Real Estate Investing in Barry, Minnesota (56240)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 56240 (Barry, MN)? Our answer, based on the numbers below.
Multiple negative signals. Better options likely exist nearby.
Structural challenges here. The numbers may look cheap but operational risk is high. Only for experienced, hands-on investors.
- High vacancy: 13.3% of homes vacant — above national norms.
• Limited market data — this is a very small market; averages are built from few observations and can swing widely. • Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Barry, MN (56240)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 56240 Barry
On the rental side, ZIP 56240 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $192K median. It rewards specialists, not generalists.
The investment case in 56240 is notable only for operators who understand what they are buying. A $192K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Nearby ZIPs in Barry have seen price recovery that 56240 has not matched. Big Stone County data supports the view that the spread is structural rather than temporary.
Who lives in 56240 is part of why the ZIP is priced as it is. The demographic profile requires hands-on management, tight screening, and local knowledge.
Strategically, 56240 can be a high-return sleeve of a diversified portfolio — but it should not be the whole portfolio, and it should not be someone's first deal.
Here's what matters if you're considering buying a home in Barry:
Market Trends
Home Value History (with trend line)
📊 How Does 56240 Compare?
| Metric | 56240 | Barry | Minnesota |
|---|---|---|---|
| Home Value | $191,699 | $95,850 | $340,597 |
| 5-Year CAGR | N/A | N/A | 4.9% |
| Avg Rent | $873 | $873 | - |
| Cap Rate | 3.6% | 3.6% | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 56240 (Barry, MN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $191,699 |
| Monthly Rent | $873 |
| Price-to-Rent | 18.3:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.5% |
| Cap Rate | 3.6% |
| 5-Year IRR | 8.7% |
📈 Home Appreciation
| 1-Year | +10.6% ▲ |
| 3-Year CAGR | +5.2% ▲ |
| 5-Year CAGR | N/A |
| 10-Year CAGR | N/A |
🏠 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 (3.6%). 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 56240
Population: 807
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 56240
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.
Frequently Asked Questions
Is it easy to find good tenants in Barry, MN?
Tenant quality in Barry, MN ranks as solid. Landlords generally report consistent occupancy at market rents of $873/mo.
What is it like being a landlord in Barry, MN?
The landlord environment in Barry, MN is balanced. Statewide rules shape most day-to-day operations for rental owners.
Are homes affordable in Barry, MN?
Typical homes in Barry, MN go for around $192K. The 5-year CAGR of 0.0% consistent price movement.
What do rentals go for in Barry, MN?
Barry, MN rentals go for roughly $873/mo a month. That puts gross yield in solid territory relative to $192K acquisition costs.
Does house hacking work in Barry, MN?
The a challenging house-hack environment in Barry, MN reflects the rent-to-price spread. Expect meaningful PITI offset at market rents.
You know 56240 now. You don’t know where it ranks.
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