Cost of Living in Hills, MN

With a cost of living index of 76, Hills, MN is a very affordable place to live. Living here is 24% cheaper than the national average and 6% below the Minnesota state average of 82. Hills is a small community of 834 residents.

Housing costs are the biggest factor in Hills's cost of living. The median monthly rent is $962 (27% below the US median of $1,319), and the median home value sits at $184,800 (39% below the national median of $304,900). At current prices, the median home costs roughly 2.7x the median household income — well within traditional affordability guidelines.

The median household income in Hills is $67,393, which is 10% lower than the national median of $75,149. Residents spend roughly 17% 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.

Climate is another factor for anyone considering a move to Hills. The area sees an average annual temperature of 47.4°F, with summers averaging 72°F and winters around 21°F. Annual rainfall totals 27.8 inches spread over roughly 104 days. Cold winters mean higher heating bills, an important cost-of-living consideration.

Everyday prices in the Sioux Falls, SD-MN (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.