305 Summit St SE · Sleepy Eye, MN 56085

$139,900

4 bd · 2.0 ba · 1,832 sqft · SingleFamily public records · 26 Days on market

Built 1922 6,969 sqft lot $76/sqft · 21% below area Est $178k · 21% under ↓ 4% since listing

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Why this score? — see what drove the B- 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 +18.4/30.0
• ARV discount +15.0/15.0
• Appreciation +10.0/10.0
• DSCR +5.8/10.0
• Schools +4.8/10.0
• 1% rule +4.0/10.0
• Livability +4.0/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks MLS

You will apprciate the inviting character of this home! The beautiful woodwork emphasizes the era it was built in and the many windows keep it light and airy - once you enter through the spacious porch, you will see that the large living room and formal dining room offer plenty of room to utilize for gatherings and/or recreation - The convenient layout of the kitchen makes it pleasnat to work in and the eat-in kitchen pulls the group together for smaller meals - a much appreciated feature is 3 bedrooms on the upper level - 2 of which have walk-in closets - plus - a main level bedroom that can double as an office or a den - In the basement the large open area had been carpeted and used as a family room - it appears the builder used every possible opportunity to give the owners storage space - in addition to the large laundry room there is a work room and a storage room in the basement - on the main level there is a back entry - Newer sidewalk and the patio make being outside pleasant - This home boasts opportunity to be in town with a beutiful recreation area around Sleepy Eye Lake, a Golf Course and a family aquatic center - also access to local shopping and restaurants - Sleepy Eye is conveniently located at the crossroads of highways 4 and 14.

Key facts

• Many windows
• Formal dining room
• Large living room

Tags

• MANY WINDOWS
• SPACIOUS PORCH
• LARGE LIVING ROOM
• FORMAL DINING ROOM
• CONVENIENT LAYOUT
• EAT-IN KITCHEN

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $140k.

Deal economics

• At list price, monthly cash flow is $130 ($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 $125k (10.3% below list).
• Recommended offer: $125k (10.3% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 79/100 on livability (#91 in MN, #2,057 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities D-, commute F.
• Sleepy Eye Public School District (town): math 51% / reading 58% proficiency, ranked #232 of 467 in MN (top 50%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: 18 active listings in the ZIP; 41 units permitted in Brown County in 2024 (18 in 5+ unit buildings).

Forward outlook

• In year one you build about $15k of equity ($967 loan paydown + $14k appreciation (10.0% local appreciation)).
• Brown County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $39k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$38k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 26 days — a 2% lower offer ($138k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1922 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $125,483 (10.3% below list)

Questions for the listing agent

1. Built in 1922 — 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. 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.
5. 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.
6. 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: 0.90% ✗
• Cap rate: 7.41%
• Cash-on-cash: 3.99%
• DSCR: 1.18
• GRM: 9.3

CMA / ARV

• ARV (median comp): $177,507
• List price: $139,900
• Delta: -21.19%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 9 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
215 SE Scott St	0.34mi	3/2.0 (-1)	1,854 (+1%)	12mo	$255,000	$138	67
220 SE Summit	0.05mi	3/1.5 (-1)	1,919 (+5%)	23mo	$175,000	$91	63
400 Burnside Street St SE	0.07mi	3/2.0 (-1)	1,983 (+8%)	21mo	$180,000	$91	61
113 SE Burnside St	0.15mi	3/1.5 (-1)	1,564 (-15%)	10mo	$120,000	$77	53
105 SW Southdale St	0.33mi	3/2.0 (-1)	1,650 (-10%)	14mo	$160,000	$97	51
318 SW Maple St	0.43mi	3/1.0 (-1)	1,728 (-6%)	16mo	$92,500	$54	48
305 NE Elm St	0.57mi	4/2.0	1,604 (-12%)	9mo	$127,750	$80	45
312 Elm Street St NW	0.70mi	3/2.0 (-1)	1,776 (-3%)	22mo	$184,000	$104	40
532 N First Ave	0.70mi	3/1.0 (-1)	1,640 (-10%)	15mo	$75,000	$46	29

