5347 Portland Ave

White Bear Lake, MN 55110

$329,000D

4 bd · 2.0 ba · 1,710 sqft · Built 1992 · SingleFamily · Active · 62 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,496/mo
• Mortgage (P&I): −$1,725
• Tax + insurance: −$503
• HOA: −$0
• Vac / Maint / Mgmt: −$524
• Net cashflow: $-256/mo
• Annual: $-3,074/yr
• Cap rate: 5.36%
• Cash-on-cash: -3.34%
• DSCR: 0.85
• 1% rule: 0.76%
• Cash to close: $92,120

Investor read

• This is a 4-bed/2.0-bath single-family listed at $329k.
• At list price, monthly cash flow is $-256 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $284k (13.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $250k (24.1% below list).
• It's been on market 62 days — a 6% lower offer ($309k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $250k (24.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 77/100 on livability (#124 in MN, #2,842 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, commute A+, housing A+; Watch: amenities F, health & safety F.
• White Bear Lake School District (suburban): math 45% / reading 57% proficiency, ranked #83 of 301 in MN (top 28%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Matoska International (math 45% / reading 54%, grade D, #423 of 857 statewide, top 55%, 554 students, 24% FRL); Central Middle (math 41% / reading 55%, grade C-, #90 of 258 statewide, top 35%, 1,020 students, 24% FRL); White Bear South Campus Senior (math 37%, 1,111 students, 26% FRL) — zoned schools at 25% FRL track the district average.
• Market conditions: Rents rising (+2.8%/yr); 187 active listings in the ZIP; solid renter incomes; 1,202 units permitted in Ramsey County in 2024 (880 in 5+ unit buildings).
• Ramsey County population projected at +27% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 12 sale attempts since 33y ago; this cycle's ask has dropped $26k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Cap rate 5.4% vs local median 3.6% in White Bear Lake — 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.

Questions for listing agent

• 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?
• It's been on market 62 days. Have you received any prior offers? Is the seller open to a 24% concession, seller financing, or rate buy-down credit?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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?
• 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.
• 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.