719 N 16th Ave Ave E · Duluth, MN 55812

$249,000

4 bd · 2.0 ba · 1,598 sqft · MultiFamily public records · 25 Days on market

Built 1925 3,920 sqft lot

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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).

• Cash flow +15.3/30.0
• ARV discount +7.5/15.0
• DSCR +4.7/10.0
• Rent growth +4.5/5.0
• Schools +4.2/10.0
• Livability +4.1/5.0
• 1% rule +3.7/10.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (2-4 Unit). Listing-text estimate: 1 unit. estimate disagrees with records

Listing remarks

Whether you're an owner-occupied or investor, you're sure to love this licensed 5 bedroom, 2 bath traditional home within walking distance to Chester Creek trails, Chester Bowl Park and Ski Area, and UMD. Centrally located, this home is an easy commute to both downtown businesses and hospitals, as well as shopping and grocery. From the moment you enter you'll appreciate the vestibule designed to keep the cold from entering during our northern winters and the living room with it's natural woodwork, hardwood maple floors, and masonry fireplace. The dining room boasts an oversized built-in hutch, and has plenty of room to host larger gatherings. The bright galley kitchen has ample counter spac

Key facts

• Large deck
• Ample counter space
• Masonry fireplace

Tags

• WALKING DISTANCE TO UMD
• EASY COMMUTE TO DOWNTOWN
• MASONRY FIREPLACE
• OVERSIZED BUILT-IN HUTCH
• AMPLE COUNTER SPACE
• LARGE DECK

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath multifamily listed at $249k.

Deal economics

• At list price, monthly cash flow is $91 ($1k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $217k (12.8% below list).
• Recommended offer: $217k (12.8% below list) — sets the bar for 1% rule.
• Cap rate 6.7% vs local median 4.9% in Duluth — 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 82/100 on livability (#36 in MN, #1,060 nationally) — a professional / high-income tenant draw. Strengths: commute A+, cost of living A+, housing A+; Watch: amenities F.
• Duluth Public School District (urban): math 44% / reading 55% proficiency, ranked #132 of 301 in MN (top 44%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: Rents rising fast (+8.1%/yr); 50 active listings in the ZIP; 9 comparable units currently listed for rent nearby; rentals at typical pace (median 14d on market — plan ~3-4 weeks tenant-placement turnaround); 639 units permitted in St. Louis County in 2024 (338 in 5+ unit buildings).
• This rent runs 40% of the median local income ($66k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.

Negotiation context

• It's been on market 25 days — a 2% lower offer ($245k) is reasonable based on typical stale-listing flexibility.
• 4 sale attempts since 20y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $140k; list at $249k implies a 78% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1925 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $217,075 (12.8% below list)

Questions for the listing agent

1. Built in 1925 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
4. 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?
5. 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.
6. 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.
7. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 0.87% ✗
• Cap rate: 6.73%
• Cash-on-cash: 1.57%
• DSCR: 1.07
• GRM: 9.6

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 8.0% rent growth · sell at horizon

5-year hold

• IRR: -8.6%
• Equity multiple: 0.67×
• Total profit: $-23,085
• Equity at exit: $37,127

10-year hold

• IRR: 6.3%
• Equity multiple: 1.57×
• Total profit: $39,494
• Equity at exit: $21,529

Cash invested: $69,720 (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 55812

• Rents YoY: 8.1%
• Active inventory: 50
• Price-to-rent: 9.6×

Monthly cashflow live

• Estimated rent: $2,171 high
• Mortgage (P&I): −$1,306
• Tax from tax record: −$214 /mo · $2,568/yr
• Insurance: −$104
• HOA: −$0
• Vacancy / Maint / Mgmt: −$456
• Net cashflow: $91

Break-even live

Break-even rent $2,055

Max offer price $249,000

Occupancy floor 91%

Sensitivity live

Price	-10% $232	-5% $162	+0% $91	+5% $21	+10% $-50
Rent	-10% $-80	-5% $6	+0% $91	+5% $177	+10% $263
Rate	-1.0pp $217	-0.5pp $155	base $91	+0.5pp $27	+1.0pp $-39

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: $62,250
• Closing costs: $7,470
• Reserves months: —
• Total cash needed: —

