Lake City, MN
Population 5,021 · Minnesota
About Lake City, MN
Lake City is a small town located in Minnesota with a population of 5,021 residents according to the latest US Census Bureau American Community Survey data. The median household income is $76,125 per year, which is 1% above the national median of $75,149. The median age of 48.4 years is notably older the US median age of 38.9 years, suggesting a more established community with a higher proportion of long-term residents.
Housing Market Overview
The housing market in Lake City features a median home value of $234,100, which is 4% below the national median of $244,900. This positions Lake City in a moderately priced market relative to the rest of the country. Median monthly rent is $1,022, 12% below the national average of $1,163/month. Of the 2,682 total housing units, 79% are owner-occupied (1,774 units) and 21% are renter-occupied (478 units). The high homeownership rate suggests a stable, established residential community.
Economy & Employment
The local economy in Lake City shows an unemployment rate of 0.4%, which is lower than the national rate of 3.7%, indicating a relatively strong job market. The poverty rate stands at 6.5%, below the national average of 12.4%, reflecting generally favorable economic conditions. Workers in Lake City have an average one-way commute time of 21.7 minutes.
Education & Demographics
32.0% of Lake City residents aged 25 and older hold a bachelor's degree or higher, compared to the national average of 33.7%. This is in line with national trends in educational attainment. The community's demographic composition includes 1.0% White, 0.6% Hispanic or Latino, 0.0% Black or African American, and 0.0% Asian residents, with 2.7% of the population being foreign-born.
How Lake City Ranks in Minnesota
Cost of Living in Lake City, MN
Compared to national averages, Lake City has a median household income of $76,125 (1% above the national median of $75,149). Home values average $234,100, which is 4% below the national median. Monthly rent at $1,022 is 12% below the US average of $1,163. Within Minnesota, Lake City's income is 3% above the state average of $74,221, and home values are 14% above the state median of $204,472.
Why Live in Lake City, MN?
Lake City offers a strong local economy with a median household income of $76,125, well above the national average, and affordable housing with a median home value of $234,100, below the US average of $244,900, and rent that’s lower than the national average at $1,022/month. Additionally, the city features a strong job market with an unemployment rate of just 0.4%, and a low poverty rate of 6.5%, better than the national average, and short commute times averaging just 21.7 minutes.
Lake City has a population of 5,021 with a median age of 48.4 years. Compare Lake City with other cities to see how it stacks up, or explore all cities in Minnesota.
Similar Cities Near Lake City
Cities in Minnesota with a similar population size.
| City | Population | Median Income | Home Value | |
|---|---|---|---|---|
| Princeton | 4,988 | $52,450 | $212,200 | Compare |
| Circle Pines | 4,980 | $96,477 | $277,300 | Compare |
| Redwood Falls | 5,075 | $61,947 | $162,000 | Compare |
| Becker | 4,958 | $90,188 | $257,600 | Compare |
| Morris | 5,092 | $63,807 | $185,200 | Compare |
| Lindstrom | 4,933 | $99,844 | $336,800 | Compare |
| Elko New Market | 4,915 | $147,381 | $407,400 | Compare |
| Luverne | 4,907 | $66,145 | $181,100 | Compare |
Demographics
Racial & Ethnic Composition
Economy & Education
Housing
Other Cities in Minnesota
Data source: US Census Bureau ACS 5-Year Estimates. Last updated: 2026-04-05.
Compare Lake City With Other Cities
Frequently Asked Questions about Lake City
What is the population of Lake City, MN?
The population of Lake City, MN is 5,021 according to the latest US Census Bureau American Community Survey estimates. This makes it a small town in Minnesota.
What is the median household income in Lake City?
The median household income in Lake City, MN is $76,125 per year, which is 1% above the national median of $75,149.
What is the median home value in Lake City?
The median home value in Lake City, MN is $234,100, which is 4% below the national median of $244,900. The majority of housing units are owner-occupied.
What is the average rent in Lake City?
The median monthly rent in Lake City, MN is $1,022, which is 12% below the national average of $1,163/month.
What is the unemployment rate in Lake City?
The unemployment rate in Lake City, MN is 0.4%, compared to the national average of 3.7%. This lower-than-average rate suggests a relatively healthy local job market.
Is Lake City, MN a good place to live?
Lake City offers above-average incomes, affordable housing, and a strong job market. With a population of 5,021 and a median age of 48.4, the city appeals to established professionals and retirees.
How educated is Lake City, MN?
32.0% of residents in Lake City aged 25 and older hold a bachelor's degree or higher, compared to the national average of 33.7%. The educational profile reflects the area's industry mix and employment landscape.
What is the cost of living in Lake City?
Key cost-of-living indicators for Lake City, MN: median home value is $234,100 (4% below national), median rent is $1,022/month, and median household income is $76,125. The home-value-to-income ratio is 3.1x, indicating relatively affordable housing relative to local incomes.
What is the poverty rate in Lake City?
The poverty rate in Lake City, MN is 6.5%, compared to the national average of 12.4%. This below-average poverty rate reflects generally favorable economic conditions in the community.
How diverse is Lake City, MN?
Lake City's population is 1.0% White, 0.6% Hispanic or Latino, 0.0% Black or African American, 0.0% Asian, and 1.0% two or more races. 2.7% of residents are foreign-born.