201 E Oak Ave · Frazee, MN 56544

$124,700

3 bd · 1.0 ba · 1,248 sqft · SingleFamily public records · 28 Days on market

Built 1916 0.28 ac lot

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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 +16.9/30.0
• Appreciation +10.0/10.0
• ARV discount +7.5/15.0
• DSCR +5.3/10.0
• 1% rule +3.9/10.0
• Livability +3.9/5.0
• Schools +3.7/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks

Investment opportunity in Frazee, MN! This 3 bedroom, 1 bathroom home with a attached 1 stall garage and 3 season porch offers plenty of potential for an owner occupant or investor looking to build equity. Recent updates include shingles and most main floor windows approximately 5 years ago. Upstairs features newer windows, ready to be installed, already in the porch and sheetrock upstairs will be included with the sale, giving you a head start on future improvements. Conveniently located with endless possibilities to make it your own! Property sold as is.

Key facts

• Recent updates
• Attached garage
• Newer windows

Tags

• ATTACHED GARAGE
• 3 SEASON PORCH
• RECENT UPDATES
• NEWER WINDOWS

Property features AI

Finance

• Financial info: Annual taxes $1,269 (2026) — $1,334 with assessments
• HOA & community: $65 other annual assessment

Exterior

• Parking: Attached garage (1 car)
• Utilities: City water; City sewer; Natural gas
• Home design: Residential property; One and one-half story; Block foundation
• Construction: Block foundation area 1,728
• Exterior features: Irregular-shaped lot; 0.28-acre lot

Interior

• Bedrooms: 3 bedrooms
• Bathrooms: 1 full bathroom
• Heating & cooling: Forced air heating; No central air
• Interior features: Unfinished basement

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $125k.

Deal economics

• At list price, monthly cash flow is $83 ($992/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 $112k (10.5% below list).
• Recommended offer: $112k (10.5% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 77/100 on livability (#135 in MN, #3,013 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Frazee-Vergas Public School District (rural): math 39% / reading 47% proficiency, ranked #196 of 301 in MN (top 65%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 74 active listings in the ZIP; 156 units permitted in Becker County in 2024 (0 in 5+ unit buildings).

Forward outlook

• In year one you build about $13k of equity ($862 loan paydown + $12k appreciation (10.0% local appreciation)).
• Becker County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $35k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 28 days — a 2% lower offer ($123k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1916 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $111,570 (10.5% below list)

Questions for the listing agent

1. Built in 1916 — 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: 0.89% ✗
• Cap rate: 7.09%
• Cash-on-cash: 2.84%
• DSCR: 1.13
• GRM: 9.3

CMA / ARV

No comps found within radius.

Projected returns pro-forma

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

5-year hold

• IRR: 26.3%
• Equity multiple: 3.10×
• Total profit: $73,158
• Equity at exit: $112,340

10-year hold

• IRR: 23.1%
• Equity multiple: 7.05×
• Total profit: $211,255
• Equity at exit: $242,265

Cash invested: $34,916 (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 56544

• Home prices YoY: 7.4%
• Active inventory: 74
• Price-to-rent: 9.3×

Monthly cashflow live

• Estimated rent: $1,116 medium
• Mortgage (P&I): −$654
• Tax from tax record: −$93 /mo · $1,114/yr
• Insurance: −$52
• HOA: −$0
• Vacancy / Maint / Mgmt: −$234
• Net cashflow: $83

Break-even live

Break-even rent $1,011

Max offer price $124,700

Occupancy floor 88%

Sensitivity live

Price	-10% $153	-5% $118	+0% $83	+5% $47	+10% $12
Rent	-10% $-5	-5% $39	+0% $83	+5% $127	+10% $171
Rate	-1.0pp $145	-0.5pp $114	base $83	+0.5pp $50	+1.0pp $17

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: $31,175
• Closing costs: $3,741
• Reserves months: —
• Total cash needed: —

Listing history 17 events

1. 2026-06-21
   statusdays on market $124,700 Pending 28 DOM
2. 2026-06-18
   days on market $124,700 Active 27 DOM
3. 2026-06-17
   days on market $124,700 Active 26 DOM
4. 2026-06-16
   days on market $124,700 Active 25 DOM
5. 2026-06-15
   days on market $124,700 Active 24 DOM
6. 2026-06-13
   days on market $124,700 Active 22 DOM
7. 2026-06-12
   days on market $124,700 Active 21 DOM
8. 2026-06-09
   days on market $124,700 Active 18 DOM
9. 2026-06-08
   days on market $124,700 Active 17 DOM
10. 2026-06-07
    pricedays on market $124,700 Active 16 DOM
11. 2026-06-05
    days on market $139,700 Active 14 DOM
12. 2026-06-04
    days on market $139,700 Active 12 DOM
13. 2026-06-02
    days on market $139,700 Active 11 DOM
14. 2026-06-01
    days on market $139,700 Active 10 DOM
15. 2026-05-31
    days on market $139,700 Active 9 DOM
16. 2026-05-31
    days on market $139,700 Active 8 DOM
17. 2026-05-22
    listed $139,700 Active

ⓘ 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: $1,114 · $93/mo
• Projected year-2 tax: $1,255 · $105/mo
• Expected delta: +$141/yr (+$12/mo · 12.7%)

ⓘ 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 · 20% chance over 30 yrs
• 🔥 Wildfire 4/10 Moderate
• 🌡 Heat 1/10 Low 7 d/yr ≥96°F today · 12 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 3/10 Moderate 2 unhealthy d/yr today · 3 by 30 yrs out

Taxation est. · year 1

• Rental income: $13,388
• − Mortgage interest: −$6,985
• − Property taxes: −$1,114
• − Insurance: −$624
• − Repairs & maintenance: −$1,071
• − Management: −$1,071
• − Depreciation: −$3,628
• Taxable loss: −$1,104
• Est. tax savings @ 24.0%: +$265
• After-tax cash flow: $1,257/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: Frazee-Vergas Public School District
• NCES district ID: 2712360
• Math proficiency: 39% ▼ -16.00%
• Reading proficiency: 47% ▼ -15.00%
• Median HH income: $50,634
• Composite: 37.01/100
• National rank: #4521
• State rank: #196 of 301 in MN

Livability — Frazee

• Score: 77/100
• State rank: #135
• US rank: #3013

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Frazee, MN
• Population (ZIP): 5,609

Population outlook (Becker County) Hauer SSP2

• Today (2025): 34,604 people
• By 2030: 35,095 · +1.4%
• By 2040: 35,691 · +3.1%
• By 2050: 35,869 · +3.7%
• By 2075: 36,103 · +4.3%
• By 2100: 32,798 · -5.2%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (86%)
• Race & ethnicity: White 86% Two or more races 8% Black 3% Hispanic / Latino 2% Native American 2%
• Common ancestry: Portuguese 14% Lithuanian 4% Romanian 3%
• Foreign-born: 1% · Canada
• Languages at home: 98% English-only · Spanish 1% German/W. Germanic 1%

Political lean MEDSL · Becker

• 2024 margin: Solid R (+33.1) · D 32.7% · R 65.8% · Other 1.5%
• 2008→2024 swing: -26.3pp toward R · 2008: -6.9pp · 2024: -33.1pp
• All cycles: 2024: R+33.1 2020: R+30.1 2016: R+33.2 2012: R+14.6 2008: R+6.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 18.76%
• Current HPI: 270.91
• 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

1 event — show timeline

• 2026-05-22 Listed $139,700 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+5.0%/yr

Latest (2025): $1,114 · -11.7% YoY. Source: county tax records.