viewed through a different lens: State context matters: Minnesota's 2 cities average a 92 cost index with $1,562/month — for better or worse — median rent and $76,662 household income. Twin Cities prosperity, outstate thrift. Below, we name the single metric that lifts this city past every competitor (that's pre-tax, of course).
If you're ready to act on this, three things to do next: 1) Click into the city pages for the top 3 and check rent trends — direction matters more than the snapshot. 2) Run your income through the salary calculator for a personalized cost comparison. 3) Compare your top two picks head-to-head on our comparison page. The data is here; the decision is yours.
| Rank | City | Cost Index | Median Rent | |
|---|---|---|---|---|
| 1 | Minneapolis | 96 | $1,638 | Details |
| 2 | St Paul | 87 | $1,485 | Details |
425,115 residents · Minnesota
What does daily life actually cost in Minneapolis? Start with the 24% rent-to-income ratio — that's the kind of margin that lets people build savings. On the category level, Housing (index 96) is where the real savings show up, while Healthcare (index 99) is the line item most likely to surprise newcomers. Income at $80,269 and homes at $327,043 round out a profile that ranks #1 for clear reasons.
303,820 residents · Minnesota
St Paul earns its position at #2 through a combination that's hard to replicate. The 87 cost index sits 24 points below the national baseline, and the $73,055 median income means purchasing power here is amplified by the low cost base. Homes list at $289,137 — $178,233 below the national median — a genuine ownership opportunity. On the cost side, Housing leads the way at 87, while Healthcare trails at 97.
Cities with the highest rents in Minnesota are ranked from most expensive to least. High rent doesn't always mean unaffordable — we pair rent data with income to show the full picture. All data is sourced from federal agencies and verified research institutions. Cost of living indices are normalized to 100 (national median) using Zillow rent as the primary signal, with sub-category adjustments derived from regional BLS price data. Rankings are updated monthly as new data is released.
Minneapolis ranks #1 in Minnesota for this analysis with a cost index of 96 and median income of $80,269.
Our cost of living index uses real Zillow rent data as the foundation, indexed to 100 (national median). Sub-categories (housing, food, transport, utilities, healthcare) are derived from the overall index with regional adjustments. Data is updated monthly.
Minneapolis (ranked #1) has a cost index of 96 and rent of $1,638/mo, while St Paul (ranked #2) has a cost index of 87 and rent of $1,485/mo — a 9-point difference in cost of living.
City data is refreshed monthly from Census Bureau population estimates, Zillow rent and home price indices, BLS salary data, and Tax Foundation tax rates. Last updated: 2026.
The median 1-bedroom rent in Minneapolis is $1,638/month as of 2026, based on Zillow's Observed Rent Index. This is $257 below the national median of $1,895/month.
The median home price in Minneapolis is $327,043, which is 4.1× the local median income. It's on the edge of affordability for median-income households. The national median home price is $467,370.
Minnesota has a 9.85% state income tax rate. Combined state and local sales tax averages 7.545%, and the effective property tax rate is 1.02%.
This ranking was generated using data current as of early 2026. Population and income data comes from the Census Bureau's American Community Survey (5-year estimates). Rent and home price data is from Zillow's monthly releases. Tax rates are from the Tax Foundation's 2025 edition. Rankings are refreshed monthly.