Duluth: The Data Profile (2026)

Duluth represents a specific archetype in the post-2024 remote work realignment: the "High-Education/Low-Cost" hub. With a population of 87,693, the city punches above its weight regarding human capital. 44.4% of residents hold a bachelor's degree or higher, significantly outpacing the US average of 33.1%. This educational density suggests a robust infrastructure for tech, healthcare, and specialized trades, despite the area's industrial roots.

The primary trade-off for this educated demographic is raw earning power. The median household income sits at $61,163, which is -18.0% lower than the national median of $74,580. However, the cost of living index (excluding housing) averages 93.8, roughly -6.2% cheaper than the national average. The target demographic for Duluth in 2026 is the "Purchasing Power Optimizer"—remote workers earning a national-average salary who can leverage Duluth's depressed cost structure to maximize disposable income.

Cost of Living Analysis

The economic engine of Duluth is its utility and service pricing. While housing is the primary cost driver in most US cities, Duluth's baseline expenses provide immediate relief. Electricity costs average 15.45 cents/kWh, undercutting the US average of 16.0 cents/kWh by 3.4%. More importantly, the aggregate cost of Groceries (93.0 Index), Transportation (94.0 Index), and Healthcare (96.0 Index) remains below the national baseline.

Table 1: Cost of Living Breakdown (Monthly Budgets)

Disposable Income Analysis:
With a median income of $61,163, a single earner in Duluth has an after-tax monthly income of approximately $3,850. Following the budget in Table 1, the remaining disposable income is roughly $1,295 per month. For a dual-income household matching the median, that surplus jumps to over $4,000 monthly, allowing for rapid wealth accumulation despite lower gross wages.

Housing Market Deep Dive

The housing market is Duluth's strongest asset. The "Housing Index" of 92.0 indicates a market that is 8.0% more affordable than the national median. This is driven by a median home price that sits comfortably below the US average, offering a lower barrier to entry for first-time buyers.

Table 2: Housing Market Data (Buying vs Renting Analysis)

Buy vs. Rent Verdict:
The rent-to-price ratio in Duluth leans heavily toward buying. With a median home price of $245,000 and a 3BR rent of $1,475, the price-to-rent ratio is 13.8. Generally, a ratio below 15 favors buying. Given that the median income can support a mortgage on a $245,000 home more easily than the national average, homeownership is the statistically superior financial move for residents planning to stay 3+ years.

Economic & Job Market Outlook

Duluth's economy is stabilizing post-pandemic. The unemployment rate currently sits at 4.0%, which is exactly on par with the national average. This indicates a labor market that is neither overheated nor depressed, offering stability for relocators.

RTO & Commute:
In the 2026 context, "Office Proximity" is a secondary metric for many, but Duluth's infrastructure supports hybrid models. The average commute time is 19.5 minutes, significantly lower than the US average of 27.6 minutes. For those required to be in an office, this saves roughly 16 hours of driving per month compared to the national average. The local economy is anchored by healthcare (St. Luke’s & Essentia), logistics (port operations), and a growing specialized manufacturing sector. The high college education rate (44.4%) suggests the area is pivoting toward knowledge-based industries, insulating it from the volatility of raw commodity markets.

Quality of Life Audit

Duluth offers a "High Health Score / High Risk Factor" paradox. The aggregate Health Score is 80.2/100, which is rated GOOD. However, the underlying data reveals lifestyle challenges. The Obesity Rate is 35.1%, notably higher than the US average of 31.9%. Conversely, the air quality is exceptional, with an AQI average of 38 (Good), significantly better than the national average.

Table 3: Quality of Life Metrics

Safety & Environment:

• Safety: Duluth is statistically safer than the average US city. Violent Crime is 280/100k (US: 380/100k), placing it in the lower percentile for risk. Property Crime is 2123/100k, which is roughly average compared to the US baseline of 2,000/100k.
• Air Quality: With an AQI of 38 and PM2.5 levels of 6.5 µg/m³, Duluth offers pristine air, a major selling point for health-conscious relocations.
• Schools: Public school spending per student is approximately $14,200, slightly above the national average, aligning with the high educational attainment of the populace.
• Weather: The current snapshot of 25.0°F with light snow is indicative of a long, cold winter. Residents must budget for heating costs and winter vehicle maintenance.

The Verdict

Pros:

• Housing Affordability: Buying a home is -27.9% cheaper than the national average.
• Educated Population: High concentration of college grads (44.4%) creates a stimulating social and professional environment.
• Air Quality: Top-tier environmental metrics (AQI 38).
• Safety: Violent crime is -26.3% lower than the US average.

Cons:

• Income Ceiling: Median income is -18.0% lower than the US average, limiting local purchasing power without remote income.
• Health Risks: High obesity (35.1%) and smoking rates suggest a sedentary local culture.
• Climate: Harsh winters with current temps at 25.0°F and snow.

Final Recommendation:
Duluth is a BUY for remote workers or dual-income households where at least one earner brings in national-average wages. The -27.9% discount on housing and -6.2% savings on general living costs effectively act as a salary multiplier. It is NOT RECOMMENDED for those relying solely on local wages to save aggressively, as the income deficit offsets the cost savings.

FAQs

1. What salary is needed to live comfortably in Duluth?
For a single person, a salary of $55,000 provides a comfortable lifestyle with savings. For a family of four, a combined income of $95,000 is recommended to maintain a savings rate similar to the national median.

2. How does Duluth's value compare to Minneapolis?
Duluth housing is approximately -35% cheaper than Minneapolis, and the overall cost of living is roughly -12% lower. You trade the metro job market for the scenic location and lower expenses.

3. Is Duluth safe?
Yes. With a violent crime rate of 280/100k, Duluth is significantly safer than the national average (380/100k) and comparable to many suburban markets.

4. When is the best time to move?
Ideally, move between May and September. The current weather of 25°F and snow indicates that winter moving is logistically difficult and requires higher utility deposits due to heating costs.