Rent comps 9 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
426 N 13th Ave E Duluth, MN	3.0	1.0	1248	$1,900	$1.52	14d	1	0.30mi
414 N 19th Ave E Duluth, MN	4.0	1.0	1900	$2,295	$1.21	14d	1	0.38mi
1821 E 1st St Duluth, MN	5.0	2.0	1662	$2,300	$1.38	14d	1	0.51mi
825 N 10th Ave E Duluth, MN	3.0	1.0	1120	$1,800	$1.61	44d	1	0.52mi
2125 E Superior St Unit 3 Duluth, MN	4.0	1.0	1622	$1,850	$1.14	14d	1	0.74mi
609 E 6th St Duluth, MN	5.0	2.0	1850	$1,795	$0.97	21d	1	0.83mi
425 E 5th St Duluth, MN	3.0	1.0	1124	$1,995	$1.77	44d	1	0.98mi
1515 Kenwood Ave Duluth, MN	3.0	2.0	1201	$2,350	$1.96	14d	1	1.21mi
13 E 8th St Duluth, MN	4.0	1.5	1388	$2,000	$1.44	44d	1	1.35mi

Listing history 9 events

1. 2025-09-30
   status Pending
2. 2025-08-22
   historical Active Under Contract
3. 2025-08-14
   listed $249,000 Active
4. 2010-07-06
   listed $169,900
5. 2010-04-12
   listed $159,888
6. 2006-06-05
   soldstatus $140,000
7. 2006-05-22
   soldstatus $140,000
8. 2006-05-08
   historical
9. 2006-04-03
   listed $144,900

ⓘ 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: $2,568 · $214/mo
• Projected year-2 tax: $2,678 · $223/mo
• Expected delta: +$110/yr (+$9/mo · 4.3%)

ⓘ 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 · 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 1/10 Low 7 d/yr ≥90°F today · 12 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 2/10 Low 0 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $26,049
• − Mortgage interest: −$13,948
• − Property taxes: −$2,568
• − Insurance: −$1,245
• − Repairs & maintenance: −$2,084
• − Management: −$2,084
• − Depreciation: −$7,244
• Taxable loss: −$3,123
• Est. tax savings @ 24.0%: +$750
• After-tax cash flow: $1,846/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: Duluth Public School District
• NCES district ID: 2711040
• Math proficiency: 44% ▼ -10.00%
• Reading proficiency: 55% ▼ -6.00%
• Median HH income: $45,692
• Composite: 41.92/100
• National rank: #3360
• State rank: #132 of 301 in MN

Livability — Duluth

• Score: 82/100
• State rank: #36
• US rank: #1060

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Duluth, MN
• County: Saint Louis County · 115,152 people
• City population: 71,097
• Metro: Duluth, MN-WI
• Population (ZIP): 10,859
• Household income: $65,505
• Rent vs Own: 57.4% rent · 42.6% own
• Severe rent burden: 655.0

Population outlook (St. Louis County) Hauer SSP2

• Today (2025): 202,411 people
• By 2030: 203,234 · +0.4%
• By 2040: 202,520 · +0.1%
• By 2050: 200,853 · -0.8%
• By 2075: 200,943 · -0.7%
• By 2100: 192,058 · -5.1%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (83%)
• Race & ethnicity: White 83% Two or more races 5% Hispanic / Latino 4% Black 4% Asian 3% Native American 1%
• Common ancestry: Portuguese 12% Romanian 6% Scottish 2%
• Foreign-born: 4% · Canada, South Korea, China
• Languages at home: 93% English-only · Spanish 3% Other Indo-European 1%

Political lean MEDSL · St. Louis

• 2024 margin: D (+13.7) · D 55.9% · R 42.2% · Other 1.8%
• 2008→2024 swing: -18.8pp toward R · 2008: 32.5pp · 2024: 13.7pp
• All cycles: 2024: D+13.7 2020: D+15.6 2016: D+11.8 2012: D+29.6 2008: D+32.5

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -277.88%
• Current HPI: 196.8354
• Rent YoY: ▲ 8.07%
• Metro: Duluth, 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

+71.8% since first listed

9 events — show timeline

• 2025-09-30 Pending — LSAR
• 2025-08-22 Contingent — LSAR
• 2025-08-14 Listed $249,000 LSAR
• 2010-07-06 Listed $169,900 NORTHSTARMLS as Distributed by MLS Grid
• 2010-04-12 Listed $159,888 NORTHSTARMLS as Distributed by MLS Grid
• 2006-06-05 Sold (Public Records) $140,000 Public Records
• 2006-05-22 Sold (MLS) $140,000 NORTHSTARMLS as Distributed by MLS Grid
• 2006-05-08 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2006-04-03 Listed $144,900 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+2.5%/yr

Latest (2025): $2,568 · +9.5% YoY. Source: county tax records.