A+
12%
Overall NAT. AVG.
0%
Goods & Services NAT. AVG.
38%
Housing NAT. AVG.
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Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.
The cost of living index is based on a national average of 100. For example, if the cost of living is 90, then it is 10% lower than average. If the cost of living is 110, then it is 10% higher than average. The breakdown for each index is as follows: goods & services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%) and utilities (10%). If the cost of living data was unavailable for this city, estimates based upon nearby cities were used.
Index Albert Lea Minnesota National
Cost of living8899100
Goods & Services100100100
Groceries9598100
Health care100109100
Housing62100100
Transportation9697100
Utilities10493100

An Overview of Cost of Living in Albert Lea, MN

Knowing the cost of living in Albert Lea allows individuals to create a realistic budget. This helps them understand how their income will cover expenses and whether they need to make financial adjustments. The cost of living in any region can fluctuate due to various factors. To assess the cost of living consistently across different areas, a national average of 100 serves as the basis for the cost of living index. The cost of living in Albert Lea stands at 88, marking it 12% lower than the national average.

Is Albert Lea Affordable?

Wondering if Albert Lea is affordable? It's a question that often comes up when you're thinking about a new city since affordability can really shape your decisions. The cost of living index (covered earlier), housing expenses and income levels all play a part in the affordability equation. In Albert Lea, for example, the median home price is 44.4% lower than what folks pay nationally, and monthly rent is 23.3% lower than the usual rates. Plus, income levels matter too, with Albert Lea boasting a median household income of $45,929, which is 17% lower than the national average.

What Factors can Influence the Cost of Living in Albert Lea?

Healthcare: Healthcare costs and insurance premiums can undergo substantial fluctuations based on the city or state of residence. Elements such as the availability of healthcare facilities, out-of-pocket costs for medical consultations, dental expenses, prescription medication charges and specialized medical care fees all contribute to variations in the cost of living. In Albert Lea, healthcare costs are 0.4% lower than the national average.

Urbanization: Urban areas with a wealth of amenities and employment opportunities tend to come with a higher price tag for living. Why? Well, more people want to be there, which drives up home prices and rents. On the flip side, less densely populated rural areas or places where there's not as much demand usually mean fewer attractions, things to do and slower job growth. That often results in a lower cost of living.

Utilities: Like everything else, utilities costs can range significantly depending on factors like climate, energy sources available, location and even state regulations. Things like electricity, water, heating and waste disposal costs can be higher or lower, depending on the city or state. The utilities index in Albert Lea comes in at 4.1% higher than the national average.

Where is the Data From?

The cost of living in Albert Lea, presented above is derived from the C2ER cost of living index, offering a practical method for assessing living cost disparities in urban areas. Published quarterly, this index compiles data from more than 300 independent researchers, encompassing over 60 goods and services in 6 categories. The weightings assigned to cost variances are informed by government survey data tracking the expenditure patterns of professional and executive households. It should be noted that the C2ER index does not include data on sales or income tax rates, however, AreaVibes incorporates tax rates into the overall cost of living score for each area.

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Cost Of Living Quick Facts

  • The cost of living in Albert Lea is 11% lower than the Minnesota average
  • The cost of living in Albert Lea is 12% lower than the national average
  • Albert Lea housing is 38% lower than the national average
  • Minnesota general sales tax is 35% higher than the national average
  • Minnesota state income tax is 106% higher than the national average

Most Affordable Places to Live in and Around Albert Lea

See all the best places to live around Albert Lea

Compare Albert Lea, MN Cost of Living

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      Salary Calculator

      This is how much you would need to earn in
      Price difference in compared to
      Cost of living index
      Goods & Services index
      Groceries index
      Health care index
      Housing index
      Transportation index
      Utilities index

      Median Income & Debt-To-Income Ratio

      Median Income Per Year Per Month Max Budget (28% DTI) Max Budget (36% DTI)
      Owners$56,162$4,680$1,310$1,685
      Renters$29,826$2,486$696$895
      The affordability of the housing market in Albert Lea, MN as well as the overall cost of living can be predicted by what percent of the monthly income is spent on housing related costs. This is konwn as the debt-to-income ratio (DTI). The overall rule of thumb is that no more than 28% of your gross income should be spent on the overall costs related to housing and no more than 36% of gross income on all expenses and debts. Among Albert Lea homeowners, the median income is $56,162. This indicates that a monthly maximum of $1,310 should be spent by homeowners on all housing related costs. Renters have a median income of $29,826. This indicates that renters would have a maximum of $696 for their rent related monthly costs.

      Minnesota Sales Tax

      State General Sales Tax With Max Surtax
      Minnesota 6.875% 7.875%

      Minnesota Income Tax

      State Income Tax (Low) Income Tax (High)
      Minnesota 5.35% 9.85%

      Goods & Services

      Item Albert Lea National avg. Difference
      Haircut $32.91$24.2635.6%
      Beauty Salon $35.27$45.5622.6%
      Toothpaste $3.74$3.701.1%
      Shampoo $1.24$1.283.0%
      Movie $10.32$12.1315.0%
      Bowling $10.28$18.0042.9%

      Groceries

      Item Albert Lea National avg. Difference
      Ground Beef $5.27$5.849.7%
      Fried Chicken $1.42$1.579.8%
      Milk $4.56$4.672.4%
      Potatoes $5.01$4.931.6%
      Pizza $11.94$12.091.3%
      Beer $9.82$10.415.7%

      Health Care

      Item Albert Lea National avg. Difference
      Optometrist $87.93$125.6830.0%
      Doctor $153.18$135.7812.8%
      Dentist $105.03$113.297.3%
      Ibuprofen $10.25$10.653.8%
      Lipitor $501.86$468.607.1%

      Housing

      Item Albert Lea National avg. Difference
      Home Price $102,700.00$184,700.0044.4%
      Avg. Mortgage Payment $2,232.06$2,346.694.9%
      Apartment Rent $728.00$949.0023.3%

      Transportation

      Item Albert Lea National avg. Difference
      Gasoline $3.39$3.462.1%
      Tire Balancing $54.83$59.928.5%

      Utilities

      Item Albert Lea National avg. Difference
      All Electricity $209.45$193.998.0%
      Phone $187.72$192.252.4%
      Although the cost of living data is updated regularly, this cost of living information is to be used as estimates only as prices can change on an ongoing basis.

      Nearby cities with low cost of living

      City Population Cost of Living Index National Avg.
      Scarville, IA527624.3%
      Myrtle, MN697723.2%
      Conger, MN1308119.2%
      Hayward, MN2278217.9%
      Hartland, MN4168317.4%
      Albert Lea, MN17,8048812.1%

      Cities with similar population

      City Population Cost of Living Index National Avg.
      Portland, TX17,8071010.6%
      Amsterdam, NY17,8238910.5%
      Colonia, NJ17,78213333.2%
      West Columbia, SC17,782964.3%
      El Dorado, AR17,8267920.7%
      Albert Lea, MN17,8048812.1%
      Date & Last Updated: This data reflects 2023 and was released from C2ER in January, 2024; this is the most current data available.