Cost of Living in Watertown, MN
Population 4,747 · Minnesota · Data vintage 2023
(100 = US avg)
Under 25,000 residents gives Watertown a small-town character that shows up in every data point below — from the commute patterns to the rental inventory. A typical home runs $315,000. An unemployment rate of 0.0% points to a labor market well on the tight side of the national distribution.
Watertown is about 30 miles west of Minneapolis, the nearest large metro — close enough that regional housing and labor patterns are shaped largely by the larger market. Median home values run roughly 9% lower than Minneapolis' $346,000.
Cost Overview
Scale: 100 = US national average. Green < 90, Red > 110.
About the Cost of Living in Watertown
The median home value in Watertown is $315,200 — 3% above the national median of $305,000. Median rent runs $967/month, 26% lower than the national median of $1,314/month. The median household income of $93,008/year is 25% higher than the US median of $74,580. The local unemployment rate is 0.0%, 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, Watertown has a cost of living index of 91 versus the US average of 100, meaning it is 9% less expensive.
Watertown 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 Watertown, MN?
Watertown has a cost index of 91 (100 = national average). It is 9% below the national average.
What is average rent in Watertown, MN?
The median gross rent in Watertown is $967 per month based on 2023 Census data.
What is the average home price in Watertown?
The median home value in Watertown is $315,200 according to Zillow and Census data.
What is the median income in Watertown?
The median household income in Watertown is $93,008 per year (2023 ACS 5-year estimates).
What is the sales tax in Watertown, MN?
The combined state and local sales tax rate in Watertown is 7.4%. The Minnesota state income tax top rate is 9.8%.
Is Watertown, MN affordable?
Watertown is near the national average in terms of cost of living, with an index of 91 (100 = US average).
Watertown at a Glance
- Population
- 4,747
- Median Income
- $93,008
- Home Value
- $315,200
- Median Rent
- $967/mo
- Unemployment
- 0.0%
- Sales Tax
- 7.4%
Nearby Cities
Explore county-level cost of living data
Minnesota Rankings
Similar Cost Cities
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