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Hawaii vs Minnesota:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Hawaii and Minnesota. Updated for 2026.

MetricHawaiiMinnesota
Median Home Price$830K$335K
Property Tax Rate0.28%1.12%
Avg Closing Costs$12K$5K
Closing Cost %1.5%1.4%
Transfer Tax0.2%0.33%
Homeowners Insurance$1,200/yr$2,100/yr
First-Time Buyer Program
HHFDC Hula Mae Program
Below-market rate mortgages
Minnesota Housing Start Up
Up to $18,000 deferred loan
Verdict

Hawaii and Minnesota are evenly matched across major housing cost categories. Your decision may come down to other factors like job market, climate, or lifestyle preferences. Use the calculators below to model your specific scenario.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Hawaii
Home Price$830,000
Down Payment (10%)$83,000
Loan Amount$747,000
Monthly P&I$4,722
Monthly Property Tax$194
Monthly Insurance$100
Monthly PMI$311
Total PITI$5,326/mo
Annual property tax: $2,324
Minnesota
Home Price$335,000
Down Payment (10%)$33,500
Loan Amount$301,500
Monthly P&I$1,906
Monthly Property Tax$313
Monthly Insurance$175
Monthly PMI$126
Total PITI$2,519/mo
Annual property tax: $3,752

Buying in Minnesota saves you approximately $2,807/month ($33,684/year) compared to Hawaii, based on median home prices with identical loan terms.

Which State Is Right for You?

There's a dramatic price gap between these two states. Homes in Minnesota cost 60% less than in Hawaii — that's a difference of $495K on the median home. For buyers relocating from Hawaii to Minnesota, this can mean upgrading significantly or pocketing substantial savings. The equity you've built in a Hawaii home could fund a much larger down payment in Minnesota, potentially eliminating PMI and reducing your monthly payment dramatically.

Hawaii has a moderate property tax advantage at 0.28% versus Minnesota's 1.12%. While the rate gap of 0.84% may seem small, it translates to an annual difference of approximately $1,428 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $11K in savings.

Insurance costs favor Hawaii at $1,200/year versus $2,100/year in Minnesota, a difference of $900 annually. While not the largest cost factor, this adds up to over $9K over a decade of homeownership. Shop multiple carriers in either state — actual premiums depend on your specific property, coverage level, and claims history.

Closing costs are a one-time but significant expense. Hawaii averages $12K in closing costs (1.5% of purchase price) while Minnesota averages $5K (1.4%). The difference is spread across title insurance, attorney fees, and recording costs rather than a single large tax. Budget for these upfront costs — they affect how much cash you need on hand at closing.

Both states offer down payment assistance for first-time buyers. Hawaii's HHFDC Hula Mae Program provides Below-market rate mortgages, while Minnesota's Minnesota Housing Start Up offers Up to $18,000 deferred loan. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: Minnesota homes cost $495K less than Hawaii on average. That translates to roughly $2,807 less per month in total housing costs if you choose Minnesota. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

Compare Other States

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