Loading
Assembling your view…
Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
Here's the thing: Dollar for dollar, few states match Minnesota's value. And most of the time, it's fine. Not great, not bad. 2 out of 2 cities undercut the national cost index of 111. Leading the pack: Minneapolis at index 96, where median rent of $1,638/month saves renters $3,084/year versus the n…
#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
Here's the thing: Dollar for dollar, few states match Minnesota's value. And most of the time, it's fine. Not great, not bad. 2 out of 2 cities undercut the national cost index of 111. Leading the pack: Minneapolis at index 96, where median rent of $1,638/month saves renters $3,084/year versus the national median.
Minneapolis is one of the cheaper options here. Rent is $1,638/month, which is lower than most cities in this ranking. The cost index is 96. Income sits at $80,269. Pretty standard for this type of city.
And here's the trade-off: Here's the state-level backdrop: Minnesota averages a 92 cost index, $1,562/mo rent, and $76,662 income across 2 cities. That tracks. That's $333 less than the national rent average. Twin Cities prosperity, outstate thrift — and that context shapes every city in this ranking.
Bottom line: Minneapolis leads this ranking for clear, data-backed reasons — but the "best" city depends on your priorities. Click into any city below to see the full detail page with 12-month trend charts, profession-specific salary data, and a breakdown of all five cost categories. If you're seriously considering a move, use our salary calculator to model your specific income against these numbers.
| 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
Why St Paul ranks #2: the numbers tell a clear story. At 87 on the cost index, residents save roughly 24% less than the typical American. Rent sits at $1,485/month — we had to double-check this one — while the median household pulls in $73,055/year. The Housing category is particularly strong at 87, though Healthcare (97) lags behind. Home prices average $289,137 — $178,233 below the national median.
Cities are ranked by median household income using Census ACS data. Income alone doesn't tell the full story — we also show cost of living index so you can gauge real purchasing power in each city across Minnesota. 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.