350 2nd St S · Montrose, MN 55363

$289,900

2 bd · 2.0 ba · 959 sqft · SingleFamily public records · 2 Days on market

Built 1984 6,316 sqft lot

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Why this score? — see what drove the F 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 +7.5/15.0
• Cash flow +7.4/30.0
• Schools +4.8/10.0
• Appreciation +4.0/10.0
• Livability +3.2/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• 1% rule +1.5/10.0
• DSCR +1.5/10.0

Listing remarks MLS

3 bed 2 bath very quiet side of town. Very well cared for home. Peaceful yard. Large detach 24x24 garage. Quick closing. Sun room 20x16 very bright. With corner fireplace, open

Key facts

• 6,316 sq ft lot
• 2 garage spots
• Built 1984

Property features AI

Exterior

• Parking: Heated, insulated garage with garage door opener; 2-car garage
• Utilities: City water connected; City sewer connected; Natural gas
• Home design: Residential split-entry (bi-level) home; Main level finished living area; Entry faces not specified
• Construction: Block foundation; Asphalt roof; Built details include above- and below-grade finished areas
• Exterior features: Deck; Medium tree coverage

Interior

• Kitchen: Dishwasher; Range; Microwave; Refrigerator; Kitchen island; Eat-in kitchen
• Bedrooms: 4 bedrooms total (bedroom locations: Main and Lower levels)
• Bathrooms: 2 full bathrooms (one on main floor, one in full basement)
• Heating & cooling: Forced air heating; Baseboard heating; Central air conditioning
• Interior features: Finished basement with egress windows, drain-tiled system and sump pump; Eat-in kitchen / kitchen-dining room layout; Main floor primary bedroom; Kitchen center island
• Laundry & utility: Washer and dryer included; Washer/Dryer hookup; Laundry located on lower level

What this means for you Summary

Snapshot

• This is a 2-bed/2.0-bath single-family listed at $290k.

Deal economics

• At list price, monthly cash flow is $-374 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $224k (22.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $188k (35.2% below list).
• Recommended offer: $188k (35.2% below list) — sets the bar for 1% rule.
• Cap rate 4.7% vs local median 3.9% in Montrose — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

Location & tenants

• Location reads 65/100 on livability (#522 in MN) — a middle-class / working-renter tenant base. Strengths: crime A+, housing A+, cost of living A-; Watch: amenities F, commute F, health & safety F.
• Buffalo-Hanover-Montrose Public Schools (town): math 52% / reading 56% proficiency, ranked #63 of 301 in MN (top 21%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 18% free/reduced lunch — higher-income household profile.
• Market conditions: 49 active listings in the ZIP; 1,260 units permitted in Wright County in 2024 (180 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-2.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Wright County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Negotiation context

• Only 2 days on market — expect competitive offers; lowballing is unlikely to land.
• 2 sale attempts since 8y 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 $170k; list at $290k implies a 71% gain — meaningful room to come down on a strong offer.

Recommended offer $187,932 (35.2% 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. 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 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: 0.65% ✗
• Cap rate: 4.74%
• Cash-on-cash: -5.53%
• DSCR: 0.75
• GRM: 12.9

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-2.05% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -19.0%
• Equity multiple: 0.27×
• Total profit: $-59,145
• Equity at exit: $55,712

10-year hold

• IRR: -12.3%
• Equity multiple: 0.11×
• Total profit: $-72,009
• Equity at exit: $47,048

Cash invested: $81,172 (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 55363

• Home prices YoY: -0.7%
• Active inventory: 49
• Price-to-rent: 12.9×

Monthly cashflow live

• Estimated rent: $1,879 medium
• Mortgage (P&I): −$1,520
• Tax from tax record: −$218 /mo · $2,616/yr
• Insurance: −$121
• HOA: −$0
• Vacancy / Maint / Mgmt: −$395
• Net cashflow: $-374

Break-even live

Break-even rent $2,353

Max offer price $223,761

Occupancy floor —

Sensitivity live

Price	-10% $-210	-5% $-292	+0% $-374	+5% $-456	+10% $-539
Rent	-10% $-523	-5% $-449	+0% $-374	+5% $-300	+10% $-226
Rate	-1.0pp $-228	-0.5pp $-301	base $-374	+0.5pp $-450	+1.0pp $-526

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: $72,475
• Closing costs: $8,697
• Reserves months: —
• Total cash needed: —

Listing history 10 events

1. 2026-05-03
   status Pending
2. 2026-05-01
   listed $289,900 Active
3. 2026-04-29
   historical $289,900
4. 2019-06-27
   soldstatus $170,000
5. 2018-11-09
   soldstatus $170,000 Sold 176-char remark

