Duluth’s housing market is experiencing notable shifts, with rising home values and active development projects addressing the city’s evolving needs.
Current Market Trends
As of April 2026, the average home value in Duluth stands at $292,800, marking a 6.8% increase over the past year. Homes typically go pending in about six days, indicating a brisk market. The median sale price is $271,750, with a median list price of $346,633. Approximately 29.6% of sales are closing above the list price, reflecting strong demand. [Source: Zillow]
Rental Market Dynamics
The rental market mirrors this upward trend. The average rent in Duluth is $1,528, a 3.8% increase year-over-year. This figure remains below the national average of $1,930, suggesting relative affordability despite rising costs. [Source: Zillow]
Development Projects Shaping the Future
Several development initiatives are underway to meet the housing demand:
Firehouse and Firehouse Flats
Completed in 2013, this project transformed the historic Fire House No. 1 into 40 affordable housing units in the Hillside neighborhood. The development combines the rehabilitated firehouse with a new three-story building, offering a mix of one, two, and three-bedroom apartments. [Source: JLG Architects]
The Lakeview at 333 E. Superior
Set to open its doors soon, The Lakeview is a 15-story mixed-use development across from the new Essentia Health hospital. It features long-term apartments, extended-stay spaces, street-level commercial areas, and a high-tech gym, contributing to downtown Duluth’s revitalization. [Source: Duluthian Magazine]
Incline Village
Located on the former Duluth Central High School site, Incline Village is a transformative project aiming to provide 1,180 market-rate housing units and 120 condominiums. The development includes residential, retail, and office spaces, along with public amenities like a pavilion and trails, addressing the city’s housing shortage and enhancing community life. [Source: Incline Village]
These developments reflect Duluth’s proactive approach to accommodating growth and ensuring a vibrant, accessible housing market for its residents.