606 Minnesota Ave · Albert Lea, MN 56007

$80,000

3 bd · 2.0 ba · 1,238 sqft · SingleFamily public records · 51 Days on market

Built 1912 8,668 sqft lot $65/sqft · 56% above area

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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 +28.5/30.0
• DSCR +10.0/10.0
• 1% rule +7.5/10.0
• ARV discount +7.5/15.0
• Livability +3.6/5.0
• Schools +3.0/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

If you’re looking for a place you can truly make your own, this 3-bedroom, 1-bath home is full of potential. This home offers a great opportunity to build equity with some work. Enjoy the charm of a front porch, a fenced front yard, and a back deck ready to be refreshed. There are hardwood floors, a large dining room and large kitchen as well as a bonus sun room right off the kitchen. Whether you’re an investor or willing to put in some sweat equity, this home is full of potential.

Key facts

• Large dining room
• Front porch
• Large kitchen

Tags

• FRONT PORCH
• FENCED FRONT YARD
• BACK DECK
• HARDWOOD FLOORS
• LARGE DINING ROOM
• LARGE KITCHEN

What this means for you Summary

Snapshot

• This is a 3-bed/2.0-bath single-family listed at $80k.

Deal economics

• At list price, monthly cash flow is $261 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($999 rent vs $80k).
• Recommended offer: $78k (3.0% below list) — sets the bar for market timing.
• Cap rate 10.2% vs local median 4.0% in Albert Lea — 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 72/100 on livability (#274 in MN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: schools C-, employment D+, amenities F.
• Albert Lea Public School District (town): math 30% / reading 40% proficiency, ranked #258 of 301 in MN (top 86%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 150 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 16 units permitted in Freeborn County in 2024 (0 in 5+ unit buildings).
• This rent is only 17% of the median local income ($69k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $553 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Freeborn 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 $22k cash investment doubles in ~9 years — after that, you're playing with house money.

Negotiation context

• It's been on market 51 days — a 3% lower offer ($78k) is reasonable based on typical stale-listing flexibility.
• 9 sale attempts since 23y ago; this cycle's ask has dropped $5k (6%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $31k; list at $80k implies a 155% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1912 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $77,600 (3.0% below list)

Questions for the listing agent

1. It's been on market 51 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Built in 1912 — 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. 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: 1.25% ✓
• Cap rate: 10.21%
• Cash-on-cash: 13.99%
• DSCR: 1.62
• GRM: 6.7

CMA / ARV

• ARV (median comp): $48,762
• List price: $80,000
• Delta: 64.06%
• Verdict: OVERPRICED
• Comps: 3 within 1.0 mi

Show comp detail 1 sale within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
608 Saint Peter Ave	0.36mi	3/1.0	1,085 (-12%)	22mo	$139,000	$128	41

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

Projected returns pro-forma

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

5-year hold

• IRR: 4.2%
• Equity multiple: 1.16×
• Total profit: $3,675
• Equity at exit: $11,928

10-year hold

• IRR: 13.7%
• Equity multiple: 2.10×
• Total profit: $24,623
• Equity at exit: $6,917

Cash invested: $22,400 (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 56007

• Home prices YoY: -22.3%
• Active inventory: 150
• Price-to-rent: 6.7×

Monthly cashflow live

• Estimated rent: $999 medium
• Mortgage (P&I): −$420
• Tax from tax record: −$75 /mo · $898/yr
• Insurance: −$33
• HOA: −$0
• Vacancy / Maint / Mgmt: −$210
• Net cashflow: $261

Break-even live

Break-even rent $668

Max offer price $80,000

Occupancy floor 69%

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: $20,000
• Closing costs: $2,400
• Reserves months: —
• Total cash needed: —

Rent comps 3 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
139 E William St Albert Lea, MN	2.0	1.0	894	$885	$0.99	44d	1	0.63mi
133 W William St Unit 105 Albert Lea, MN	2.0	1.0	775	$865	$1.12	44d	1	0.73mi
1307 Saint Joseph Ave Albert Lea, MN	2.0	1.0	1101	$1,050	$0.95	44d	1	1.30mi

Listing history 22 events

1. 2026-06-05
   statusdays on market $80,000 Pending 51 DOM
2. 2026-06-03
   days on market $80,000 Active 50 DOM
3. 2026-06-02
   days on market $80,000 Active 49 DOM
4. 2026-06-01
   days on market $80,000 Active 48 DOM
5. 2026-05-31
   days on market $80,000 Active 47 DOM
6. 2026-05-30
   days on market $80,000 Active 46 DOM
7. 2026-05-04
   price $80,000 498-char remark

   Show marketing remark (498 chars)

   If you’re looking for a place you can truly make your own, this 3-bedroom, 1-bath home is full of potential. This home offers a great opportunity to build equity with some work. Enjoy the charm of a front porch, a fenced front yard, and a back deck ready to be refreshed. There are hardwood floors, a large dining room and large kitchen as well as a bonus sun room right off the kitchen. Whether you’re an investor or willing to put in some sweat equity, this home is full of potential.

