High Gas Prices Drive Up Cost Of Housing

Twin Cities residents are realizing that the seemingly affordable homes bought far from the region's core are not quite as affordable when transportation costs -- which have escalated as a result of high gas prices -- are taken into account.

1 minute read

May 2, 2006, 6:00 AM PDT

By kheffernan


"'The old maxim, "Drive till we can afford it," may be softening,' said Michael Noonan, division president for one of the top national home builders operating in the Twin Cities area and a vice president of the Builders Association of the Twin Cities. 'The rising cost of gas is adding a dimension that people didn't used to consider as carefully as they do today.'"

This reality has been verified by research that has put a price tag on the costs of transportation in neighborhoods across the country, in order to develop a new measure of housing affordability, one that takes into account the cost of transportation.

Research in the Twin Cities "...placed a typical Farmington family's monthly transportation costs at $941. That compares to $715 in Fridley and $446 in the Longfellow and Seward areas of Minneapolis." In general, community characteristics like walkability, transit access, and proximity to local services and amenities help to keep transportation costs down, arguing for the importance of integrated housing, land use, and transportation policies that channel development into existing communities along transit corridors and promote mixed-uses and mixed-incomes.

Thanks to Kara Heffernan

Sunday, April 30, 2006 in Minneapolis-St. Paul Star Tribune

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Red 1972 Ford Pinto with black racing stripes on display with man sitting in driver's seat.

Analysis: Cybertruck Fatality Rate Far Exceeds That of Ford Pinto

The Tesla Cybertruck was recalled seven times last year.

July 2, 2025 - Mother Jones

Close-up of park ranger in green jacket and khaki hat looking out at Bryce Canyon National Park red rock formations.

National Parks Layoffs Will Cause Communities to Lose Billions

Thousands of essential park workers were laid off this week, just before the busy spring break season.

February 18, 2025 - National Parks Traveler

Paved walking path next to canal in The Woodlands, Texas with office buildings in background.

Retro-silient?: America’s First “Eco-burb,” The Woodlands Turns 50

A master-planned community north of Houston offers lessons on green infrastructure and resilient design, but falls short of its founder’s lofty affordability and walkability goals.

February 19, 2025 - Greg Flisram

Screenshot of shade map of Buffalo, New York with legend.

Test News Post 1

This is a summary

0 seconds ago - 2TheAdvocate.com

Red 1972 Ford Pinto with black racing stripes on display with man sitting in driver's seat.

Analysis: Cybertruck Fatality Rate Far Exceeds That of Ford Pinto

The Tesla Cybertruck was recalled seven times last year.

18 minutes ago - Mother Jones

test alt text

Test News Headline 46

Test for the image on the front page.

March 5 - Cleantech blog