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

10.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 27.1%
• Equity multiple: 3.16×
• Total profit: $84,441
• Equity at exit: $126,033

10-year hold

• IRR: 23.7%
• Equity multiple: 7.18×
• Total profit: $242,050
• Equity at exit: $271,795

Cash invested: $39,172 (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 56085

• Home prices YoY: 30.3%
• Active inventory: 18
• Price-to-rent: 9.3×

Monthly cashflow live

• Estimated rent: $1,255 medium
• Mortgage (P&I): −$734
• Tax from tax record: −$69 /mo · $830/yr
• Insurance: −$58
• HOA: −$0
• Vacancy / Maint / Mgmt: −$264
• Net cashflow: $130

Break-even live

Break-even rent $1,090

Max offer price $139,900

Occupancy floor 85%

Sensitivity live

Price	-10% $209	-5% $170	+0% $130	+5% $91	+10% $51
Rent	-10% $31	-5% $81	+0% $130	+5% $180	+10% $229
Rate	-1.0pp $201	-0.5pp $166	base $130	+0.5pp $94	+1.0pp $57

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: $34,975
• Closing costs: $4,197
• Reserves months: —
• Total cash needed: —

Listing history 4 events

1. 2026-05-13
   status Pending 1267-char remark

   Show marketing remark (1267 chars)

   You will apprciate the inviting character of this home! The beautiful woodwork emphasizes the era it was built in and the many windows keep it light and airy - once you enter through the spacious porch, you will see that the large living room and formal dining room offer plenty of room to utilize for gatherings and/or recreation - The convenient layout of the kitchen makes it pleasnat to work in and the eat-in kitchen pulls the group together for smaller meals - a much appreciated feature is 3 bedrooms on the upper level - 2 of which have walk-in closets - plus - a main level bedroom that can double as an office or a den - In the basement the large open area had been carpeted and used as a family room - it appears the builder used every possible opportunity to give the owners storage space - in addition to the large laundry room there is a work room and a storage room in the basement - on the main level there is a back entry - Newer sidewalk and the patio make being outside pleasant - This home boasts opportunity to be in town with a beutiful recreation area around Sleepy Eye Lake, a Golf Course and a family aquatic center - also access to local shopping and restaurants - Sleepy Eye is conveniently located at the crossroads of highways 4 and 14.

2. 2026-05-11
   historical Contingent - Inspection 1267-char remark

   Show marketing remark (1267 chars)

   You will apprciate the inviting character of this home! The beautiful woodwork emphasizes the era it was built in and the many windows keep it light and airy - once you enter through the spacious porch, you will see that the large living room and formal dining room offer plenty of room to utilize for gatherings and/or recreation - The convenient layout of the kitchen makes it pleasnat to work in and the eat-in kitchen pulls the group together for smaller meals - a much appreciated feature is 3 bedrooms on the upper level - 2 of which have walk-in closets - plus - a main level bedroom that can double as an office or a den - In the basement the large open area had been carpeted and used as a family room - it appears the builder used every possible opportunity to give the owners storage space - in addition to the large laundry room there is a work room and a storage room in the basement - on the main level there is a back entry - Newer sidewalk and the patio make being outside pleasant - This home boasts opportunity to be in town with a beutiful recreation area around Sleepy Eye Lake, a Golf Course and a family aquatic center - also access to local shopping and restaurants - Sleepy Eye is conveniently located at the crossroads of highways 4 and 14.

3. 2026-05-05
   price $139,900 1267-char remark

   Show marketing remark (1267 chars)

   You will apprciate the inviting character of this home! The beautiful woodwork emphasizes the era it was built in and the many windows keep it light and airy - once you enter through the spacious porch, you will see that the large living room and formal dining room offer plenty of room to utilize for gatherings and/or recreation - The convenient layout of the kitchen makes it pleasnat to work in and the eat-in kitchen pulls the group together for smaller meals - a much appreciated feature is 3 bedrooms on the upper level - 2 of which have walk-in closets - plus - a main level bedroom that can double as an office or a den - In the basement the large open area had been carpeted and used as a family room - it appears the builder used every possible opportunity to give the owners storage space - in addition to the large laundry room there is a work room and a storage room in the basement - on the main level there is a back entry - Newer sidewalk and the patio make being outside pleasant - This home boasts opportunity to be in town with a beutiful recreation area around Sleepy Eye Lake, a Golf Course and a family aquatic center - also access to local shopping and restaurants - Sleepy Eye is conveniently located at the crossroads of highways 4 and 14.

