3904 7th Pl NW · Rochester, MN 55901

$290,000

2 bd · 2.0 ba · 1,828 sqft · SingleFamily public records · 2 Days on market

Built 1959 6,141 sqft lot

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Why this score? — see what drove the D 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 +12.6/30.0
• ARV discount +7.5/15.0
• Livability +4.6/5.0
• Schools +4.1/10.0
• DSCR +3.8/10.0
• 1% rule +3.2/10.0
• Rent growth +3.0/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Welcome to this property that offers the perfect blend of comfort and style. This home is sure to captivate you with its numerous features. Step inside and you are welcomed by the charm of four paneled doors. The main floor embraces an informal dining room which can easily be converted back to a bedroom. Gleaming hardwood floors throughout the home exude a sense of elegance. The kitchen and main floor bathroom have been thoughtfully remodeled, in addition to newer windows, roof and hot water heater offering peace of mind. In the basement, you will find a den/office space, that can also be used as a productive area to work or pursue personal hobbies and the warmth of a gas fireplace. Venturing into the backyard, you’ll find a delightful water fountain feature as well as an oversized garage.

Key facts

• 6,141 sq ft lot
• Garage
• Built 1959

Property features AI

Exterior

• Parking: Garage with approximately 1.5 car capacity
• Utilities: City water (in street); City sewer (in street); Natural gas
• Home design: Residential property; One level; Above-grade finished area 962 (main level finished area 962)
• Construction: New construction; Block foundation
• Exterior features: Deck; Partial fencing; Lot dimensions approximately 53 x 117 (0.141 acres)

Interior

• Kitchen: Range; Refrigerator; Dishwasher; Microwave; Electric water heater
• Bedrooms: 2 bedrooms
• Bathrooms: 2 full bathrooms; Main floor full bath
• Heating & cooling: Forced air heating; Central air conditioning
• Interior features: Finished basement with daylight/lookout windows, egress windows, and drainage system; Water softener (owned)
• Laundry & utility: Dryer

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 $-36 ($-433/yr) — negative.
• To cash-flow at today's rent, offer at most $284k (2.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $236k (18.5% below list).
• Recommended offer: $236k (18.5% below list) — sets the bar for 1% rule.
• Cap rate 6.1% vs local median 3.5% in Rochester — 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 92/100 on livability (#1 in MN, #27 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, employment A+.
• Rochester Public School District (urban): math 40% / reading 51% proficiency, ranked #152 of 301 in MN (top 50%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: John Marshall Senior High (math 37% / reading 58%, grade D, #162 of 471 statewide, top 35%, 1,573 students, 43% FRL).
• Market conditions: Rents rising (+2.2%/yr); 509 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 50% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 1,267 units permitted in Olmsted County in 2024 (915 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Olmsted County population projected at +16% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• Only 2 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: built in 1959 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $236,480 (18.5% 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. Built in 1959 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. Schools are A-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?
5. 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?
6. 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.
7. 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.
8. 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: 0.82% ✗
• Cap rate: 6.14%
• Cash-on-cash: -0.53%
• DSCR: 0.98
• GRM: 10.2

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 2.18% rent growth · sell at horizon

5-year hold

• IRR: -18.1%
• Equity multiple: 0.37×
• Total profit: $-51,253
• Equity at exit: $43,240

10-year hold

• IRR: -11.9%
• Equity multiple: 0.32×
• Total profit: $-55,506
• Equity at exit: $25,074

Cash invested: $81,200 (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 55901

• Home prices YoY: -33.2%
• Rents YoY: 2.2%
• Active inventory: 509
• Price-to-rent: 10.2×

Monthly cashflow live

• Estimated rent: $2,365 medium
• Mortgage (P&I): −$1,521
• Tax from tax record: −$263 /mo · $3,152/yr
• Insurance: −$121
• HOA: −$0
• Vacancy / Maint / Mgmt: −$497
• Net cashflow: $-36

Break-even live

Break-even rent $2,410

Max offer price $283,623

Occupancy floor 97%

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: $72,500
• Closing costs: $8,700
• Reserves months: —
• Total cash needed: —

