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  • Preserving Minnesota’s Rural Rental Homes: USDA Section 515 

    Preserving Minnesota’s Rural Rental Homes: USDA Section 515 

    Across the country, rural housing stock grew less than 2% from 2010 to 2020, and Minnesota faces the same challenge: rural communities are losing affordable homes faster than they can replace them. In many Minnesota communities, smaller rental properties with USDA Sec 515 loans are among the only available homes to seniors, people with disabilities, and families with low incomes.  

    In the next few years, thousands of USDA-financed Sec 515 properties, or rural rental multifamily homes, will reach loan maturity.  Without further action, these homes will lose the rental assistance that keeps them affordable. 

    Important to Minnesota’s Rural Residents 

    As Section 515 mortgages mature, Greater Minnesota is steadily losing affordable homes that are difficult—often impossible—to replace once they are gone. In 2000, Minnesota was home to 453 Section 515 properties with 9,519 rental units. In 2026, there are 402 properties with 8,804 units—a loss of 715 affordable rural rental homes in just six years due to maturing mortgages and other property exits.

    • In 48 of 80 counties in Minnesota, Section 515 homes account for more than 20% of all subsidized housing, reaching as high as 45% in some counties
    • Almost 90% of Section 515 properties have 30 or fewer units
    • Properties average at least 35 years old
    • Residents have very low incomes: $20,800 on average, or $14,200 for households with rental assistance
    • Many residents are seniors (30%) or people with disabilities (17%)

    Section 515 Properties and Units, 2026; Exits From 2025–March 2026 

    Congressional District Active
    Properties      		Active
    Units      		Properties
    Exited      		Units
    Exited 
    1 92 1941 9 121 
    2 21 530 0 0 
    3 1 25 0 0 
    6 44 1171 2 45 
    7 153 3071 5 46 
    8 91 2066 1 24 

    Minnesota Is One of the States Most at Risk of Losing Rural Rental Homes Residents Can Afford 

    The peak of mortgage maturations for Section 515 properties in Minnesota will occur in 2030, about 10 years before the peak in mortgage maturations occurs for Section 515 properties in the U.S. — with the potential for thousands of Section 515 homes to leave the program.

    Year USDA RD 515 Properties in MN Rental Units 
    2026 402 8804 
    2025 418 9032 
    2023 433 9207 
    2020 453 9519 

    Preserving Minnesota’s Section 515 rental homes is one of the most cost-effective ways to maintain housing stability. Federal appropriations priorities for preserving Section 515 homes include: 

    • Section 515 Multifamily Direct Loans   
    • Multifamily Preservation and Revitalization Program 
    • Section 521 Rental Assistance and Section 542 Vouchers 
    • Multifamily Housing Nonprofit Transfer Technical Assistance Program (USDA)
    • Stand Alone Rental Assistance (decoupling)

    MN Sec 515 Snapshot 2026

    MN Sec 515 Snapshot 2026: CD 1 

    MN Sec 515 Snapshot 2026: CD 6

    MN Sec 515 Snapshot 2026: CD 7

    MN Sec 515 Snapshot 2026: CD 8

    MHP’s Community Development Team can assist with technical assistance and your 515 transfer!

    Section 515 Technical Assistance

    Jenny Jones

  • Out of Reach 2026

    Out of Reach 2026

    When hard-working Minnesotans are struggling to keep up with rising housing costs in our community, you know there’s a problem. Today, many Minnesotans know all too well the struggle of paying more than they can afford for housing. Out of Reach is released annually by the National Low Income Housing Coalition and provides rental affordability data for every state, metro area, and county in the US. You can read the full 2026 report now.

    MHP’s Minnesota Snapshot of the 2026 Out of Reach report highlights state and county trends that reveal that households in every corner of Minnesota are spending thousands of dollars more than they can afford each year just to pay the rent for a modest apartment.

    Some Minnesota highlights from the 2026 report include:

    • The Fair Market Rent (FMR) for a two-bedroom apartment in Minnesota is $1,504. In order to afford this level of rent and utilities — without paying more than 30% of income on housing — a household must earn more than $60,159 annually. 
    • Minnesota ranks #27 in the nation for the highest wages required to afford a modest two-bedroom apartment. The hourly wage required to afford a modest two-bedroom apartment in Minnesota is the most expensive in the Upper Midwest, including $4.16 higher than the Wisconsin housing wage, $7.60 higher than Iowa’s, $7.89 higher than South Dakota’s, and $8.00 higher than North Dakota’s.  

