Lake Elmo, MN

Very High · 164

Minnesota · Population 12,504 · Updated March 2026

$2,204
Median Rent / Month
$153,407
Median Income
$588,900
Median Home Value
$2,057
Owner Costs / Month

Affordability

How far your income goes in Lake Elmo

17.2%
Rent-to-Income Ratio
Affordable
Rent takes less than 25% of median income — considered affordable by HUD standards.

Tax Burden in Minnesota

State-level tax rates that affect your costs

9.85%
Income Tax (Top Rate)
6.875%
Sales Tax
1.11%
Property Tax Rate

Estimated Annual Costs

$26,448
Annual Rent
$15,111
State Income Tax
$6,537
Property Tax (est.)

Cost of Living Overview

Lake Elmo has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 164 (where 100 equals the national median), Lake Elmo residents can expect to pay median rent of $2,204/month while earning a median household income of $153,407/year.

The median home value in Lake Elmo, MN is $588,900, with typical monthly owner costs around $2,057 including mortgage, insurance, and taxes. The median rent-to-income ratio of 17.2% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.

Minnesota's top income tax rate of 9.85% is among the highest in the nation, adding to the overall cost burden. Combined with a 6.875% sales tax rate and 1.11% effective property tax rate, the overall tax environment is a factor in the total cost of living in Lake Elmo.

Frequently Asked Questions

Common questions about living costs in Lake Elmo

What is the cost of living in Lake Elmo, MN?
The cost of living index in Lake Elmo, MN is 164 (US average = 100). Median monthly rent is $2,204, median household income is $153,407/year, and the median home value is $588,900.
Is Lake Elmo, MN affordable?
No, Lake Elmo is more expensive than the national average with a cost index of 164. The rent-to-income ratio is 17.2%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Lake Elmo, MN?
The median gross rent in Lake Elmo, MN is $2,204 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $26,448.
What is the median household income in Lake Elmo?
The median household income in Lake Elmo, MN is $153,407 per year. This compares to the national median of approximately $80,000.
What are the taxes like in Minnesota?
Minnesota has a top income tax rate of 9.85%, a sales tax of 6.875%, and an effective property tax rate of 1.11%.