602 Hodgman St · Red Wing, MN 55066

$124,900

2 bd · 1.0 ba · 856 sqft · SingleFamily public records · 1 Days on market

Built 1860 4,356 sqft lot $146/sqft · 35% above area Est $93k · 35% over

---

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 +30.0/30.0
• DSCR +10.0/10.0
• 1% rule +7.5/10.0
• Livability +4.0/5.0
• Schools +3.5/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• ARV discount +0.0/15.0
• Appreciation +0.0/10.0

Listing remarks MLS

Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

Key facts

• 4,356 sq ft lot
• Garage
• Built 1860

Property features AI

Finance

• Other: Corner lot dimensions approximately 30 x 134.5 (0.1 acre); Below-grade area reported

Exterior

• Parking: Detached or attached garage not specified, includes 1 garage space
• Utilities: City water connected; City sewer connected; Natural gas; 100 amp electric service
• Home design: Residential property; One story; Entry at main level; Above-grade finished living area and main level finished area reported as 856
• Construction: Stone foundation
• Exterior features: Front porch; Patio; Vinyl exterior; Full wood fencing; Corner lot with light tree coverage; City street frontage with sidewalks; Public maintained road

Interior

• Kitchen: Range; Refrigerator
• Bedrooms: 2 bedrooms
• Bathrooms: 1 full bath (main floor)
• Heating & cooling: Forced air heating; Window unit(s) for cooling
• Interior features: Gas water heater; Stainless steel appliances; Separate formal dining room
• Laundry & utility: Washer/dryer hookups not specified

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $125k.

Deal economics

• At list price, monthly cash flow is $467 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $125k).
• Cap rate 10.8% vs local median 3.6% in Red Wing — 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 81/100 on livability (#64 in MN, #1,570 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, housing A+, health & safety A+; Watch: amenities D.
• Red Wing Public School District (rural): math 36% / reading 44% proficiency, ranked #220 of 301 in MN (top 73%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 143 active listings in the ZIP; 7 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 71% of comp listings sitting > 30 days — soft ceiling on asking rent; 86 units permitted in Goodhue County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $864 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Goodhue County population projected at -11% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $35k cash investment doubles in ~8 years — after that, you're playing with house money.

Negotiation context

• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• 2 sale attempts since 10y 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 $54k; list at $125k implies a 131% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1860 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $124,900

Questions for the listing agent

1. Built in 1860 — 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: 1.25% ✓
• Cap rate: 10.78%
• Cash-on-cash: 16.02%
• DSCR: 1.71
• GRM: 6.7

CMA / ARV

• ARV (median comp): $92,787
• List price: $124,900
• Delta: 34.61%
• Verdict: OVERPRICED
• Comps: 1 within 2.0 mi

Projected returns pro-forma

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

5-year hold

• IRR: 6.9%
• Equity multiple: 1.27×
• Total profit: $9,456
• Equity at exit: $18,623

10-year hold

• IRR: 16.2%
• Equity multiple: 2.33×
• Total profit: $46,365
• Equity at exit: $10,799

Cash invested: $34,972 (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 55066

• Home prices YoY: -28.1%
• Active inventory: 143
• Price-to-rent: 6.7×

Monthly cashflow live

• Estimated rent: $1,556 high
• Mortgage (P&I): −$655
• Tax from tax record: −$55 /mo · $662/yr
• Insurance: −$52
• HOA: −$0
• Vacancy / Maint / Mgmt: −$327
• Net cashflow: $467

Break-even live

Break-even rent $965

Max offer price $124,900

Occupancy floor 65%

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: $31,225
• Closing costs: $3,747
• Reserves months: —
• Total cash needed: —

Rent comps 7 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
205 Plum St Apt 2 Red Wing, MN	2.0	1.0	825	$1,550	$1.88	43d	1	0.38mi
222 Bush St Unit 111 Red Wing, MN	2.0	1.0	998	$1,895	$1.90	43d	1	0.43mi
222 Bush St Unit 112 Red Wing, MN	1.0	1.0	570	$1,490	$2.61	43d	1	0.43mi
222 Bush St Unit 12 Red Wing, MN	2.0	1.0	1007	$1,900	$1.89	43d	1	0.43mi
222 Bush St Unit 115 Red Wing, MN	2.0	1.0	948	$1,800	$1.90	43d	1	0.43mi
821 W 5th St Apt 5 Red Wing, MN	2.0	1.0	950	$1,300	$1.37	1d	1	0.70mi
821 W 5th St Unit 2 Red Wing, MN	2.0	1.0	950	$1,150	$1.21	12d	1	0.70mi