8. 2026-04-14
   listed $85,000 Active 498-char remark

   Show marketing remark (498 chars)

   If you’re looking for a place you can truly make your own, this 3-bedroom, 1-bath home is full of potential. This home offers a great opportunity to build equity with some work. Enjoy the charm of a front porch, a fenced front yard, and a back deck ready to be refreshed. There are hardwood floors, a large dining room and large kitchen as well as a bonus sun room right off the kitchen. Whether you’re an investor or willing to put in some sweat equity, this home is full of potential.

9. 2018-12-10
   historical
10. 2016-11-28
    soldstatus $31,350
11. 2010-12-28
    historical
12. 2010-06-28
    listed $54,900
13. 2010-06-15
    historical
14. 2009-12-16
    listed $54,900
15. 2009-12-16
    listed $54,900
16. 2009-09-15
    historical
17. 2009-03-03
    listed $61,900
18. 2008-12-15
    historical
19. 2008-06-17
    listed $64,900
20. 2008-06-17
    listed $61,900
21. 2003-01-07
    listed $43,000
22. 2003-01-07
    listed $43,000

ⓘ 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: $898 · $75/mo
• Projected year-2 tax: $898 · $75/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

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

Climate risk First Street

• 🌊 Flood 6/10 Major FEMA zone X (unshaded) · 72% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥99°F today · 16 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: $11,984
• − Mortgage interest: −$4,481
• − Property taxes: −$898
• − Insurance: −$400
• − Repairs & maintenance: −$959
• − Management: −$959
• − Depreciation: −$2,327
• Taxable income: $1,960
• Est. tax owed @ 24.0%: −$470
• After-tax cash flow: $2,664/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: Albert Lea Public School District
• NCES district ID: 2702970
• Math proficiency: 30% ▼ -14.00%
• Reading proficiency: 40% ▼ -8.00%
• Median HH income: $42,776
• Composite: 29.62/100
• National rank: #6472
• State rank: #258 of 301 in MN

Livability — Albert Lea

• Score: 72/100
• State rank: #274
• US rank: #5963

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Albert Lea, MN
• County: Freeborn County · 21,377 people
• City population: 21,377
• Metro: Albert Lea, MN
• Population (ZIP): 21,377
• Household income: $68,846
• Rent vs Own: 23.3% rent · 76.7% own
• Severe rent burden: 483.0

Population outlook (Freeborn County) Hauer SSP2

• Today (2025): 29,680 people
• By 2030: 29,038 · -2.2%
• By 2040: 27,650 · -6.8%
• By 2050: 26,387 · -11.1%
• By 2075: 25,224 · -15.0%
• By 2100: 23,842 · -19.7%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (79%)
• Race & ethnicity: White 79% Hispanic / Latino 14% Two or more races 8% Asian 4% Black 2%
• Hispanic origin (detail): Mexican 11%
• Common ancestry: Portuguese 23% Iranian 3% Romanian 2%
• Foreign-born: 4% · Canada, Philippines
• Languages at home: 90% English-only · Spanish 7% Other Asian/Pacific 3%

Political lean MEDSL · Freeborn

• 2024 margin: Strong R (+21.3) · D 38.7% · R 60.0% · Other 1.3%
• 2008→2024 swing: -38.5pp toward R · 2008: 17.1pp · 2024: -21.3pp
• All cycles: 2024: R+21.3 2020: R+16.0 2016: R+17.4 2012: D+14.2 2008: D+17.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -63.40%
• Current HPI: 220.7963
• Rent YoY: —
• Metro: Albert Lea, 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

+86.0% since first listed

16 events — show timeline

• 2026-05-04 Price Changed $80,000 NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-14 Listed $85,000 NORTHSTARMLS as Distributed by MLS Grid
• 2018-12-10 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2016-11-28 Sold (Public Records) $31,350 Public Records
• 2010-12-28 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2010-06-28 Listed $54,900 NORTHSTARMLS as Distributed by MLS Grid
• 2010-06-15 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2009-12-16 Listed $54,900 NORTHSTARMLS as Distributed by MLS Grid
• 2009-12-16 Listed $54,900 NORTHSTARMLS as Distributed by MLS Grid
• 2009-09-15 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2009-03-03 Listed $61,900 NORTHSTARMLS as Distributed by MLS Grid
• 2008-12-15 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2008-06-17 Listed $61,900 NORTHSTARMLS as Distributed by MLS Grid
• 2008-06-17 Listed $64,900 NORTHSTARMLS as Distributed by MLS Grid
• 2003-01-07 Listed $43,000 NORTHSTARMLS as Distributed by MLS Grid
• 2003-01-07 Listed $43,000 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+2.3%/yr

Latest (2025): $898 · -2.8% YoY. Source: county tax records.