Understanding Minneapolis’ Affordable Housing Crisis
The affordable housing crisis in Minneapolis is especially affecting residents facing rising costs, displacement, and longstanding racial disparities in access to housing. While Minneapolis has made progress in some areas, significant challenges remain for those seeking stable, affordable homes.
From 2021 through 2024, the number of homes sold in the Twin Cities metropolitan area that were affordable to low- and moderate-income buyers dropped 61 percent. The situation is particularly acute for those looking to buy: Minnesota’s homeownership rate declined in 2024, and more than half of households can no longer afford the median cost of a previously occupied home, while roughly three-quarters can’t afford the median cost of a new home.
However, there’s reason for cautious optimism. For the past 14 years, the city has surpassed $1 billion in construction value, with half of these projects dedicated to affordable housing. Since 2018, the City of Minneapolis has invested more than $400 million in affordable housing and homelessness prevention.
What Resources Are Available in Minneapolis in 2025?
City of Minneapolis Programs
The City Council awarded more than $14 million in direct investment, along with $1.7 million in 10-year federal housing tax credits, to jumpstart 11 affordable rental housing projects that add or preserve nearly 600 affordable homes for Minneapolis families, seniors, and residents exiting homelessness.
Since 2011, the City’s Affordable Housing Trust Fund (AHTF) program – that uses federal and local funding sources – has awarded nearly $183 million in Minneapolis housing, helping build and stabilize thousands of affordable units.
Public Housing Authority
The Minneapolis Public Housing Authority (MPHA) owns and operates nearly 6,000 rental units through public housing buildings and deeply affordable housing developments located across all neighborhoods in Minneapolis. MPHA administers nearly 7,500 tenant-based and project-based vouchers to households living in Minneapolis.
Contact MPHA:
- Phone: (612) 342-1480
- Address: 1001 N Washington Ave, Minneapolis, MN 55401
- Note: The Metro HRA waiting list is currently closed. Check the MPHA website for current availability and application information.
Rental Assistance & Eviction Prevention
If you’re struggling with rent or facing eviction, these programs can help:
- Hennepin County Rent Help Program: The county’s 2026 budget included $9.6 million to prevent more than 2,500 evictions through the county’s emergency rent assistance program, Rent Help Hennepin. Call (612) 204-8200 or visit the Hennepin County website.
- Tenant Resource Connection: Call (612) 767-9737 to discuss rent and eviction assistance needs.
- Energy Assistance: The Energy Assistance Program pays up to $2,000 towards heat, power and water costs, and is free for all eligible households. Call (1-800-842-7279)
Supportive & Permanent Housing
Supportive housing combines affordable housing with on-site social services for people with extremely low incomes and other vulnerabilities. Hennepin County offers capital funding and technical assistance to develop long-term affordable supportive housing projects.
Single Room Occupancy (SROs) offer quality private single rooms, shared kitchens, and shared or individual bathrooms for extremely low-income households at modest rents. SROs provide stable housing to people who don’t need social services, but who are experiencing housing instability due to high rent costs.
Homeownership Assistance
The Hennepin County Housing and Redevelopment Authority (HCHRA) created and designed the Homebuyer Assistance Program to reduce racial disparities in homeownership. Homebuyer assistance includes downpayment and closing costs, helping families afford homeownership.
Where to Find Local Help
Finding the right housing resource can be confusing. Here are key places to connect:
- General Housing Resources: Visit Housing Link for information on searching for rental housing and local programs.
- Minnesota Housing Benefits 101: Learn about all available housing programs and subsidies at Minnesota Housing.
- 211 Information Line: Dial 211 (or (651) 291-0211) for statewide referrals to housing and other services.
- Legal Help: If you’re facing eviction or need tenant rights advice, call (612) 728-5767 to reach a housing attorney (toll-free from Greater Minnesota: 1-866-866-3546).
- Shelter Assistance (Hennepin County residents): Call the Hennepin Shelter Hotline at (612) 204-8200 if you need shelter tonight.
Stable Homes Stable Schools Program
The Housing Stability Fund helps prevent homelessness by helping families at risk of losing their housing. All 43 elementary schools in the Minneapolis Public Schools district are now eligible.
Connecting with Hues Hope
If you need comprehensive support finding housing, our partners at Hues Hope offer resources tailored to people experiencing hardship. Explore our Housing Resources page to learn more. We also connect people with Financial Assistance, Legal Services, and Mental Health support to help stabilize your life.
Key Takeaway
While Minneapolis faces real affordable housing challenges, the city and Hennepin County continue investing heavily in solutions. Whether you’re facing eviction, seeking affordable housing, or looking to buy your first home, programs and resources exist. Don’t hesitate to reach out to the organizations listed above—many offer free consultations and can help you navigate the system to find what works for your situation.
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