    Hourly wage needed to afford a two-bedroom apartment 

    • To afford rent without paying more than 30% of their income on housing, Minnesotans would need to earn $60,159 to afford a modest two-bedroom apartment. However, the average Minnesota worker earns an estimated $21.51 per hour, or the equivalent of $44,740 annually. 
    • Compared to the state housing wage of $28.92, non-metro area workers would need to earn $19.86 hourly to afford a two-bedroom apartment, or the equivalent of earning $41,318 annually. 
    • The Minneapolis / St. Paul metro area has the highest housing wage in the state, with a worker needing to earn $32.87 per hour — or earning an annual salary of $68,370 — to afford a modest two-bedroom apartment in the region. 

    Rent affordable to median-income renter 

    • Median-income renters in Carver County can afford the highest rent in the state at $1,807 per month. 
    • Median-income renters in Traverse County can only afford $539 per month, the lowest amount in the state. 
    • In contrast to a median-income renter being able to afford $1,370 at the statewide level, the median-income renter household in non-metro Minnesota can afford far less — at $1,035 per month. 

    Hours at minimum wage to afford 1 bedroom apartment: 

    • Minimum wage workers in Minnesota must work 83 hours per week to afford a modest one-bedroom apartment and 101 hours per week for a modest two-bedroom. This is the equivalent of working 2.1 or 2.5 full time jobs to afford a one and two-bedroom apartment, respectively. 
    • Workers earning minimum wage in Minnesota must work at least 50 hours per week in every county in the state to be able to afford rent for a one-bedroom apartment. Statewide, a one-bedroom apartment costs $614 more per month, or $7,368 annually, than a full-time minimum wage earner can afford. 
    • In non-metro areas, minimum wage workers must work 55 hours per week to afford a modest one-bedroom apartment, and 70 hours for a two-bedroom apartment. 
    • In the 7-County Metro*, minimum wage workers must work 95 hours per week to afford a modest one-bedroom apartment, and 115 hours for a two-bedroom apartment. 

    *Excluding Minneapolis and Saint Paul 

    Many of the most in demand jobs earn less than the housing wage, including critically needed healthcare jobs:

    • Home health and personal care aides, Minnesota’s most in-demand occupation, do not earn enough to afford a one-bedroom at fair market rent. The median hourly wage for over 128,000 people working in this field falls short by $10,380 annually to afford a modest one-bedroom apartment. 
    • Seven of the top ten in demand jobs in Minnesota do not pay enough to afford a modest one-bedroom apartment, and eight of the top ten occupations do not pay enough to afford a modest two-bedroom apartment. 

    Out of Reach data is available for every county and metro area in the country. Click here to see how Minnesota counties compare to each other.

    Brian Muhs

  • 2026 Legislative Session Summary

    Prepared by MHP Policy Manager Courtney Schaff

    We are celebrating more than $200 million for housing in the 2026 Session. Despite challenging dynamics, lawmakers achieved bipartisan agreement this session on a housing bill with robust investments in housing stability. The session featured the most closely divided legislature in Minnesota history, a difficult budget outlook, and debates around fraud, gun violence, Operation Metro Surge, and more. Finding agreement on meaningful housing investments and policy is a win for lawmakers and families throughout Minnesota. 

    Read the 2026 Legislative Session Summary

    Brian Muhs

  • 2026 County Profiles

    2026 County Profiles

    MHP Research Highlights Housing Costs, Homeownership Gaps, and Rental Shortages in All 87 Counties

    A stable home is the foundation for strong communities, economic opportunity, and a thriving Minnesota. Yet new research from MHP finds that people in every corner of the state are increasingly struggling to find a home they can afford.

    MHP’s County Profiles report is one of the organization’s most widely used research tools. Updated every two years, the profiles examine housing conditions in all 87 Minnesota counties, providing local data on housing costs, renter and homeowner cost burden, homeownership disparities, the wages needed to afford housing, and the shortage of homes affordable and available to renters with extremely low incomes.

    Key Findings from the 2026 County Profiles

    • Every county in Minnesota has too few homes that are affordable and available to renters with extremely low income.* In 79% of counties, the shortage exceeds 100 homes; in nearly one-third of counties (32%), it exceeds 500 homes. 
    • Home values rose faster than homeowner incomes from 2023 to 2024. Home values increased in every county in Minnesota this year, while homeowner incomes increased in only 65% of counties.  
    • At least one in four renters are cost burdened— paying more than they can afford for housing—in every county in the state. In 20 counties, more than half of renters are burdened. 
    • Senior renters face especially high housing costs. In every county, at least 30% of senior renter households are cost burdened, and in 78% of counties, more than half are cost burdened.
    • White, non-Hispanic households have high homeownership rates across Minnesota, ranging from 65% to 89%. Yet large disparities remain: in Minnesota’s most populous counties,** homeownership rates for Black, Indigenous, and other households of color ranges from 42% to 74%. 

