Are you ALMOST set on buying a house in Minnesota, but still on the fence because hunting in the subzero temperatures sounds like no fun? Well, you're in luck. We've gone on a hunt of our own through the depths of the inter-webs to compile this handy-dandy little guide to the housing market in The North Star State (bingo - one of their nicknames) just for you. We'll give you the important deets and throw in some tasty morsels of fun stuff on the side. So, let's get right to it.
No one likes making big decisions, even when it comes to picking out which exact city you'll be buying your next house in. Knowing which places in the state require the most/least of your hard-earned dough can help, though. We checked out homesnacks.net and made up a list of a few places in each category. Check it out.
Most expensive cities:
Least expensive cities:
And there it is. Now you're ready to choose the city that's right for you, while keeping your financial sitch in mind.
Another good thing to consider before moving to Minnesota (or anywhere, for that matter) is just what the heck the housing market is up to. So we'll groove right along to an overview for The Gopher State (mhmm, another nickname) next.
According to housingpredictor.com, it's currently a seller's market here. Inventory's been an issue for a while - in fact, all through 2017, housing supply was at the lowest it's been in more than a decade. Not to fret, though - the market's still been ranked as "very healthy" by zillow.com. Homes stay on the market for an average of three months.
But that low supply mixed with a high demand from buyers does make home prices tick upwards - as well as mortgage rates. They're expected to reach 5% by the end of 2018. But don't freak out, experts still say that homes should remain affordable. Shoo.
Of course, THE hottest places to move in the state are the Twin Cities - Minneapolis and St. Paul - which combined hold about 60% of the state's population. Both cities have a ton of cool art museums, tasty restaurants, brewpubs, hiking trails and other outdoor activities. So you can't go wrong.
Home values in Minneapolis average $260,900 currently - they went up 7.1% in 2018, and are expected to rise another 6% in 2019. Home prices are about $251 per square foot. Homes are listed on the market for around $285,000 and sell for about $242,400. Renting a house costs about $1,700/month.
St. Paul's average home value is $212,500 - values were up 6.2% in 2018, and they're expected to rise another 7.4% in 2019. Home prices are about $189 per square foot. Homes are listed on the market here for about $219,900, and sell for about $205,100. Renting a house costs about $1,478/month.
And check this out - there's a decent amount of new construction popping up here, too - mainly in/around the Twin Cities. There's also a bit surfacing further to the southeast, around Rochester. Additionally, new development is scattered throughout the center of the state - but there's virtually nothing happening in the northwestern corner.
It's great to know WHERE to search, but wouldn't you like to know HOW MUCH you might be paying for your new house? Thought so. So, we're moving right along to home values/prices next.
For starters, zillow.com says the median home value in Minnesota is $225,210, with homes currently listed on the market at an average of $265,900. Median rent is around $1,500/month. The average price of homes sold is $218,900. Home values went up 8.2% in 2018, and are predicted to rise another 4.9% in the upcoming year. The price per square foot is about $180.
As far as apartments go, according to rentcafe.com, the state's capital, St. Paul, has one-bedrooms going for an average of $1,076/month. Minneapolis is a bit pricier, with one-bedrooms going for $1,223/month, and two-bedrooms for $1,635/month. However, in some of the state's smaller towns, like Hoyt Lakes, you can find places for as low as $450/month for a one-bedroom.
Alright, townhouse fans - you're up. As shown on zillow.com, the range in rent for townhouses starts around $500/month for a one-two bed/one-bath joint, and reaches up to about $3,895/month for a five-bed/four-bath joint.
Natural disasters...every state's got 'em. Minnesota is no exception. It sits comfortably (or not) at the very tip of Tornado Alley, meaning this place gets its fair share of visits from these windy cones/ropes. In fact, as of mid-2018, Minnesota had already confirmed seven of 'em for the year - but that's actually on the low side for them.
Anyway, what does all this mean for you? Well, that you'll need to check out your homeowners insurance, to make sure you don't need more coverage. Luckily, most policies include coverage for tornadoes - but you'll need to double-check yours, specifically, to make extra-amazingly sure.
Some policies may require you to get an additional, separate tornado insurance rider, or to specifically name tornadoes among events that you want them to cover. Damage to your actual home and personal possessions is typically covered by a regular homeowners policy.
If you're a renter, your renters insurance should cover your personal property, while your landlord should cover building damage. Your policy is also likely to provide short-term housing in case the storm is extra-nasty and leaves you temporarily homeless, which wouldn't be cool.
Do yourself a favor and just learn EXACTLY what your policy covers, to avoid any potential headaches in the future. It's NOT fun to find out too late that something wasn't covered. So don't be shy about calling up your agent to go over things with you again. They won't mind. Promise.
Minnesota's also known as The Land of 10,000 Lakes - and while these lakes are pretty and full of fun stuff to do, they also have the potential to create flooding and a mess a' trouble. So, you might need to get some flood insurance.
If you live in an area deemed to be high-risk, your mortgage lender might require you to purchase extra homeowners insurance coverage specifically for flooding. But it's important to note that even areas not in designated high-risk areas might still need it. Why? Because as that old annoying (but accurate) expression goes, it's better to be safe than sorry.
Okay okay, so you might need it, but what exactly IS it? Well, broken down, flood insurance will cover your property (the actual structure of your home and the belongings in it - to an extent) if natural water (i.e., rain, waves, etc.) wreaks havoc. Many policies will say that the water must cover at least two acres of normally dry land in order to qualify for reimbursement.
Tornadoes/floods aren't fun for anyone, and having to pay extra money for more insurance isn't super-fun, either. But it's just something to keep in mind before you lock down that new house in a new place. You could always move to a different state if you're THAT concerned - but really, nowhere's perfect.
Those on the quest for knowledge might wanna know about the quality of the school system in their new state, so next up we've got a peek at an overview, Minnesota-style.
Here are some 2018 WalletHub stats about how Minnesota schools ranked in the country:
The top-rated schools in Minnesota are the Nova Classical Academy Upper School (high school) in St. Paul, and the University of Minnesota, in Minneapolis.
Okay, serious stuff - we're done with you (for now). It's time to lighten the mood. Let's find out why someone might even WANT to move to Minnesota. But don't just take our word for it - check out these pros/cons of Minnesota life, from some people who already live it.
PROs (as voted by real-life Minnesotans):
CONs (also from the mouths of real Minnesotans):
Okay, so we're more clear on WHY people move here, but what do they DO? We hit up the locals again to find out some insider's secrets to having fun 'round here, from giant malls to carnivals and statue huntin'.
Here are just a few of the state's coolest attractions:
Alright folks, that's it - our sneak preview of house-hunting in Minnesota, with some fun state trivia as a bonus feature. Obviously we can't address ALL your concerns before making such a biiiig decision (we're still shopping at the M.O.A.), but we've done our best to bring you the basic goods.
If you can't wait to get your new house in the place with the Paul Bunyan statues or the "Minnesota nice" vibes, then get your behind out to Minnesota and make it so.