620 Saint Thomas Ave · Albert Lea, MN 56007

$82,500

2 bd · 1.0 ba · 848 sqft · SingleFamily public records · 4 Days on market

Built 1927 4,748 sqft lot

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Why this score? — see what drove the C 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 +25.7/30.0
• DSCR +8.5/10.0
• ARV discount +7.5/15.0
• 1% rule +6.1/10.0
• Livability +3.6/5.0
• Schools +3.0/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Well kept two bedroom, one bath home on a corner lot. Nice size kitchen, hardwood floors and main floor laundry. Home also features a nice deck in the backyard.

Key facts

• Fenced yard
• Main floor laundry
• Deck

Tags

• MAIN FLOOR LAUNDRY
• HARDWOOD FLOORS
• EAT-IN KITCHEN
• CORNER LOT
• DECK
• FENCED YARD

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $82k.

Deal economics

• At list price, monthly cash flow is $196 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($918 rent vs $82k).
• Cap rate 9.2% vs local median 4.0% in Albert Lea — 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 72/100 on livability (#274 in MN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: schools C-, employment D+, amenities F.
• Albert Lea Public School District (town): math 30% / reading 40% proficiency, ranked #258 of 301 in MN (top 86%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 150 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 16 units permitted in Freeborn County in 2024 (0 in 5+ unit buildings).
• This rent is only 16% of the median local income ($69k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $570 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Freeborn County population projected at -11% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.

Negotiation context

• Only 4 days on market — expect competitive offers; lowballing is unlikely to land.
• 8 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 $56k; 47% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1927 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $82,500

Questions for the listing agent

1. Built in 1927 — 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. 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.
4. 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.
5. 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: 1.11% ✓
• Cap rate: 9.15%
• Cash-on-cash: 10.20%
• DSCR: 1.45
• GRM: 7.5

CMA / ARV

No comps found within radius.

Projected returns pro-forma

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

5-year hold

• IRR: -1.0%
• Equity multiple: 0.96×
• Total profit: $-869
• Equity at exit: $12,301

10-year hold

• IRR: 8.7%
• Equity multiple: 1.66×
• Total profit: $15,306
• Equity at exit: $7,133

Cash invested: $23,100 (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 56007

• Home prices YoY: -22.3%
• Active inventory: 150
• Price-to-rent: 7.5×

Monthly cashflow live

• Estimated rent: $918 high
• Mortgage (P&I): −$433
• Tax from tax record: −$62 /mo · $740/yr
• Insurance: −$34
• HOA: −$0
• Vacancy / Maint / Mgmt: −$193
• Net cashflow: $196

Break-even live

Break-even rent $669

Max offer price $82,500

Occupancy floor 74%

Sensitivity live

Price	-10% $243	-5% $220	+0% $196	+5% $173	+10% $150
Rent	-10% $124	-5% $160	+0% $196	+5% $233	+10% $269
Rate	-1.0pp $238	-0.5pp $217	base $196	+0.5pp $175	+1.0pp $153

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: $20,625
• Closing costs: $2,475
• Reserves months: —
• Total cash needed: —

Rent comps 6 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
139 E William St Albert Lea, MN	2.0	1.0	894	$885	$0.99	44d	1	0.84mi
133 W William St Unit 105 Albert Lea, MN	2.0	1.0	775	$865	$1.12	44d	1	0.94mi
821 Jefferson Ave Unit 2 Albert Lea, MN	1.0	1.0	650	$950	$1.46	44d	1	1.27mi
821 Jefferson Ave Unit 3 Albert Lea, MN	1.0	1.0	650	$995	$1.53	44d	1	1.27mi
1307 Saint Joseph Ave Albert Lea, MN	2.0	1.0	1101	$1,050	$0.95	44d	1	1.35mi
220 E 7th St Albert Lea, MN	1.0	1.0	600	$795	$1.32	44d	1	1.42mi

Listing history 24 events

1. 2026-04-26
   status Pending
2. 2026-04-20
   listed $82,500 Active
3. 2018-12-14
   soldstatus $56,000 Sold 160-char remark

   Show marketing remark (160 chars)

   Well kept two bedroom, one bath home on a corner lot. Nice size kitchen, hardwood floors and main floor laundry. Home also features a nice deck in the backyard.

4. 2018-12-14
   soldstatus $56,000

   Show marketing remark (160 chars)

   Well kept two bedroom, one bath home on a corner lot. Nice size kitchen, hardwood floors and main floor laundry. Home also features a nice deck in the backyard.

5. 2018-12-11
   historical 133-char remark

   Show marketing remark (133 chars)

   Affordable 2 bedroom with main floor laundry and larger single stall garage, newer windows and furnace with central air conditioning.

6. 2018-12-10
   historical
7. 2018-12-10
   historical
8. 2018-12-08
   historical 160-char remark

   Show marketing remark (160 chars)

   Well kept two bedroom, one bath home on a corner lot. Nice size kitchen, hardwood floors and main floor laundry. Home also features a nice deck in the backyard.

9. 2018-09-07
   listed $54,999 160-char remark

   Show marketing remark (160 chars)

   Well kept two bedroom, one bath home on a corner lot. Nice size kitchen, hardwood floors and main floor laundry. Home also features a nice deck in the backyard.

