Estimate your monthly payment using Minnesota's average home price of $320,000 and property tax rate of 1.12%. Updated for 2026.
Estimates include P&I, property tax, and ~0.5% annual insurance. Does not include PMI, HOA, or utilities.
Minnesota's housing market in 2026 has a median home price of approximately $320,000, placing it below the national median of around $420,000. Minneapolis-Saint Paul is a strong two-city metro with diverse neighborhoods spanning a wide range of price points and styles. Whether you're buying your first home in Minneapolis or relocating from another state, understanding your true monthly mortgage cost is essential before making an offer.
Property taxes in Minnesota average 1.12% of assessed value annually — a near-average property tax rate. On a $320,000 home, that translates to roughly $299 per month added to your mortgage payment. Minneapolis, Saint Paul, and Rochester all fall under Minnesota's general property tax framework, though local millage rates vary by county and municipality. Always confirm the exact rate for the specific property you're considering.
Minnesota Housing Start Up and Step Up programs offer down payment assistance and competitive mortgage rates. Beyond state programs, FHA loans remain popular in Minnesota requiring as little as 3.5% down, while VA loans offer zero-down financing for eligible veterans and active-duty service members. Conventional loans typically require 620+ credit score and a debt-to-income ratio under 45%.
Minnesota's harsh winters create unique homeownership costs including heating energy and maintenance that buyers should factor in. When shopping for a mortgage in Minnesota, compare offers from at least three lenders. Even a 0.25% difference in interest rate on a $320,000 home can mean thousands of dollars saved over the life of a 30-year loan. Pay close attention to APR — not just the rate — as it includes origination fees and points.
Use the calculator above to model your scenario. A 20% down payment on the average Minnesota home of $320,000 puts your estimated total monthly cost at approximately $2,101 at today's rates, before HOA fees or special assessments. Adjust the home price, down payment, and rate to match your specific situation and see how the numbers change in real time.
The average home price in Minnesota is approximately $320,000 as of 2026. Prices vary significantly by city and county — Minneapolis tends to be pricier while more rural areas offer lower prices.
Minnesota has a near-average property tax rate at 1.12% of assessed value. On a $320,000 home that adds about $299 per month to your housing cost. Rates vary by county, so verify the exact rate for your target property.
Minnesota Housing Start Up and Step Up programs offer down payment assistance and competitive mortgage rates. Additionally, FHA loans (3.5% down), VA loans (0% down for eligible veterans), and USDA rural loans may be available depending on location and eligibility.