Cottonwood, MN · standard
ZIP Code 56229
Lyon County, Minnesota - Census ACS demographics, housing tenure, and business patterns, benchmarked against every US ZIP.
- 1,871
- 7/sq mi Low-density area
- $104,375
- Median income Above-median income area
- $205,600
- Median home value Near-median home value
- 27.7%
- Bachelor's or higher Near-average bachelor's attainment
National ZIP placement
Cottonwood pairs an upper-quartile household income with below-median home values, in a rural, homeowner-dominated area.
- Top 16%
- household income, US ZIPs
- 45th pct
- home value, US ZIPs
- 7
- people per sq mi
- 84%
- owner-occupied homes
Source: U.S. Census Bureau ACS 5-Year Estimates (2019–2023). Percentiles rank ZIP 56229 against every reporting US ZIP.
FHFA HPI release change
What changed in the latest House Price Index year
- FHFA House Price Index values in ZIP 56229 (Cottonwood, MN) rose +3.2% from 2023 to 2024. The all-transactions index moved from 222.2 in 2023 to 229.3 in 2024 (2000 = 100).
ZIP code 56229 covers 252.8 square miles in Cottonwood, Lyon County, Minnesota (a standard USPS delivery area), with a modest 1,871 residents on file, a density of 7 people per square mile, in the Chicago time zone.
ZIP 56229 lands in the middle-income range, with a median household income of $104,375 (27% above the average Minnesota ZIP), while per-capita income is $49,715. The poverty rate is 6.7%, with unemployment at 5.1%; those measures add context to the income figure. Home values sit below the statewide ZIP benchmark: the median is $205,600 (20% below the average Minnesota ZIP), and median rent is $756; owner occupancy is 83.6%.
Educational attainment sits below the national norm: 27.7% of adults hold a bachelor's degree or higher, the median age is 41.6, and the average commute is 16 minutes. The page also surfaces 2 ZIP codes within roughly 10 miles and 6 more in Lyon County, so 56229 can be compared with both its immediate and county-level context.
Every figure on this page is sourced from the U.S. Census Bureau American Community Survey 5-Year Estimates (including median rent) and the FHFA House Price Index, no estimates, no proprietary scoring. Verify with Census →
Top industries in ZIP 56229
Top 5 sectors by establishment count in Cottonwood, MN
Which industries have the most business establishments in ZIP 56229.
- Other services (except public administration)
Other services (except public administration)
8 establishments
- Construction
Construction
7 establishments
- Retail trade
Retail trade
7 establishments
- Finance and insurance
Finance and insurance
4 establishments
- Manufacturing 3
Manufacturing
3 establishments
What this shows Establishment counts come from the Census ZIP Code Business Patterns program, which counts physical business locations rather than employees or revenue.
Source: U.S. Census Bureau, American Community Survey 5-Year Estimates + ZIP Code Business Patterns + FHFA HPI ACS demographics and median rent, ZBP business establishments, FHFA HPI for ZIP 56229, Cottonwood, MN · 2023 Census ACS 5-Year Estimates use a rolling 60-month sample for stable small-geography estimates; ZBP updated annually; FHFA HPI updated quarterly/annually.
Quick Facts
1,871
Population
252.8
Area (sq mi)
7
People / sq mi
Chicago
Time Zone
standard
ZIP Type
Who lives in ZIP 56229?
41.6
Median Age
54.7%
Male
45.3%
Female
2.3%
Foreign-Born
Hispanic or Latino is an ethnicity category from the Census Bureau and may overlap with other categories above.
Source: U.S. Census Bureau, ACS 5-Year Estimates (2023)
How much do residents earn?
$104,375
Median Household Income
+27% vs state ZIP avg
$49,715
Per Capita Income
6.7%
Poverty Rate
5.1%
Unemployment Rate
15.5 min
Mean Commute Time
How ZIP 56229 ranks among Minnesota ZIPs
Cottonwood, MN household income vs. every Minnesota ZIP code
Median household income among 864 reporting Minnesota ZIPs (this ZIP's population is too small for a reliable national-corpus placement)
$104,375 Top 14% higher than 86% of 864 Minnesota ZIPs
Each bar is a $20K-wide band; taller bars hold more Minnesota ZIPs. The dashed line + filled bar mark this entry. Hover or tap any bar for its full count, share, and where it sits relative to this entry.
Source U.S. Census Bureau, ACS 5-Year Estimates · 2019–2023
Source: U.S. Census Bureau, ACS 5-Year Estimates (2023)
What is the education profile here?
Source: U.S. Census Bureau, ACS 5-Year Estimates (2023)
What does housing look like?
Housing stock: occupied vs vacant
799housing units
799
Total Housing Units
725
Occupied Units
74
Vacant Units
2.30
Avg Household Size
Occupancy Type
$205,600
Median Home Value
-20% vs state ZIP avg
$756
Median Rent
1967
Median Year Built
Source: U.S. Census Bureau, ACS 5-Year Estimates (2023)
How have home values changed over time?
FHFA House Price Index, annual appreciation data based on repeat sales and appraisals
+3.2%
YoY Change (2024)
229
HPI Index (2000 = 100)
+129%
Total Change Since 2000
Home values in ZIP 56229 have increased 3.2% over the past year (2024). Since 2000, this ZIP has seen +129% cumulative appreciation.
| Year | Annual Change | HPI Index |
|---|---|---|
| 2020 | +2.5% | 154 |
| 2021 | +19.0% | 183 |
| 2022 | +12.6% | 206 |
| 2023 | +8.0% | 222 |
| 2024 | +3.2% | 229 |
Source: Federal Housing Finance Agency (FHFA) House Price Index, All-Transactions, Five-Digit ZIP Codes (Developmental Index). Index base = 100 in year 2000. Data through 2024. ZIP codes with few transactions may show missing values.