4. 2026-04-17
   listed $145,500 Active 1267-char remark

   Show marketing remark (1267 chars)

   You will apprciate the inviting character of this home! The beautiful woodwork emphasizes the era it was built in and the many windows keep it light and airy - once you enter through the spacious porch, you will see that the large living room and formal dining room offer plenty of room to utilize for gatherings and/or recreation - The convenient layout of the kitchen makes it pleasnat to work in and the eat-in kitchen pulls the group together for smaller meals - a much appreciated feature is 3 bedrooms on the upper level - 2 of which have walk-in closets - plus - a main level bedroom that can double as an office or a den - In the basement the large open area had been carpeted and used as a family room - it appears the builder used every possible opportunity to give the owners storage space - in addition to the large laundry room there is a work room and a storage room in the basement - on the main level there is a back entry - Newer sidewalk and the patio make being outside pleasant - This home boasts opportunity to be in town with a beutiful recreation area around Sleepy Eye Lake, a Golf Course and a family aquatic center - also access to local shopping and restaurants - Sleepy Eye is conveniently located at the crossroads of highways 4 and 14.

ⓘ 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: $830 · $69/mo
• Projected year-2 tax: $1,198 · $100/mo
• Expected delta: +$368/yr (+$31/mo · 44.4%)

ⓘ 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 2/10 Low 7 d/yr ≥99°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: $15,058
• − Mortgage interest: −$7,837
• − Property taxes: −$830
• − Insurance: −$700
• − Repairs & maintenance: −$1,205
• − Management: −$1,205
• − Depreciation: −$4,070
• Taxable loss: −$787
• Est. tax savings @ 24.0%: +$189
• After-tax cash flow: $1,751/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: Sleepy Eye Public School District
• NCES district ID: 2733210
• Math proficiency: 51% ▼ -5.00%
• Reading proficiency: 58% ▬ 0.00%
• Median HH income: $51,329
• Composite: 48.46/100
• National rank: #4643
• State rank: #232 of 467 in MN

Livability — Sleepy Eye

• Score: 79/100
• State rank: #91
• US rank: #2057

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Sleepy Eye, MN
• City population: 5,013
• Population (ZIP): 5,013

Population outlook (Brown County) Hauer SSP2

• Today (2025): 24,403 people
• By 2030: 23,790 · -2.5%
• By 2040: 22,309 · -8.6%
• By 2050: 20,948 · -14.2%
• By 2075: 19,038 · -22.0%
• By 2100: 16,658 · -31.7%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (88%)
• Race & ethnicity: White 88% Hispanic / Latino 10% Two or more races 6%
• Hispanic origin (detail): Mexican 9%
• Common ancestry: Portuguese 10% Italian 2% Lithuanian 1%
• Foreign-born: 6% · Canada
• Languages at home: 90% English-only · Spanish 8% German/W. Germanic 1% Other Indo-European 1%

Political lean MEDSL · Brown

• 2024 margin: Solid R (+35.2) · D 31.5% · R 66.7% · Other 1.8%
• 2008→2024 swing: -23.1pp toward R · 2008: -12.1pp · 2024: -35.2pp
• All cycles: 2024: R+35.2 2020: R+32.8 2016: R+36.2 2012: R+16.6 2008: R+12.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 56.76%
• Current HPI: 244.1
• 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

-3.8% since first listed

4 events — show timeline

• 2026-05-13 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-11 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-05 Price Changed $139,900 NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-17 Listed $145,500 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+2.8%/yr

Latest (2025): $830 · -4.8% YoY. Source: county tax records.