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32 | Page <br />City of Little Canada Housing Study - 2025 <br />Housing Market Dynamics Takeaways <br />1. Little Canada’s vacancy rate is 8%, the highest among reference communities but still <br />within a typical range. Further analysis is needed to determine whether vacancies are <br />clustered in certain properties. <br /> <br />2. Approximately 50% of renters and 75% of homeowners in Little Canada have lived in their <br />current homes for more than five years indicating a relatively stable resident base. <br /> <br />3. Fewer than 50% of Little Canada homeowners have a mortgage, a significantly lower rate <br />than in all reference communities and the Twin Cities Metro. This may be due to a <br />combination of factors, including a higher share of manufactured homeowners—who <br />typically do not qualify for traditional mortgages—a larger population of residents over 60, <br />and a stable long-term homeowner base. As a result, many homeowners may be more <br />sensitive to increases in property taxes or utility costs, which constitute a larger portion of <br />their housing expenses. <br /> <br />4. Little Canada averages 125 home sales per year, with little fluctuation over the past six <br />years. New construction and condo/townhome sales have increased, likely driven by the <br />Pioneer Commons townhome development. Historically, Little Canada has had a higher <br />share of condo and townhome sales than reference communities, reflecting their greater <br />presence in the city's housing market. <br /> <br />5. As of 2024, Little Canada’s median home sale price was $365,000—higher than most <br />reference communities but below the Twin Cities Metro median. Over the past five years, <br />home prices have risen nearly 40%, and in the last decade, they have nearly doubled <br />(+90%). <br /> <br />6. Housing cost burden is higher in Little Canada than in all reference communities and the <br />Twin Cities Metro, with 40% of residents spending over 30% of their income on housing. <br /> <br />7. Little Canada has a significant amount of deeply affordable housing. About 12.5% of its <br />housing stock is affordable for households earning 30% AMI—the highest among <br />reference communities and six times the share across the Twin Cities Metro housing <br />stock. Additionally, nearly 50% of housing is affordable at 60% AMI, a rate exceeded <br />only by North St. Paul.