What businesses operate in this ZIP?
Census Bureau data shows 43 business establishments in ZIP 56229, employing approximately 679 people with a combined annual payroll of $38,364,000.
43
Businesses
679
Employees
$38.4M
Annual Payroll
7
Industry Sectors
| Industry | Establishments | % of Total |
|---|---|---|
| Other services (except public administration) | 8 | 18.6% |
| Construction | 7 | 16.3% |
| Retail trade | 7 | 16.3% |
| Finance and insurance | 4 | 9.3% |
| Manufacturing | 3 | 7.0% |
| Transportation and warehousing | 3 | 7.0% |
| Professional, scientific, and technical services | 3 | 7.0% |
Source: U.S. Census Bureau, ZIP Code Business Patterns (ZBP), 2023. Employment figures may include noise for disclosure avoidance.
Nearby ZIP Codes
Want a side-by-side? Compare 56229 vs 56245 →
ZIP 56229 vs its nearest neighbors, by population
Resident population of this ZIP and the closest reporting ZIP codes within ~10 miles.
- 56258
Marshall (56258)
15,617 residents
- 56229 1,871
Cottonwood (56229)
1,871 residents
- 56245 535
Hanley Falls (56245)
535 residents
What this shows Among its immediate neighbors, ZIP 56229 ranks #2 by population - useful context the national average alone can't give.
ZIP 56229 vs its nearest neighbors, by median income
Median household income of this ZIP and the closest reporting ZIP codes within ~10 miles.
- 56229
Cottonwood (56229)
$104,375 median income
- 56245
Hanley Falls (56245)
$84,583 median income
- 56258
Marshall (56258)
$72,731 median income
What this shows By household income, ZIP 56229 ranks the highest of 3 neighboring ZIPs, local affluence varies block to block, not just metro to metro.
Nationwide ZIPs with similar ACS profiles
Two Census-derived peer sets for ZIP 56229, both outside MN so the neighborhoods are not geographic containment (Nearby and same-county blocks stay local).
Similar population
Nearest cross-state ZIPs by resident population (1,871 here; floor ≥1,000).
Similar median household income
Nearest cross-state ZIPs by ACS median household income.
More ZIP Codes in Lyon County
Related Areas
Frequently Asked Questions
What county is ZIP code 56229 in?
ZIP code 56229 (Cottonwood) is located in Lyon County, Minnesota. Lyon County contains multiple ZIP codes, see the full list at /counties/lyon-mn.
What is the population of ZIP code 56229?
ZIP code 56229 in Cottonwood, MN has a population of 1,871 according to the Census Bureau ACS 2023 estimates.
What is the median household income in ZIP 56229?
The median household income in ZIP 56229 is $104,375, which is 37% above the national average of $76,288.
What is the average home value in ZIP 56229?
The median home value in ZIP 56229 is $205,600, which is 26% below the national average of $278,155.
What is the demographic makeup of ZIP 56229?
The largest racial group in ZIP 56229 is White at 93.5%. Hispanic or Latino residents make up 2.9% of the population.
How many businesses are in ZIP code 56229?
ZIP code 56229 has 43 business establishments employing approximately 679 people, according to Census Bureau ZIP Code Business Patterns (ZBP) 2023 data.
What are the main industries in ZIP code 56229?
The top industries by establishment count in ZIP 56229 are: Other services (except public administration) (8), Construction (7), Retail trade (7). There are 7 industry sectors represented in total.
How have home values changed in ZIP code 56229?
According to the FHFA House Price Index, home values in ZIP 56229 increased by 3.2% in 2024. Since 2000, home values in this ZIP have appreciated by approximately 129%. This is a developmental index based on repeat sales and appraisal data from Fannie Mae and Freddie Mac.
What is the education level in ZIP code 56229?
In ZIP code 56229, 54.6% of residents aged 25+ have a high school diploma or higher, and 27.7% hold a bachelor's degree or higher. These figures come from the Census Bureau ACS 5-Year Estimates (2023).
What is the average commute time in ZIP 56229?
The mean commute time for workers in ZIP code 56229 is 15.5 minutes according to Census ACS data. The national average is roughly 26 minutes, so commuters here spend less time traveling to work than typical.
What percentage of residents own vs. rent in ZIP 56229?
In ZIP code 56229, approximately 83.6% of occupied housing units are owner-occupied and 16.4% are renter-occupied, based on Census ACS 2023 data.
What is the poverty rate in ZIP code 56229?
The poverty rate in ZIP code 56229 is 6.7% according to Census Bureau ACS 2023 estimates. This measures the percentage of the population living below the federal poverty threshold.
Related
Take this with you
What to do with ZIP 56229's numbers, next.
- See how ZIP 56229 compares to a neighboring ZIP code on the same Census fields Compare this ZIP
- Check where Cottonwood, MN ranks among every U.S. ZIP code on income, education, or homeownership View national rankings
- Save this ZIP to your shortlist to track alongside others you're considering View your shortlist
ZIP Code Tabulation Areas (ZCTAs) are Census Bureau approximations of USPS ZIP codes; figures describe the ZCTA area, not any single address within it.