Real Estate Investing in Minneapolis, Minnesota (55401)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 55401 (Minneapolis, MN)? Our answer, based on the numbers below.
Mixed — values have been flat. OK for long-horizon buyers, less attractive if you may need to sell soon.
A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.
- Declining values: -0.2% 5-year CAGR — values have moved lower.
- Elevated vacancy: 9.0% vacancy may signal weakening demand.
What’s happening in Minneapolis, MN (55401)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 55401 Minneapolis
Investors eyeing 55401 need to respect the fundamentals at play. Home values of $319K come alongside slower price movement and elevated management overhead.
If the plan assumes clean turnover, on-time rent, and low maintenance on a $319K asset, 55401 is the wrong submarket. If the plan prices in friction, the yield can still work.
Within MN, ZIP 55401 trails on several market indicators that neighboring Hennepin County submarkets outperform. The gap is real and notable enough to shape underwriting.
Resident income in 55401 sits below the county median. That reality colors rent collection, vacancy, and reinvestment math in ways that outside investors often underestimate.
The right play in 55401 usually involves deep tenant screening, aggressive delinquency response, and a conservative capex buffer. Anything less, and the discount can turn into a trap.
Here's what matters if you're considering buying a home in Minneapolis:
Property Strategy for 55401
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 1BR | $265,168 | $2,100 | 5.7% | -0.6% | $265,168 |
| 2BR | $414,919 | $2,560 | 4.4% | +0.2% | $207,460 |
| 3BR | $748,636 | $3,390 | 3.3% | +0.0% | $249,545 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 55401 Compare?
| Metric | 55401 | Minneapolis | Minnesota |
|---|---|---|---|
| Home Value | $319,173 | $291,832 | $340,597 |
| 5-Year CAGR | N/A | 1.0% | 4.9% |
| Avg Rent | $2,002 | $1,706 | - |
| Cap Rate | 4.9% | 4.3% | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 55401 (Minneapolis, MN). Anonymous, moderated, never written by AI.
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Property managers serving Hennepin County
Manage rentals here? List your business →JJS Property Management of Central Minnesota offers a wide choice of apartments in various areas including Avon, Buffalo, Milaca, Monticello, Royalton, Sartell, Sauk Rapids, St. Cloud, and St. Joseph. summary from their website
MGM Property Management, LLC provides property management services for rental properties, homeowner associations, and commercial tenants in the Twin Cities, Rochester, and St. Cloud areas. summary from their website
Simply Residential Property Management offers expert management of single-family, condominiums, and multi-family dwellings throughout the Twin Cities. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $319,173 |
| Monthly Rent | $2,002 |
| Price-to-Rent | 13.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 7.5% |
| Cap Rate | 4.9% |
| 5-Year IRR | 4.7% |
📈 Home Appreciation
| 1-Year | +3.4% ▲ |
| 3-Year CAGR | +1.7% ▲ |
| 5-Year CAGR | -0.2% ▼ |
| 10-Year CAGR | +2.0% ▲ |
🏠 Rent Trends
| 1-Year | +1.2% ▲ |
| 3-Year CAGR | +2.8% ▲ |
| 5-Year CAGR | +2.5% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (4.9%). 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 55401
Population: 11,526
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 55401
Schools in This ZIP Code
Nearby Schools (5 more)
Schools in adjacent ZIP codes that may serve this area
BRYN MAWR ELEMENTARY
Marcy Elementary
North High
PILLSBURY ELEMENTARY
Whittier Elementary
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
Investor Insight: With 3,134 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
Which real estate strategy fits Minneapolis, MN?
Minneapolis, MN investors pursuing careful cash-flow rentals with hands-on management. The underlying economics ($319K prices, $2,002/mo rents) make it a reasonable choice.
Are tenants stable in Minneapolis, MN?
The tenant pool in Minneapolis, MN is solid, supported by local employment and population fundamentals. Rents of $2,002/mo are well-absorbed by the market.
What do rentals go for in Minneapolis, MN?
Minneapolis, MN rentals go for roughly $2,002/mo a month. That puts gross yield in solid territory relative to $319K acquisition costs.
How viable is house hacking in Minneapolis, MN?
Minneapolis, MN is a a challenging market for house hackers. FHA or conventional owner-occupant buyers find the $319K price point reasonable to enter.
How do home values compare in Minneapolis, MN?
The median home value in Minneapolis, MN is roughly $319K. That puts it reasonable relative to the MN statewide average.
You know 55401 now. You don’t know where it ranks.
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How 55401 ranks in Minneapolis-St. Paul-Bloomington, MN-WI
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