Real Estate Investing in Montrose, Minnesota (55363)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 55363 (Montrose, MN)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
No major risk flags on the data we track.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Montrose, MN (55363)?
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Market Analysis: 55363 Montrose
Investors eyeing 55363 need to respect the fundamentals at play. Home values of $327K come alongside slower price movement and elevated management overhead.
The investment case in 55363 is durable only for operators who understand what they are buying. A $327K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Statewide comparisons place 55363 among MN's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
The 55363 ZIP's population of 5,664 has faced economic pressure over the last decade. That pressure shows up in rent delinquency patterns that clocks in at the need for careful underwriting.
Experienced landlords with local relationships tend to find 55363 workable. Turnkey investors from out of state usually find the numbers do not hold up in practice.
Here's what matters if you're considering buying a home in Montrose:
Property Strategy for 55363
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $255,960 | $1,560 | 4.4% | +7.0% | $127,980 |
| 3BR | $318,291 | $2,060 | 4.7% | +5.6% | $106,097 |
| 4BR | $336,643 | $2,310 | 4.9% | +6.1% | $84,161 |
| 5BR | $376,353 | — | — | — | $75,271 |
Market Trends
Home Value History (with trend line)
📊 How Does 55363 Compare?
| Metric | 55363 | Montrose | Minnesota |
|---|---|---|---|
| Home Value | $327,009 | $327,009 | $340,597 |
| 5-Year CAGR | 3.6% | 3.6% | 4.9% |
| Avg Rent | $1,404 | $1,404 | - |
| Cap Rate | 3.4% | 3.4% | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 55363 (Montrose, MN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $327,009 |
| Monthly Rent | $1,404 |
| Price-to-Rent | 19.4:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.2% |
| Cap Rate | 3.4% |
| 5-Year IRR | 6.9% |
📈 Home Appreciation
| 1-Year | +3.9% ▲ |
| 3-Year CAGR | +2.8% ▲ |
| 5-Year CAGR | +3.6% ▲ |
| 10-Year CAGR | +6.8% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.4%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 55363
Population: 5,664
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 55363
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Frequently Asked Questions
What kind of market is Montrose, MN for investors?
With a 3.0/5 investability score, Montrose, MN ranks as a solid market for rental property investors. Median prices of $327K and rents of $1,404/mo drive the underlying numbers.
Are renters plentiful in Montrose, MN?
The renter base in Montrose, MN is reasonable for the $1,404/mo price point. Screening well and pricing to market typically yields stable tenants.
How high is vacancy risk in Montrose, MN?
Occupancy in Montrose, MN runs even-keeled with elevated vacancy. Well-priced units at $1,404/mo lease on reasonable timelines.
How do landlord-tenant laws work in Montrose, MN?
Rental owners in Montrose, MN deal with a balanced legal framework. Most standard eviction processes run on reasonable timelines.
What is the best play in Montrose, MN?
A careful cash-flow rentals with hands-on management strategy Montrose, MN best. The market produces measured results for that approach at the $327K price point.
You know 55363 now. You don’t know where it ranks.
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How 55363 ranks in Minneapolis-St. Paul-Bloomington, MN-WI
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