525 2nd St N · Middle River, MN 56737

$89,900

3 bd · 1.0 ba · 741 sqft · SingleFamily public records · 194 Days on market

Built 1935 10,454 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 +21.5/30.0
• ARV discount +7.5/15.0
• DSCR +6.9/10.0
• Schools +5.1/10.0
• Appreciation +5.0/10.0
• 1% rule +4.9/10.0
• Livability +3.4/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks MLS

Check out this 3 bedroom, 1 bath home in Middle River! This turn key home would be a great rental property or first home! This property has seen some recent updates including newer flooring, shingles & appliances. The home also features an attached single car garage and a spacious backyard perfect for relaxing or entertaining. Call your realtor to see it for yourself!

Key facts

• Newer shingles
• Newer flooring
• Spacious backyard

Tags

• NEWER FLOORING
• NEWER SHINGLES
• NEWER APPLIANCES
• ATTACHED SINGLE CAR GARAGE
• SPACIOUS BACKYARD

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $90k.

Deal economics

• At list price, monthly cash flow is $135 ($2k/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 $89k (0.7% below list).
• Recommended offer: $79k (12.0% below list) — sets the bar for market timing.

Location & tenants

• Location reads 68/100 on livability (#391 in MN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A; Watch: schools D+, crime D+, employment D.
• Greenbush-Middle River School District (rural): math 55% / reading 60% proficiency, ranked #186 of 467 in MN (top 40%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: 3 active listings in the ZIP; 9 units permitted in Marshall County in 2024 (0 in 5+ unit buildings).

Forward outlook

• In year one you build about $3k of equity ($622 loan paydown + $3k appreciation (3.0% local appreciation)).
• Marshall County population projected to shrink 8% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $25k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 10, paydown + projected appreciation supports a ~$32k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 194 days — a 12% lower offer ($79k) is reasonable based on typical stale-listing flexibility.
• 2 sale attempts since 3y 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 $78k; 15% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1935 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $79,112 (12.0% below list)

Questions for the listing agent

1. It's been on market 194 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Built in 1935 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
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. Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
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: 0.99% ✗
• Cap rate: 8.10%
• Cash-on-cash: 6.45%
• DSCR: 1.29
• GRM: 8.4

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: 13.5%
• Equity multiple: 1.77×
• Total profit: $19,424
• Equity at exit: $40,423

10-year hold

• IRR: 15.4%
• Equity multiple: 3.27×
• Total profit: $57,067
• Equity at exit: $62,297

Cash invested: $25,172 (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 56737

• Active inventory: 3
• Price-to-rent: 8.4×

Monthly cashflow live

• Estimated rent: $892 medium
• Mortgage (P&I): −$471
• Tax from tax record: −$61 /mo · $730/yr
• Insurance: −$37
• HOA: −$0
• Vacancy / Maint / Mgmt: −$187
• Net cashflow: $135

Break-even live

Break-even rent $721

Max offer price $89,900

Occupancy floor 80%

Sensitivity live

Price	-10% $186	-5% $161	+0% $135	+5% $110	+10% $84
Rent	-10% $65	-5% $100	+0% $135	+5% $170	+10% $206
Rate	-1.0pp $181	-0.5pp $158	base $135	+0.5pp $112	+1.0pp $88

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: $22,475
• Closing costs: $2,697
• Reserves months: —
• Total cash needed: —

Listing history 22 events

1. 2026-06-21
   days on market $89,900 Active 194 DOM
2. 2026-06-18
   days on market $89,900 Active 192 DOM
3. 2026-06-17
   days on market $89,900 Active 191 DOM
4. 2026-06-16
   days on market $89,900 Active 190 DOM
5. 2026-06-15
   days on market $89,900 Active 189 DOM
6. 2026-06-13
   days on market $89,900 Active 187 DOM
7. 2026-06-12
   days on market $89,900 Active 186 DOM
8. 2026-06-09
   days on market $89,900 Active 183 DOM
9. 2026-06-08
   days on market $89,900 Active 182 DOM
10. 2026-06-07
    days on market $89,900 Active 181 DOM
11. 2026-06-05
    days on market $89,900 Active 179 DOM
12. 2026-06-04
    days on market $89,900 Active 177 DOM
13. 2026-06-02
    days on market $89,900 Active 176 DOM
14. 2026-06-01
    days on market $89,900 Active 175 DOM
15. 2026-05-31
    days on market $89,900 Active 174 DOM
16. 2026-05-31
    days on market $89,900 Active 173 DOM
17. 2025-12-08
    listed $89,900 Active 378-char remark

    Show marketing remark (378 chars)

    Check out this 3 bedroom, 1 bath home in Middle River! This turn key home would be a great rental property or first home! This property has seen some recent updates including newer flooring, shingles & appliances. The home also features an attached single car garage and a spacious backyard perfect for relaxing or entertaining. Call your realtor to see it for yourself!

