Cost of Living in Lake City, MN
Population 5,021 · Minnesota · Data vintage 2023
(100 = US avg)
Lake City is a smaller Minnesota community of around 5000 residents, where median household incomes of $76,125 and housing costs ($234,000 for a typical home) give the local cost-of-living profile a distinctly small-town shape. The labor market has been unusually tight, with unemployment around 0.4% — below most comparable cities in the state.
Located 30 miles northeast of Rochester, Lake City falls within that metro's commuting orbit. Median home values run roughly 19% lower than Rochester's $288,000.
Cost Overview
Scale: 100 = US national average. Green < 90, Red > 110.
About the Cost of Living in Lake City
The median home value in Lake City is $234,100 — 23% below the national median of $305,000. Median rent runs $1,022/month, 22% lower than the national median of $1,314/month. The median household income of $76,125/year is 2% higher than the US median of $74,580. The local unemployment rate is 0.4%, below the national average of 4.8%. Minnesota's top state income tax rate is 9.8% and the combined sales tax is 7.4%. Overall, Lake City has a cost of living index of 77 versus the US average of 100, meaning it is 23% less expensive.
Lake City has limited residential data
Detailed housing and income data is limited for this location. Here are the nearest cities with full cost of living data:
🏠 Housing
HUD Fair Market Rents by Bedroom
💰 Estimated Monthly Budget
Estimates based on median data and national averages. Actual costs vary.
🛒 Food & Groceries
National BLS average prices (2023). Local prices may vary.
🚗 Transportation
Commute Mode
⚡ Utilities
📋 Taxes
💼 Income & Employment
🎓 Education
👥 Demographics
🏫 Schools
NCES CCD 2019 — public school district data
Frequently Asked Questions
What is the cost of living in Lake City, MN?
Lake City has a cost index of 77 (100 = national average). It is 23% below the national average.
What is average rent in Lake City, MN?
The median gross rent in Lake City is $1,022 per month based on 2023 Census data.
What is the average home price in Lake City?
The median home value in Lake City is $234,100 according to Zillow and Census data.
What is the median income in Lake City?
The median household income in Lake City is $76,125 per year (2023 ACS 5-year estimates).
What is the sales tax in Lake City, MN?
The combined state and local sales tax rate in Lake City is 7.4%. The Minnesota state income tax top rate is 9.8%.
Is Lake City, MN affordable?
Yes, Lake City is generally considered affordable, with a cost of living index of 77 — about 23% below the US national average of 100.
Lake City at a Glance
- Population
- 5,021
- Median Income
- $76,125
- Home Value
- $234,100
- Median Rent
- $1,022/mo
- Unemployment
- 0.4%
- Sales Tax
- 7.4%
Nearby Cities
Explore county-level cost of living data
Minnesota Rankings
Similar Cost Cities
Cities in other states with comparable housing costs