Rent comps 4 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
3680 9th St NW Rochester, MN	2.0–3.0	2.5	1600	$2,295	$1.43	13d	17	0.19mi
4275 Heritage Pl NW Rochester, MN	2.0–5.0	2.0–3.5	2067	$3,143	$1.52	13d	9	0.98mi
2127 Preserve Dr NW Rochester, MN	3.0	2.5	2136	$3,675	$1.72	44d	1	1.02mi
2257 Jordyn Rd NW Rochester, MN	3.0	2.0	1715	$3,440	$2.01	44d	1	1.13mi

Listing history 9 events

1. 2026-06-19
   days on market $290,000 Active 2 DOM
2. 2026-06-18
   statusdays on market $290,000 Active 1 DOM
3. 2026-06-17
   remarks 624-char remark
4. 2026-06-17
   days on market $290,000 Coming Soon 7 DOM
5. 2026-06-16
   days on market $290,000 Coming Soon 6 DOM
6. 2026-06-15
   days on market $290,000 Coming Soon 5 DOM
7. 2026-06-14
   days on market $290,000 Coming Soon 3 DOM
8. 2026-06-13
   remarks 19-char remark
9. 2026-06-13
   listed $290,000 Coming Soon 2 DOM

ⓘ 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: $3,152 · $263/mo
• Projected year-2 tax: $3,200 · $267/mo
• Expected delta: +$48/yr (+$4/mo · 1.5%)

ⓘ 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 ≥98°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $28,378
• − Mortgage interest: −$16,245
• − Property taxes: −$3,152
• − Insurance: −$1,450
• − Repairs & maintenance: −$2,270
• − Management: −$2,270
• − Depreciation: −$8,436
• Taxable loss: −$5,446
• Est. tax savings @ 24.0%: +$1,307
• After-tax cash flow: $874/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: Rochester Public School District
• NCES district ID: 2731800
• Math proficiency: 40% ▼ -10.00%
• Reading proficiency: 51% ▼ -4.00%
• Median HH income: $66,540
• Composite: 40.6/100
• National rank: #3695
• State rank: #152 of 301 in MN

Livability — Rochester

• Score: 92/100
• State rank: #1
• US rank: #27

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Rochester, MN
• County: Olmsted County · 135,035 people
• City population: 135,035
• Metro: Rochester, MN
• Population (ZIP): 58,495
• Household income: $94,607
• Rent vs Own: 35.7% rent · 64.3% own
• Severe rent burden: 1651.0

Population outlook (Olmsted County) Hauer SSP2

• Today (2025): 165,999 people
• By 2030: 172,425 · +3.9%
• By 2040: 183,785 · +10.7%
• By 2050: 192,981 · +16.3%
• By 2075: 215,284 · +29.7%
• By 2100: 224,887 · +35.5%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (71%)
• Race & ethnicity: White 71% Black 12% Asian 8% Two or more races 6% Hispanic / Latino 5%
• Hispanic origin (detail): Mexican 3%
• Common ancestry: Portuguese 11% Romanian 3% Iranian 2%
• Foreign-born: 15% · Canada, Vietnam, China
• Languages at home: 81% English-only · Spanish 3% Other Asian/Pacific 3% Arabic 2%

Political lean MEDSL · Olmsted

• 2024 margin: D (+10.7) · D 54.3% · R 43.6% · Other 2.1%
• 2008→2024 swing: +7.4pp toward D · 2008: 3.3pp · 2024: 10.7pp
• All cycles: 2024: D+10.7 2020: D+10.7 2016: D+0.8 2012: D+3.2 2008: D+3.3

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -126.08%
• Current HPI: 253.7999
• Rent YoY: ▲ 2.18%
• Metro: Rochester, 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

+382.5% since first listed

8 events — show timeline

• 2026-06-10 Coming Soon $290,000 NORTHSTARMLS as Distributed by MLS Grid
• 2024-05-09 Sold (Public Records) $260,000 Public Records
• 2024-04-10 Sold (MLS) $260,000 NORTHSTARMLS as Distributed by MLS Grid
• 2024-03-08 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2024-02-21 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2024-02-20 Listed $260,000 NORTHSTARMLS as Distributed by MLS Grid
• 1988-10-01 Sold (Public Records) $59,000 Public Records
• 1983-09-01 Sold (Public Records) $60,100 Public Records

Property tax history

+8.0%/yr

Latest (2025): $3,152 · +14.6% YoY. Source: county tax records.