Listing history 12 events

1. 2026-05-17
   status Pending 665-char remark
2. 2026-05-15
   listed $124,900 Active 665-char remark
3. 2026-05-14
   historical $124,900 665-char remark
4. 2018-04-30
   soldstatus $54,000
5. 2016-12-20
   soldstatus $25,000 Sold 279-char remark

   Show marketing remark (279 chars)

   Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

6. 2016-12-04
   status Pending 279-char remark

   Show marketing remark (279 chars)

   Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

7. 2016-11-24
   price $30,000 279-char remark

   Show marketing remark (279 chars)

   Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

8. 2016-11-09
   price $39,900 279-char remark

   Show marketing remark (279 chars)

   Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

9. 2016-10-26
   price $45,000 279-char remark

   Show marketing remark (279 chars)

   Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

10. 2016-10-11
    price $48,000 279-char remark

    Show marketing remark (279 chars)

    Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

11. 2016-09-23
    price $54,900 279-char remark

    Show marketing remark (279 chars)

    Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

12. 2016-06-28
    listed $60,000 Active 279-char remark

    Show marketing remark (279 chars)

    Charming little home close to downtown. Newer furnace and water heater. Own this home cheaper than rent! All contracts and offers are subject to final review and approval of seller, all offers or contracts are not binding unless the entire agreement is ratified by all parties.

ⓘ 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: $662 · $55/mo
• Projected year-2 tax: $1,030 · $86/mo
• Expected delta: +$368/yr (+$31/mo · 55.7%)

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

Climate risk First Street

• 🌊 Flood 3/10 Moderate FEMA zone X (unshaded) · 20% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 2/10 Low 7 d/yr ≥100°F today · 15 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: $18,669
• − Mortgage interest: −$6,996
• − Property taxes: −$662
• − Insurance: −$624
• − Repairs & maintenance: −$1,494
• − Management: −$1,494
• − Depreciation: −$3,633
• Taxable income: $3,766
• Est. tax owed @ 24.0%: −$904
• After-tax cash flow: $4,698/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: Red Wing Public School District
• NCES district ID: 2730480
• Math proficiency: 36% ▼ -13.00%
• Reading proficiency: 44% ▼ -11.00%
• Median HH income: $53,206
• Composite: 34.77/100
• National rank: #5122
• State rank: #220 of 301 in MN

Livability — Red Wing

• Score: 81/100
• State rank: #64
• US rank: #1570

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Red Wing, MN
• County: Goodhue County · 19,226 people
• City population: 19,226
• Metro: Red Wing, MN
• Population (ZIP): 19,226
• Household income: $73,584
• Rent vs Own: 25.6% rent · 74.4% own
• Severe rent burden: 504.0

Population outlook (Goodhue County) Hauer SSP2

• Today (2025): 46,532 people
• By 2030: 46,185 · -0.7%
• By 2040: 44,531 · -4.3%
• By 2050: 41,532 · -10.7%
• By 2075: 33,745 · -27.5%
• By 2100: 23,716 · -49.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (87%)
• Race & ethnicity: White 87% Hispanic / Latino 6% Two or more races 4% Black 3%
• Hispanic origin (detail): Mexican 3%
• Common ancestry: Portuguese 14% Romanian 3% Scottish 2%
• Foreign-born: 4% · Canada
• Languages at home: 95% English-only · Spanish 4%

Political lean MEDSL · Goodhue

• 2024 margin: R (+16.4) · D 40.8% · R 57.3% · Other 1.9%
• 2008→2024 swing: -15.1pp toward R · 2008: -1.4pp · 2024: -16.4pp
• All cycles: 2024: R+16.4 2020: R+14.8 2016: R+18.0 2012: R+3.0 2008: R+1.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -97.16%
• Current HPI: 247.9899
• Rent YoY: —
• Metro: Red Wing, 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

+108.2% since first listed

12 events — show timeline

• 2026-05-17 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-15 Listed $124,900 NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-14 Coming Soon $124,900 NORTHSTARMLS as Distributed by MLS Grid
• 2018-04-30 Sold (Public Records) $54,000 Public Records
• 2016-12-20 Sold (MLS) $25,000 NORTHSTARMLS as Distributed by MLS Grid
• 2016-12-04 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2016-11-24 Price Changed $30,000 NORTHSTARMLS as Distributed by MLS Grid
• 2016-11-09 Price Changed $39,900 NORTHSTARMLS as Distributed by MLS Grid
• 2016-10-26 Price Changed $45,000 NORTHSTARMLS as Distributed by MLS Grid
• 2016-10-11 Price Changed $48,000 NORTHSTARMLS as Distributed by MLS Grid
• 2016-09-23 Price Changed $54,900 NORTHSTARMLS as Distributed by MLS Grid
• 2016-06-28 Listed $60,000 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+2.4%/yr

Latest (2025): $662 · -33.7% YoY. Source: county tax records.