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Minnesota real estate market

Rental Property Investment in Minnesota

Where investors buy in Minnesota, what the state's taxes and landlord law do to a rental's return, and how to rank every listing in a MN ZIP code by cash-on-cash return.

Analyze a MN ZIP codeSee how market analysis works

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Market snapshot

Minnesota rental market at a glance

Minnesota rental market statistics
MeasureMinnesota
Population5.7 million
Median home price$350,000
Average rent$1,500
Cash-on-cash range investors target6-9%
State income taxState income tax (5.35-9.85%)
Landlord-friendlinessMedium

Statewide figures. The metros below vary widely; confirm the price, the rent and the tax bill for the specific ZIP code before you offer.

Top markets

Top investment markets in Minnesota

The Minnesota metros investors analyze most, with the figures that decide a first screen. Open any of them for neighborhoods, ZIP codes and trends.

Top rental markets in Minnesota
MetroMedian priceAverage rentCash-on-cash target
Minneapolis$380,000$1,6006-8%
Rochester$320,000$1,4007-9%

Other Minnesota cities investors search: Minneapolis, St. Paul, Rochester, Bloomington, Duluth.

Why investors buy here

Why invest in Minnesota rental properties

What investors like about Minnesota

  • Strong corporate headquarters presence
  • Mayo Clinic drives Rochester demand
  • Diverse economy with healthcare and tech
  • High quality of life attracts residents
  • Stable rental markets year-round
Taxes and landlord law

What Minnesota does to a rental's return

How it works

How to find profitable rentals in Minnesota

  1. Enter a ZIP code in MN

    Pick the ZIP, property type and unit mix you want to buy in Minnesota, plus a price ceiling.

  2. Set your financing and expense assumptions

    Down payment, rate and term, with vacancy, maintenance and management percentages you can change later.

  3. Read the ranked list

    Every listing in the ZIP gets a rent estimate from nearby comparables and is ranked by cash-on-cash return, in map, grid or table view.

  4. Open the deals worth your time

    Any listing opens into the full analysis: every expense line, multi-year projections, loan and equity, rental comparables and a written AI verdict.
A saved Cape Coral, FL market analysis in Map view: every listing plotted with its rank, alongside the AI Market Insights panel and the Table / Grid / Map switch.

Every listing in the ZIP on the map with its rank, beside the AI market insights for the search.

Example uses public listing data for illustration. See disclaimer.

What you get

Metrics calculated for every Minnesota property

Metrics calculated for every Minnesota property
MetricThe question it answers
Cash-on-cash returnWhat the deal pays each year on the cash you put in
Cap rateWhat the property earns before financing, for comparing across markets
Monthly cash flowWhat is left after the mortgage and every operating expense
Total ROICash flow plus appreciation, on the cash invested
Gross rent multiplierPrice divided by annual rent: the fastest sanity check on a listing
Rent-to-price ratioThe 1% rule, computed for every listing
Debt service coverage ratioWhether net operating income covers the mortgage, the lender's test
Cash needed to closeDown payment, closing costs and repairs before the first rent check

Rent is estimated from nearby rental listings and shown with its confidence range. Every expense line is editable, so a real tax bill or insurance quote replaces the estimate. See how each metric is calculated.

Start finding profitable rentals in Minnesota

Enter any MN ZIP code, set your financing, and read every listing ranked by cash-on-cash return with the rent and expenses behind each number.

Rank the listings in Minnesota

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Explore other states

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