10. 2017-09-20
    soldstatus $28,500
11. 2017-09-20
    soldstatus $28,500
12. 2017-07-18
    listed $39,900
13. 2016-10-14
    soldstatus $32,000 133-char remark

    Show marketing remark (133 chars)

    Affordable 2 bedroom with main floor laundry and larger single stall garage, newer windows and furnace with central air conditioning.

14. 2016-10-14
    soldstatus $32,000

    Show marketing remark (133 chars)

    Affordable 2 bedroom with main floor laundry and larger single stall garage, newer windows and furnace with central air conditioning.

15. 2016-05-17
    listed $39,900 133-char remark

    Show marketing remark (133 chars)

    Affordable 2 bedroom with main floor laundry and larger single stall garage, newer windows and furnace with central air conditioning.

16. 2013-04-30
    listed $35,000
17. 2013-04-30
    listed $35,000
18. 2006-07-20
    soldstatus $45,000
19. 2006-07-19
    soldstatus $45,000
20. 2006-06-23
    historical
21. 2006-05-23
    listed $39,900
22. 2006-05-13
    historical
23. 2006-02-13
    listed $43,900
24. 1997-05-16
    soldstatus $18,800

ⓘ 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: $740 · $62/mo
• Projected year-2 tax: $832 · $69/mo
• Expected delta: +$92/yr (+$8/mo · 12.4%)

ⓘ 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 1/10 Low 7 d/yr ≥99°F today · 16 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $11,014
• − Mortgage interest: −$4,621
• − Property taxes: −$740
• − Insurance: −$412
• − Repairs & maintenance: −$881
• − Management: −$881
• − Depreciation: −$2,400
• Taxable income: $1,078
• Est. tax owed @ 24.0%: −$259
• After-tax cash flow: $2,098/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: Albert Lea Public School District
• NCES district ID: 2702970
• Math proficiency: 30% ▼ -14.00%
• Reading proficiency: 40% ▼ -8.00%
• Median HH income: $42,776
• Composite: 29.62/100
• National rank: #6472
• State rank: #258 of 301 in MN

Livability — Albert Lea

• Score: 72/100
• State rank: #274
• US rank: #5963

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Albert Lea, MN
• County: Freeborn County · 21,377 people
• City population: 21,377
• Metro: Albert Lea, MN
• Population (ZIP): 21,377
• Household income: $68,846
• Rent vs Own: 23.3% rent · 76.7% own
• Severe rent burden: 483.0

Population outlook (Freeborn County) Hauer SSP2

• Today (2025): 29,680 people
• By 2030: 29,038 · -2.2%
• By 2040: 27,650 · -6.8%
• By 2050: 26,387 · -11.1%
• By 2075: 25,224 · -15.0%
• By 2100: 23,842 · -19.7%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (79%)
• Race & ethnicity: White 79% Hispanic / Latino 14% Two or more races 8% Asian 4% Black 2%
• Hispanic origin (detail): Mexican 11%
• Common ancestry: Portuguese 23% Iranian 3% Romanian 2%
• Foreign-born: 4% · Canada, Philippines
• Languages at home: 90% English-only · Spanish 7% Other Asian/Pacific 3%

Political lean MEDSL · Freeborn

• 2024 margin: Strong R (+21.3) · D 38.7% · R 60.0% · Other 1.3%
• 2008→2024 swing: -38.5pp toward R · 2008: 17.1pp · 2024: -21.3pp
• All cycles: 2024: R+21.3 2020: R+16.0 2016: R+17.4 2012: D+14.2 2008: D+17.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -63.40%
• Current HPI: 220.7963
• Rent YoY: —
• Metro: Albert Lea, MN
• 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

+338.8% since first listed

24 events — show timeline

• 2026-04-26 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-20 Listed $82,500 NORTHSTARMLS as Distributed by MLS Grid
• 2018-12-14 Sold (Public Records) $56,000 Public Records
• 2018-12-14 Sold (MLS) $56,000 NORTHSTARMLS as Distributed by MLS Grid
• 2018-12-11 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2018-12-10 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2018-12-10 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2018-12-08 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2018-09-07 Listed $54,999 NORTHSTARMLS as Distributed by MLS Grid
• 2017-09-20 Sold (Public Records) $28,500 Public Records
• 2017-09-20 Sold (MLS) $28,500 NORTHSTARMLS as Distributed by MLS Grid
• 2017-07-18 Listed $39,900 NORTHSTARMLS as Distributed by MLS Grid
• 2016-10-14 Sold (Public Records) $32,000 Public Records
• 2016-10-14 Sold (MLS) $32,000 NORTHSTARMLS as Distributed by MLS Grid
• 2016-05-17 Listed $39,900 NORTHSTARMLS as Distributed by MLS Grid
• 2013-04-30 Listed $35,000 NORTHSTARMLS as Distributed by MLS Grid
• 2013-04-30 Listed $35,000 NORTHSTARMLS as Distributed by MLS Grid
• 2006-07-20 Sold (MLS) $45,000 NORTHSTARMLS as Distributed by MLS Grid
• 2006-07-19 Sold (Public Records) $45,000 Public Records
• 2006-06-23 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2006-05-23 Listed $39,900 NORTHSTARMLS as Distributed by MLS Grid
• 2006-05-13 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2006-02-13 Listed $43,900 NORTHSTARMLS as Distributed by MLS Grid
• 1997-05-16 Sold (Public Records) $18,800 Public Records

Property tax history

+8.8%/yr

Latest (2025): $740 · +1.6% YoY. Source: county tax records.