    *Extremely low-income indicates people are those earning less than $33,000 a year. Because higher-income households often occupy homes affordable to lower-income renters, the shortage of affordable and available homes for extremely low-income renters can exceed the state’s overall housing shortfall.
    **Counties with over 100,000 households.

    “The data in these profiles tell a remarkably consistent story across Minnesota’s 87 counties,” said Gabriela Norton, Director of Research at MHP. “In every county, renters with extremely low incomes face a shortage of homes that are affordable and available to them, and in every county, at least one in four renters is cost burdened. We also see that older adults and households of color are more likely to face barriers to stable housing and homeownership. By making these trends visible at the local level, we hope these profiles can help communities and policymakers better understand the challenges they face and identify solutions that can make a difference.”

    “A stable home is the foundation for opportunity and strong communities. These profiles show that communities across Minnesota are facing a common challenge: housing costs are rising and there are too few homes people can afford. The good news is that communities across Minnesota are already showing us what is working in their communities when we invest in more homes and more housing choices.” said Anne Mavity, Executive Director of MHP.

    The County Profiles are intended to help local leaders, advocates, policymakers, and community members better understand housing conditions in their communities and support local conversations about solutions.

    PDF of all County Profiles

    Links to Profiles by County

    Aitkin

    Anoka

    Becker

    Beltrami

    Benton

    Big Stone

    Blue Earth

    Brown

    Carlton

    Carver

    Cass

    Chippewa

    Chisago

    Clay

    Clearwater

    Cook

    Cottonwood

    Crow Wing

    Dakota

    Dodge

    Douglas

    Faribault

    Fillmore

    Freeborn

    Goodhue

    Grant

    Hennepin

    Houston

    Hubbard

    Isanti

    Itasca

    Jackson

    Kanabec

    Kandiyohi

    Kittson

    Koochiching

    Lac qui Parle

    Lake

    Lake of the Woods

    Le Sueur

    Lincoln

    Lyon

    Mahnomen

    Marshall

    Martin

    McLeod

    Meeker

    Mille Lacs

    Morrison

    Mower

    Murray

    Nicollet

    Nobles

    Norman

    Olmsted

    Otter Tail

    Pennington

    Pine

    Pipestone

    Polk

    Pope

    Ramsey

    Red Lake

    Redwood

    Renville

    Rice

    Rock

    Roseau

    Scott

    Sherburne

    Sibley

    St. Louis

    Stearns

    Steele

    Stevens

    Swift

    Todd

    Traverse

    Wabasha

    Wadena

    Waseca

    Washington

    Watonwan

    Wilkin

    Winona

    Wright

    Yellow Medicine

    County Profiles data is gathered from a variety of sources, including:

    • Cost burden and homeownership: U.S. Census Bureau, American Community Survey (ACS), 2024 5-year estimates.
    • ELI renters and affordable homes: U.S. Department of Housing and Urban Development (HUD), ACS 5-year Comprehensive Housing Affordability Strategy (CHAS) county estimates, 2025 release based on 2018-2022 data 
    • In-demand jobs: Minnesota Department of Employment and Economic Development (MN DEED), Occupations in Demand, 2025
    https://mhp.sdho.dev/2023-county-profiles
    https://mhp.sdho.dev/2021-county-profiles

    Jenny Jones

  • The Gap Report 2026 Finds Shortage of Homes for Lowest-Income Renters

    The Gap Report 2026 Finds Shortage of Homes for Lowest-Income Renters

    Everyone deserves a safe, stable place to call home. But a new national report released today highlights a persistent challenge for Minnesota: there are still far too few homes affordable to the state’s lowest-income renters. The National Low Income Housing Coalition’s annual The Gap report shows that while housing shortages affect communities across the country, the impacts are most severe for households with the lowest incomes.

    In Minnesota, there are only 41 affordable and available homes for every 100 extremely low-income renters, leaving a shortage of approximately 97,500 homes.