   Show marketing remark (176 chars)

   3 bed 2 bath very quiet side of town. Very well cared for home. Peaceful yard. Large detach 24x24 garage. Quick closing. Sun room 20x16 very bright. With corner fireplace, open

6. 2018-10-04
   status Pending 176-char remark

   Show marketing remark (176 chars)

   3 bed 2 bath very quiet side of town. Very well cared for home. Peaceful yard. Large detach 24x24 garage. Quick closing. Sun room 20x16 very bright. With corner fireplace, open

7. 2018-09-25
   price $171,900 176-char remark

   Show marketing remark (176 chars)

   3 bed 2 bath very quiet side of town. Very well cared for home. Peaceful yard. Large detach 24x24 garage. Quick closing. Sun room 20x16 very bright. With corner fireplace, open

8. 2018-09-05
   price $176,900 176-char remark

   Show marketing remark (176 chars)

   3 bed 2 bath very quiet side of town. Very well cared for home. Peaceful yard. Large detach 24x24 garage. Quick closing. Sun room 20x16 very bright. With corner fireplace, open

9. 2018-08-09
   listed $185,000 Active 176-char remark

   Show marketing remark (176 chars)

   3 bed 2 bath very quiet side of town. Very well cared for home. Peaceful yard. Large detach 24x24 garage. Quick closing. Sun room 20x16 very bright. With corner fireplace, open

10. 2001-02-28
    soldstatus $95,900

ⓘ 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: $2,616 · $218/mo
• Projected year-2 tax: $2,931 · $244/mo
• Expected delta: +$315/yr (+$26/mo · 12.1%)

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

Climate risk First Street

• 🌊 Flood 1/10 Low 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥98°F today · 14 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $22,552
• − Mortgage interest: −$16,239
• − Property taxes: −$2,616
• − Insurance: −$1,450
• − Repairs & maintenance: −$1,804
• − Management: −$1,804
• − Depreciation: −$8,433
• Taxable loss: −$9,794
• Est. tax savings @ 24.0%: +$2,351
• After-tax cash flow: $-2,142/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: Buffalo-Hanover-Montrose Public Schools
• NCES district ID: 2707200
• Math proficiency: 52% ▼ -13.00%
• Reading proficiency: 56% ▼ -9.00%
• Median HH income: $72,549
• Composite: 48.25/100
• National rank: #2159
• State rank: #63 of 301 in MN

Livability — Montrose

• Score: 65/100
• State rank: #522
• US rank: #12593

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Montrose, MN
• Population (ZIP): 5,664

Population outlook (Wright County) Hauer SSP2

• Today (2025): 142,526 people
• By 2030: 146,915 · +3.1%
• By 2040: 153,625 · +7.8%
• By 2050: 155,416 · +9.0%
• By 2075: 150,352 · +5.5%
• By 2100: 130,631 · -8.3%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (81%)
• Race & ethnicity: White 81% Two or more races 16% Hispanic / Latino 11% Native American 2%
• Hispanic origin (detail): Mexican 11%
• Common ancestry: Portuguese 11% Romanian 6% Lithuanian 3%
• Foreign-born: 4% · Canada
• Languages at home: 89% English-only · Spanish 10% Russian/Polish/Slavic 1% German/W. Germanic 1%

Political lean MEDSL · Wright

• 2024 margin: Strong R (+29.4) · D 34.4% · R 63.8% · Other 1.8%
• 2008→2024 swing: -11.9pp toward R · 2008: -17.4pp · 2024: -29.4pp
• All cycles: 2024: R+29.4 2020: R+28.6 2016: R+33.2 2012: R+21.4 2008: R+17.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -2.05%
• Current HPI: 280.9111
• 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

+202.3% since first listed

10 events — show timeline

• 2026-05-03 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-01 Listed $289,900 NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-29 Coming Soon $289,900 NORTHSTARMLS as Distributed by MLS Grid
• 2019-06-27 Sold (Public Records) $170,000 Public Records
• 2018-11-09 Sold (MLS) $170,000 NORTHSTARMLS as Distributed by MLS Grid
• 2018-10-04 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2018-09-25 Price Changed $171,900 NORTHSTARMLS as Distributed by MLS Grid
• 2018-09-05 Price Changed $176,900 NORTHSTARMLS as Distributed by MLS Grid
• 2018-08-09 Listed $185,000 NORTHSTARMLS as Distributed by MLS Grid
• 2001-02-28 Sold (Public Records) $95,900 Public Records

Property tax history

+5.6%/yr

Latest (2025): $2,616 · -2.0% YoY. Source: county tax records.