18. 2023-10-24
    soldstatus $78,000 Sold 436-char remark

    Show marketing remark (436 chars)

    Here's an opportunity to build some equity instead of renting or to own an investment property. This home is move-in ready and nicely located. It's also had many newer updates including remodeling, newer roof and appliances. It also features 2 plus bedrooms, a full bath, main floor laundry, Wall AC and more. If you're looking for small town living, you'll want to call an agent today and take a look at this property before it's gone.

19. 2023-10-24
    soldstatus $78,000

    Show marketing remark (436 chars)

    Here's an opportunity to build some equity instead of renting or to own an investment property. This home is move-in ready and nicely located. It's also had many newer updates including remodeling, newer roof and appliances. It also features 2 plus bedrooms, a full bath, main floor laundry, Wall AC and more. If you're looking for small town living, you'll want to call an agent today and take a look at this property before it's gone.

20. 2023-09-12
    status Pending 436-char remark

    Show marketing remark (436 chars)

    Here's an opportunity to build some equity instead of renting or to own an investment property. This home is move-in ready and nicely located. It's also had many newer updates including remodeling, newer roof and appliances. It also features 2 plus bedrooms, a full bath, main floor laundry, Wall AC and more. If you're looking for small town living, you'll want to call an agent today and take a look at this property before it's gone.

21. 2023-08-08
    price $79,900 436-char remark

    Show marketing remark (436 chars)

    Here's an opportunity to build some equity instead of renting or to own an investment property. This home is move-in ready and nicely located. It's also had many newer updates including remodeling, newer roof and appliances. It also features 2 plus bedrooms, a full bath, main floor laundry, Wall AC and more. If you're looking for small town living, you'll want to call an agent today and take a look at this property before it's gone.

22. 2023-07-25
    listed $85,000 Active 436-char remark

    Show marketing remark (436 chars)

    Here's an opportunity to build some equity instead of renting or to own an investment property. This home is move-in ready and nicely located. It's also had many newer updates including remodeling, newer roof and appliances. It also features 2 plus bedrooms, a full bath, main floor laundry, Wall AC and more. If you're looking for small town living, you'll want to call an agent today and take a look at this property before it's gone.

ⓘ 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: $730 · $61/mo
• Projected year-2 tax: $868 · $72/mo
• Expected delta: +$138/yr (+$12/mo · 19.0%)

ⓘ 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 7/10 Severe
• 🌡 Heat 1/10 Low 7 d/yr ≥95°F today · 12 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 3/10 Moderate 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $10,708
• − Mortgage interest: −$5,036
• − Property taxes: −$730
• − Insurance: −$450
• − Repairs & maintenance: −$857
• − Management: −$857
• − Depreciation: −$2,615
• Taxable income: $164
• Est. tax owed @ 24.0%: −$39
• After-tax cash flow: $1,583/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: Greenbush-Middle River School District
• NCES district ID: 2700107
• Math proficiency: 55% ▬ 0.00%
• Reading proficiency: 60% ▼ -5.00%
• Median HH income: $49,269
• Composite: 50.64/100
• National rank: #3947
• State rank: #186 of 467 in MN

Livability — Middle River

• Score: 68/100
• State rank: #391
• US rank: #9271

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Middle River, MN
• Population (ZIP): 759

Population outlook (Marshall County) Hauer SSP2

• Today (2025): 9,191 people
• By 2030: 9,078 · -1.2%
• By 2040: 8,815 · -4.1%
• By 2050: 8,464 · -7.9%
• By 2075: 8,156 · -11.3%
• By 2100: 7,171 · -22.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (97%)
• Race & ethnicity: White 97% Two or more races 2% Hispanic / Latino 1%
• Common ancestry: Portuguese 51% Romanian 6% Lithuanian 2%
• Foreign-born: 0%

Political lean MEDSL · Marshall

• 2024 margin: Solid R (+51.7) · D 23.4% · R 75.1% · Other 1.4%
• 2008→2024 swing: -52.2pp toward R · 2008: 0.6pp · 2024: -51.7pp
• All cycles: 2024: R+51.7 2020: R+47.5 2016: R+41.4 2012: R+12.1 2008: D+0.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: —
• Current HPI: —
• Rent YoY: —
• Metro: —
• 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

+5.8% since first listed

6 events — show timeline

• 2025-12-08 Listed $89,900 NORTHSTARMLS as Distributed by MLS Grid
• 2023-10-24 Sold (Public Records) $78,000 Public Records
• 2023-10-24 Sold (MLS) $78,000 NORTHSTARMLS as Distributed by MLS Grid
• 2023-09-12 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2023-08-08 Price Changed $79,900 NORTHSTARMLS as Distributed by MLS Grid
• 2023-07-25 Listed $85,000 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+2.5%/yr

Latest (2025): $730 · +56.0% YoY. Source: county tax records.