    Key Findings for Minnesota include:

    • 166,500 extremely low-income renter households live in Minnesota, an increase of 700 households since last year.
    • Minnesota still needs 97,500 additional homes affordable to extremely low-income renters, though the shortage has declined by 3,700 homes compared to last year.
    • Minnesota has 41 affordable and available homes per 100 extremely low-income renters, compared to 35 per 100 nationwide.
    • 83% of extremely low-income renter households are cost-burdened, spending more than 30% of their income on housing.
    • 70% are severely cost-burdened, spending more than half of their income on rent and utilities.

    When housing costs consume such a large share of income, households are often forced to sacrifice other basic needs like food, medicine, and healthcare.

    Extremely low-income renters include seniors living on fixed incomes, people with disabilities, caregivers, and workers in low-wage jobs — Minnesotans who are essential to strong communities and local economies.

    “The Gap report makes clear that households with the lowest incomes face the greatest barriers to stable housing in Minnesota,” said Anne Mavity, Executive Director of MHP. “When there simply aren’t enough homes affordable to them, families are forced to stretch beyond what they can afford or compete for a shrinking number of options.”

    National context

    Nationwide, the report finds a shortage of 7.2 million affordable and available rental homes for 11 million extremely low-income renter households, with just 35 affordable and available homes for every 100 renters in this income group.

    No state has enough homes affordable to meet the needs of its lowest-income renters.

    Addressing the shortage

    Addressing this shortage will require sustained investment in deeply affordable homes, stronger housing stability programs that prevent homelessness, and policies that make it easier for communities across Minnesota to create and preserve housing opportunities.

    Download The Gap

    View the Minnesota Profile here.

    Jenny Jones

  • 2026 State Profile

    2026 State Profile

    The 2026 State Housing Profile shows that Minnesota’s housing shortage continues to strain renters, workers, and first-time homebuyers, with the greatest impacts falling on households with the lowest incomes and on communities of color.

    “These findings make clear that Minnesota’s housing shortage isn’t an abstract problem — it’s showing up in people’s day-to-day lives,” said Anne Mavity, Executive Director of MHP. “When people working in our most in-demand jobs can’t afford to live near where they work, and when renters are forced to choose between housing and basic needs, that’s a sign our housing system is out of balance. This report points to where the gaps are — and why action matters.”

    Key Findings from the 2026 State Housing Profile

    • Nearly half of Minnesota renter households are cost burdened, leaving families less money for food, health care, and other basic needs. The strain is even greater for older adults, with 63% of senior renters cost burdened.
    • Minnesota’s housing shortfall has the greatest impact on renters with the lowest incomes. For extremely low-income renters alone, there is a shortage of more than 101,000 affordable and available homes.*
    • The median age of a first-time homebuyer in Minnesota has risen to a historic high of 40 years, reflecting growing barriers to entering the housing market.
    • Home values are rising faster than homeowners’ incomes. None of Minnesota’s top five in-demand jobs pay enough for workers to afford homeownership, and, of the five, only registered nurses earn enough to afford quality rental housing.
    • Minnesota ranks 45th in the nation with one of the worst homeownership gaps between white (non-Hispanic) households and households of color. Homeownership rates declined in the past year for Black, Native American, Hispanic, and Asian households.
    Download 2026 State Profile

    Previous State Profile: 2025

    *Extremely low-income indicates people are those earning less than $33,000 a year. Because higher-income households often occupy homes affordable to lower-income renters, the shortage of affordable and available homes for extremely low-income renters can exceed the state’s overall housing shortfall.

    Jenny Jones

  • 2025 Congressional District Profiles

    2025 Congressional District Profiles

    MHP’s Congressional District Profiles break down housing affordability, homeownership gaps, and cost burdens across Minnesota’s eight congressional districts. The Congressional District Profiles are part of MHP’s series of reports on housing data and affordability metrics, including the 2025 State Housing Profile and Legislative District Profiles. The report provides a rare, congressional district-level view of the housing challenges Minnesotans face — underscoring that no region is untouched by rising housing costs and persistent disparities in homeownership.

    “This report paints a clear picture of a statewide reality: far too many Minnesotans—whether renting or owning—are struggling with housing costs. What’s striking is how these challenges show up in every congressional district, even as local conditions differ. In-demand jobs in many communities don’t pay enough to afford a home, and the result is a growing burden on the very people we rely on most. We hope this district-level data helps leaders craft solutions that meet the unique needs of their constituents.” -Anne Mavity, MHP Executive Director

    Minnesota map showing congressional districts

    In all districts, the salary needed to afford a median-value home far outpaces what homeowners actually earn, with Districts 5, 7, and 1 (respectively) containing the largest gaps. And, in three districts, rent far outpaces what the median earning renter can afford (Districts 6, 7 and 1, respectively).

