State Guides/Minnesota
MN

Minnesota Home Buying Guide

Midwest Region · Non-Judicial Foreclosure State

Homestead Exemption

Key Facts at a Glance

Median Home Price
$330,000
Property Tax Rate
1.12%
Transfer Tax
0.33%
Attorney Required
No
Foreclosure Type
Non-Judicial

What Makes Minnesota Unique

Start Up Loan offers DPA up to $17,000 for first-timers

Twin Cities market is competitive with low inventory

Homestead reduces property taxes for primary residence

First-Time Buyer Programs in Minnesota

1

MHFA Start Up Loan

Contact your state housing finance agency for current eligibility and rates

2

MHFA Step Up Loan

Contact your state housing finance agency for current eligibility and rates

3

MHFA Monthly Payment Loan

Contact your state housing finance agency for current eligibility and rates

Program availability, income limits, and interest rates change frequently. Verify current terms with your lender or state housing finance agency.

Closing Costs in Minnesota

1.1%
Avg Closing Costs
of purchase price
$3,630
Estimated Closing Costs
on median-priced home
0.33%
Transfer Tax
may be split with seller

Attorney at Closing

Attorney Not Required

Minnesota does not require an attorney at closing. A title company typically handles the transaction. Consider hiring one anyway for complex deals.

Local Tips for Minnesota Buyers

1

MHFA DPA is structured as a second mortgage with competitive rates.

2

Minneapolis/St. Paul market is very competitive in spring.

3

Minnesota has 6-month redemption period post-foreclosure.

Estimated Annual Ownership Cost in Minnesota

Based on the median home price of $330,000 with a 10% down payment and 7% mortgage rate.

Annual Mortgage Payment$23,701
Annual Property Taxes$3,696
Homeowners Insurance (est.)$1,650
Maintenance (est. 1%/yr)$3,300

Ready to Calculate Your Numbers?

Use our free calculators to estimate your monthly payment, affordability, and closing costs in Minnesota.