4425 5th St NE · Columbia Heights, MN 55421

$214,900

3 bd · 2.0 ba · 920 sqft · SingleFamily public records · 35 Days on market

Built 1956 5,227 sqft lot $234/sqft · 17% above area Est $285k · 25% under ↓ 7% since listing

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Why this score? — see what drove the D grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• ARV discount +15.0/15.0
• Cash flow +9.2/30.0
• Livability +3.7/5.0
• Rent growth +3.6/5.0
• 1% rule +3.1/10.0
• DSCR +2.6/10.0
• Condition / age +2.5/5.0
• Schools +1.5/10.0
• Appreciation +0.0/10.0

Listing remarks MLS

Opportunity knocks! This 4BR/2BA home with an oversized 2-car garage is ready for your updates and ideas. With solid fundamentals and a convenient location, it's the perfect canvas to add value and build equity.

Key facts

• 5,227 sq ft lot
• 2 garage spots
• Built 1956

What this means for you Summary

Snapshot

• This is a 3-bed/2.0-bath single-family listed at $215k.

Deal economics

• At list price, monthly cash flow is $-163 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $186k (13.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $173k (19.3% below list).
• Recommended offer: $173k (19.3% below list) — sets the bar for 1% rule.
• Cap rate 5.4% vs local median 3.6% in Columbia Heights — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Location & tenants

• Location reads 74/100 on livability (#215 in MN, #4,509 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, housing A+, cost of living A-; Watch: crime C-, schools D+, amenities D-.
• Columbia Heights Public School District (suburban): math 11% / reading 22% proficiency, ranked #291 of 301 in MN (top 97%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 68% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising fast (+4.5%/yr); 147 active listings in the ZIP; 14 comparable units currently listed for rent nearby; rentals at typical pace (median 26d on market — plan ~3-4 weeks tenant-placement turnaround); 1,083 units permitted in Anoka County in 2024 (134 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Anoka County population projected at +11% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Negotiation context

• It's been on market 35 days — a 3% lower offer ($208k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1956 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $173,342 (19.3% below list)

Questions for the listing agent

1. What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
2. It's been on market 35 days. Have you received any prior offers? Is the seller open to a 19% concession, seller financing, or rate buy-down credit?
3. Built in 1956 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
6. The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
7. What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
8. What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
9. How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.

Investment metrics

• 1% rule: 0.81% ✗
• Cap rate: 5.38%
• Cash-on-cash: -3.25%
• DSCR: 0.86
• GRM: 10.3

CMA / ARV

• ARV (median comp): $285,125
• List price: $214,900
• Delta: -24.63%
• Verdict: UNDERPRICED
• Comps: 5 within 1.0 mi

Projected returns pro-forma

-3.0% appreciation · 4.51% rent growth · sell at horizon

5-year hold

• IRR: -20.0%
• Equity multiple: 0.29×
• Total profit: $-42,472
• Equity at exit: $32,042

10-year hold

• IRR: -9.9%
• Equity multiple: 0.36×
• Total profit: $-38,810
• Equity at exit: $18,581

Cash invested: $60,172 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 46 Balanced
• State Minnesota: 46 Balanced · D+2
• County: — inherits STATE
• City: — inherits STATE

2024 reforms strengthened tenant protections; ramsey/hennepin courts paced moderate to slow.

Methodology + full state rankings →

ZIP-level market 55421

• Rents YoY: 4.5%
• Active inventory: 147
• Price-to-rent: 10.3×

Monthly cashflow live

• Estimated rent: $1,733 high
• Mortgage (P&I): −$1,127
• Tax from tax record: −$316 /mo · $3,790/yr
• Insurance: −$90
• HOA: −$0
• Vacancy / Maint / Mgmt: −$364
• Net cashflow: $-163

Break-even live

Break-even rent $1,940

Max offer price $186,116

Occupancy floor —

Sensitivity live

Price	-10% $-41	-5% $-102	+0% $-163	+5% $-224	+10% $-285
Rent	-10% $-300	-5% $-231	+0% $-163	+5% $-94	+10% $-26
Rate	-1.0pp $-55	-0.5pp $-108	base $-163	+0.5pp $-219	+1.0pp $-275

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $53,725
• Closing costs: $6,447
• Reserves months: —
• Total cash needed: —