    Key findings include:

    • District 1 has the highest percentage of severely cost-burdened renter households in the state, with 27% spending more than half their income on rent.
    • District 2 stands out as the only district where the typical renter earns more than needed to afford the median rent—by about $2,500 annually.
    • District 3 reports the highest median rent and home value (and highest income among renters and owners in the state), and over half of renter households (51%) are cost burdened.
    • District 4 data shows most housing indicators falling near the statewide averages, including that high demand jobs, with the singular exception of registered nurses, don’t cover the cost of rent or a median priced home.
    • District 5 has the highest share of renters (47%) and the lowest rate of cost-burdened renter households. This district has the highest percentage of cost-burdened senior homeowners (33%).
    • District 6 reveals deep struggles for seniors, with 73% of older renter households cost-burdened—the highest rate statewide. This district also has the largest gap between median renter income and the salary needed to afford median rent—renter households would need to earn an additional $3,355 annually to afford median rent. It also has the smallest racial homeownership gap.
    • District 7 homeowners and renters do not earn enough to afford a median-value home or median-rent apartment, with the gap between median income and housing costs the second largest in the state for both homeowners and renters. The district has the largest racial homeownership gap, and the lowest rate of cost burden among seniors.
    • District 8 faces the highest owner cost burden, with 22% of homeowners spending more than 30% of their income on housing costs; additionally, District 8 has the highest proportion of homeowners who have “low income,” with 15% of homeowners earning under $35,000 annually.

    Across all districts, the data reveals a common thread: the cost of housing is outpacing incomes, particularly for renters and seniors, and long-standing racial inequities in homeownership persist.

    Download All 2025 Congressional District Profiles

    Previoius Profiles: 2021 Congressional District Profiles

    Jenny Jones

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  • 2025 State Housing Continuum

    From ending homelessness to providing rental opportunities to promoting homeownership, creating and maintaining affordable homes for all requires work across a wide spectrum. MHP’s continuum resource visually illustrates the Housing Continuum of the state, including the types of strategies to address those areas of need and the institutions and entities engaged in that work.

    Download the 2025 State Housing Continuum

    RobynLingen

  • State of the State’s Housing 2024

    State of the State’s Housing 2024

    Read the report

    Whether we’re digging each other out of the snow or sharing a meal, in Minnesota, we look out for each other. Today we face many challenges, but stable housing should not be something you have to think about—it should be something that families can count on every day. Yet, many Minnesotans know all too well the struggle to find a place to live, make rent, or cover our mortgage. MHP’s statewide research shows over a quarter of Minnesota families, including half of all renting families, pay more than they can afford for housing—and that number, along with the problem, is growing.

    MHP’s 2024 State of the State’s Housing report combines the State Housing Profile with Key Findings and Trends (released in March 2024) with a detailed analysis of housing trends across all seven Minnesota regions (Central, Northland, Northwest, Southern, Southwest, Twin Cities, and West Central). Each regional profile includes localized data on factors such as cost burden, the salaries needed to afford housing, eviction rates, and homelessness—revealing the unique challenges each region faces. Featured alongside the profiles are stories of organizations and individuals working tirelessly to bring about positive change in their area.

    Since 2017, MHP’s State of the State’s Housing report has provided critical statewide housing data, serving as an important baseline for understanding the housing climate and its impact on Minnesotans. These reports are widely used by media and housing advocates to paint a comprehensive picture of Minnesota’s housing challenges. By equipping advocates and lawmakers with data-driven insights, we can collectively address solutions so all Minnesotans have access to stable housing they can afford.

    Ensuring everyone has a safe place to lay their heads at night—whether our loved ones or strangers—will make our neighborhoods more vibrant, our communities safer, and our state stronger.

    Read the full report here

    Brian Muhs

  • Emergency Rental Assistance During The COVID-19 Pandemic

    Emergency Rental Assistance During The COVID-19 Pandemic

    May 2023

    MHP has published a report, Emergency Rental Assistance During The COVID-19 Pandemic: Findings and Recommendations for Preventing Evictions And Rental Arrears. The report reviews the impact of federally-funded emergency rental assistance (ERA) in Minnesota.

    Download (PDF): Emergency Rental Assistance During The COVID-19 Pandemic

    Previously in the Renter Snapshot Series:

    View the May 2022 report.

    View the January 2022 report.

    Brian Muhs