Real Estate Investing in Mentor, Minnesota (56736)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 56736 (Mentor, 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.
- High vacancy: 65.5% of homes vacant — above national norms.
- High price-to-rent: Price-to-rent ratio 30.9 — hard to cash-flow at these prices.
• 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 Mentor, MN (56736)?
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Market Analysis: 56736 Mentor
ZIP 56736 in Mentor, MN carries a notable set of headwinds. Home values near $341K and rents of $918/mo sit inside a market where underwriting has to be tight.
The investment case in 56736 is impressive only for operators who understand what they are buying. A $341K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Regionally, 56736 sits on the difficult end of the MN spectrum. The worth a close look for read — for disciplined operators — is that pricing reflects the difficulty.
Who lives in 56736 is part of why the ZIP is priced as it is. The demographic profile requires hands-on management, tight screening, and local knowledge.
The 56736 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Mentor:
Property Strategy for 56736
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $344,848 | $1,020 | 2.1% | +7.7% | $172,424 |
| 3BR | $434,799 | $1,410 | 2.3% | +7.2% | $144,933 |
| 4BR | $505,286 | $1,690 | 2.4% | +5.6% | $126,322 |
Market Trends
Home Value History (with trend line)
📊 How Does 56736 Compare?
| Metric | 56736 | Mentor | Grand Forks, ND-MN | Minnesota |
|---|---|---|---|---|
| Home Value | $340,861 | $340,861 | N/A | $340,597 |
| 5-Year CAGR | 5.4% | 5.4% | N/A | 4.9% |
| Avg Rent | $918 | $918 | N/A | - |
| Cap Rate | 2.1% | 2.1% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 56736 (Mentor, MN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $340,861 |
| Monthly Rent | $918 |
| Price-to-Rent | 30.9:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 3.2% |
| Cap Rate | 2.1% |
| 5-Year IRR | 7.5% |
📈 Home Appreciation
| 1-Year | +5.5% ▲ |
| 3-Year CAGR | +4.9% ▲ |
| 5-Year CAGR | +5.4% ▲ |
| 10-Year CAGR | +4.7% ▲ |
🏠 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 (2.1%). 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 56736
Population: 670
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
Frequently Asked Questions
How tight is the rental market in Mentor, MN?
Mentor, MN vacancy trends elevated. Investors running standard buy-and-hold plays see reasonable downtime between tenants.
What is the tenant pool like in Mentor, MN?
Tenant quality in Mentor, MN ranks as solid. Landlords generally report stable occupancy at market rents of $918/mo.
What do rentals go for in Mentor, MN?
Expect rents around $918/mo per month in Mentor, MN. With home values at $341K, the yield math works out to reasonable levels for rental investors.
Is MN a landlord-friendly state?
For rental operators, Mentor, MN rates as balanced. The regulatory environment standard buy-and-hold operations.
Which real estate strategy fits Mentor, MN?
Most investors in Mentor, MN run a careful cash-flow rentals with hands-on management strategy. It aligns with the 3.0/5 investability profile and the market fundamentals.
You know 56736 now. You don’t know where it ranks.
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How 56736 ranks in Grand Forks, ND-MN
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