Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Massachusetts and Minnesota. Updated for 2026.
Minnesota wins 6 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $335K and lower overall costs, Minnesota offers meaningful savings compared to Massachusetts. Both states offer first-time buyer programs — explore the state pages for full details.
Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.
Buying in Minnesota saves you approximately $1,867/month ($22,404/year) compared to Massachusetts, based on median home prices with identical loan terms.
Minnesota offers meaningfully lower home prices than Massachusetts, with median prices running 44% less ($260K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Massachusetts may find Minnesota far more accessible, particularly when combined with local down payment assistance programs.
Property tax rates are similar in both states (Massachusetts: 1.2%, Minnesota: 1.12%), so taxes shouldn't be the deciding factor in your relocation decision. Instead, focus on differences in home prices, insurance costs, and state-specific programs. Both states collect roughly comparable property tax revenue relative to home values.
Closing costs are a one-time but significant expense. Massachusetts averages $10K in closing costs (1.6% 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. Massachusetts's MassHousing DPA provides Up to $50,000 DPA loan, 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.
The bottom line: Minnesota homes cost $260K less than Massachusetts on average. That translates to roughly $1,867 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.