Rent comps 14 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
4239 University Ave NE Unit 4239 Columbia Heights, MN	3.0	2.0	1100	$2,095	$1.90	19d	1	0.26mi
4314 3rd St NE Columbia Heights, MN	2.0	1.0	800	$1,600	$2.00	25d	1	0.26mi
4201 3rd St NE Apt 6 Minneapolis, MN	2.0	1.0	750	$995	$1.33	19d	1	0.34mi
4550 Central Ave NE Minneapolis, MN	2.0–3.0	1.0–2.0	1166	$2,800	$2.40	0d	1	0.43mi
4216 Van Buren St NE Minneapolis, MN	3.0	1.0	876	$1,790	$2.04	45d	1	0.60mi
3923 Lookout Pl Unit 9 Minneapolis, MN	2.0	1.0	800	$1,250	$1.56	25d	1	0.64mi
3923 Lookout Pl Unit 9 Minneapolis, MN	2.0	1.0	800	$1,169	$1.46	45d	1	0.64mi
4730 Central Ave NE Unit 6 Columbia Heights, MN	2.0	1.0	800	$1,350	$1.69	6d	1	0.69mi
4654 Tyler St NE Minneapolis, MN	2.0	1.0	1100	$1,275	$1.16	25d	1	0.73mi
3857 Edgemoor Pl NE Unit 3 Minneapolis, MN	2.0	1.0	800	$1,300	$1.62	25d	1	0.74mi
909 Gould Ave NE Minneapolis, MN	3.0	1.0–2.0	929	$2,724	$2.93	0d	23	0.89mi
3820 Jackson St NE Minneapolis, MN	3.0	1.0	984	$1,824	$1.85	25d	1	0.95mi
1120 52nd Ave NE Minneapolis, MN	1.0–3.0	1.0	997	$1,375	$1.38	45d	1	1.18mi
1230 Cheri Ln NE Minneapolis, MN	1.0–3.0	1.0–1.5	891	$1,950	$2.19	21d	1	1.43mi

Listing history 3 events

1. 2026-05-07
   historical Contingent - Inspection 211-char remark

   Show marketing remark (211 chars)

   Opportunity knocks! This 4BR/2BA home with an oversized 2-car garage is ready for your updates and ideas. With solid fundamentals and a convenient location, it's the perfect canvas to add value and build equity.

2. 2026-05-03
   price $214,900 211-char remark

   Show marketing remark (211 chars)

   Opportunity knocks! This 4BR/2BA home with an oversized 2-car garage is ready for your updates and ideas. With solid fundamentals and a convenient location, it's the perfect canvas to add value and build equity.

3. 2026-04-21
   listed $230,000 Active 211-char remark

   Show marketing remark (211 chars)

   Opportunity knocks! This 4BR/2BA home with an oversized 2-car garage is ready for your updates and ideas. With solid fundamentals and a convenient location, it's the perfect canvas to add value and build equity.

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast MN · Partial reset (capped growth)

• Current annual tax: $3,790 · $316/mo
• Projected year-2 tax: $3,790 · $316/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥100°F today · 14 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $20,801
• − Mortgage interest: −$12,038
• − Property taxes: −$3,790
• − Insurance: −$1,074
• − Repairs & maintenance: −$1,664
• − Management: −$1,664
• − Depreciation: −$6,252
• Taxable loss: −$5,681
• Est. tax savings @ 24.0%: +$1,363
• After-tax cash flow: $-592/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Columbia Heights Public School District
• NCES district ID: 2709510
• Math proficiency: 11% ▼ -15.00%
• Reading proficiency: 22% ▼ -13.00%
• Median HH income: $49,602
• Composite: 14.93/100
• National rank: #9369
• State rank: #291 of 301 in MN

Livability — Columbia Heights

• Score: 74/100
• State rank: #215
• US rank: #4509

Category grades

Amenities D- Commute A+ Cost of living A- Crime C- Employment B Housing A+ Health & safety F User ratings C+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Columbia Heights, MN
• County: Anoka County · 277,116 people
• City population: 30,843
• Metro: Minneapolis-St. Paul-Bloomington, MN-WI
• Population (ZIP): 30,843
• Household income: $70,772
• Rent vs Own: 39.3% rent · 60.7% own
• Severe rent burden: 1747.0

Population outlook (Anoka County) Hauer SSP2

• Today (2025): 375,223 people
• By 2030: 387,850 · +3.4%
• By 2040: 407,239 · +8.5%
• By 2050: 417,541 · +11.3%
• By 2075: 448,447 · +19.5%
• By 2100: 464,954 · +23.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.66)
• Race & ethnicity: White 52% Black 24% Hispanic / Latino 14% Two or more races 7% Asian 5%
• Hispanic origin (detail): Mexican 4%
• Common ancestry: Portuguese 7% Romanian 5% Lithuanian 2%
• Foreign-born: 22% · Canada, Vietnam, China
• Languages at home: 72% English-only · Spanish 11% Arabic 1% Vietnamese 1%

Political lean MEDSL · Anoka

• 2024 margin: Toss-up / Even · D 46.6% · R 51.0% · Other 2.4%
• 2008→2024 swing: -2.0pp toward R · 2008: -2.4pp · 2024: -4.4pp
• All cycles: 2024: R+4.4 2020: R+1.9 2016: R+9.7 2012: R+2.6 2008: R+2.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -140.08%
• Current HPI: 258.4424
• Rent YoY: ▲ 4.51%
• Metro: Minneapolis-St. Paul-Bloomington, MN-WI
• State GDP YoY: ▲ 2.41%
• F500 in state: 34

Industry mix (Fortune 500 HQ in MN)

Industry	F500 HQs	Revenue
▸Healthcare	2	$407B
▸Retail	2	$150B
▸Consumer Goods	2	$32B
▸Industrial Machinery	2	$6B
▸Agriculture	1	$40B
▸Healthcare / Medical Devices	1	$32B

Price history

-6.6% since first listed

3 events — show timeline

• 2026-05-07 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-03 Price Changed $214,900 NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-21 Listed $230,000 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+6.8%/yr

Latest (2026): $3,790 · +7.1% YoY. Source: county tax records.