Cost of Living in Babbitt, MN

With a cost of living index of 60, Babbitt, MN is one of the most affordable cities in the country. Living here is 40% cheaper than the national average and 22% below the Minnesota state average of 82. Babbitt is a small community of 1,420 residents.

Housing costs are the biggest factor in Babbitt's cost of living. The median monthly rent is $726 (45% below the US median of $1,319), and the median home value sits at $96,000 (69% below the national median of $304,900). At current prices, the median home costs roughly 1.8x the median household income — well within traditional affordability guidelines.

The median household income in Babbitt is $54,318, which is 28% lower than the national median of $75,149. Residents spend roughly 16% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum. Lower incomes here are balanced by the significantly lower cost of living, stretching each dollar further.

Everyday prices in the Duluth, MN-WI (Metropolitan Statistical Area) metro area are generally below the national average. Out of 6 common items tracked by the Bureau of Labor Statistics, 6 are priced lower than the US average. These real-world prices — from groceries to electricity — add up and should be factored into any cost of living comparison.

Data sources: US Census Bureau (ACS 2023), Zillow Home Values, HUD Fair Market Rents, BEA Regional Price Parities, BLS Average Prices, and NOAA Climate Normals. Updated monthly.