Side-by-side comparison of home prices, mortgage payments, and housing costs between Duluth and Rochester, Minnesota. Using Minnesota's 1.12% property tax rate and $2,100/year insurance. Updated for 2026.
Duluth edges out Rochester in affordability, saving you roughly $490/month on total housing costs. Both cities are in Minnesota, so property tax rates and insurance costs are the same — the difference comes down to home prices and what you get for your money in each market.
Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI. Uses Minnesota's 1.12% property tax rate.
Buying in Duluth saves you approximately $490/month ($5,880/year) compared to Rochester, based on median home prices with identical loan terms.
Duluth is the better choice for first-time buyers, with a median price of $245K versus $315K in Rochester. That's $70K less to save for a down payment. You'd need roughly $9K for an FHA 3.5% down payment in Duluth, compared to $11K in Rochester. Minnesota offers the Minnesota Housing Start Up program (Up to $18,000 deferred loan) which applies in both cities.
Duluth has the better price-to-rent ratio at 18.2x versus 19.4x in Rochester. A lower ratio generally signals better rental income relative to purchase price. Average rent in Duluth is $1,120/month on a $245K median home, making it a stronger candidate for buy-and-rent investors.
Rochester (pop. 121,395) offers more amenities, schools, and services typical of a larger city, while Duluth (pop. 90,880) may offer a quieter, more community-oriented lifestyle. Families on a budget may prefer Duluth, where lower housing costs free up more income for childcare, education, and savings.