3605 S 3rd Ave · Minneapolis, MN 55409

$419,900

5 bd · 3.0 ba · 2,491 sqft · MultiFamily public records · 17 Days on market

Built 1910 5,227 sqft lot Est $401k · at est.

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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 +23.0/30.0
• DSCR +7.4/10.0
• 1% rule +5.9/10.0
• ARV discount +5.4/15.0
• Rent growth +4.4/5.0
• Livability +3.9/5.0
• Schools +3.5/10.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (2-4 Unit). Listing-text estimate: 3 units. confirmed

Listing remarks MLS

Great Central Neighborhood Triplex in S. Minneapolis. Updated Mechanicals, newer vinyl thermopane windows, realistic asking price. Don't wait, this is priced to sell.

Key facts

• Updated mechanicals
• Near transit
• Bike friendly area

Tags

• UPDATED MECHANICALS
• NEWER VINYL THERMOPANE WINDOWS
• THREE INCOME PRODUCING UNITS
• HIGHLY WALKABLE AREA
• BIKE FRIENDLY AREA
• NEAR TRANSIT

Property features AI

Finance

• Other: Lot approximately 0.12 acres (40 x 130)
• Financial info: Property has 3 total units; Gross income reported: $50,700; Net operating income reported: $39,832; Insurance expense reported: $1,636

Exterior

• Parking: Concrete parking
• Utilities: City water (connected); City sewer (in street); Electric and natural gas fuel sources
• Home design: Residential income property (Triplex); Two levels; Main level finished area of 1,066; Above-grade finished area of 2,570; Below-grade area of 1,034; Total building area 3,604
• Construction: Foundation area 1,034
• Exterior features: Vinyl exterior

Interior

• Bedrooms: Total of 7 bedrooms (across units)
• Bathrooms: Full bathrooms: Each unit has 1 full bathroom
• Heating & cooling: Forced air heating; Space heater(s)
• Interior features: Unfinished basement; Owner-occupied
• Laundry & utility: Laundry located in basement

What this means for you Summary

Snapshot

• This is a 3 × 2-bed/1.0-bath units multifamily listed at $420k.

Deal economics

• At list price, monthly cash flow is $748 ($9k/yr) — positive. Per door: $249/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($5k rent vs $420k).
• Recommended offer: $414k (1.5% below list) — sets the bar for market timing.
• Cap rate 8.4% vs local median 3.1% in Minneapolis — 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 78/100 on livability (#110 in MN, #2,525 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, housing A+; Watch: cost of living C-, crime F.
• Minneapolis Public School District (urban): math 35% / reading 46% proficiency, ranked #217 of 301 in MN (top 72%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: Rents rising fast (+7.6%/yr); 54 active listings in the ZIP; 13 comparable units currently listed for rent nearby; rentals at typical pace (median 25d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 4,651 units permitted in Hennepin County in 2024 (2,443 in 5+ unit buildings).
• At $4,581/mo this rent would consume 56% of the median local household income ($98k/yr) (locally 344% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $13k of value loss. Plan a longer hold.
• Hennepin County population projected at +30% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 7.6% rent growth), your $118k cash investment doubles in ~9 years — after that, you're playing with house money.

Negotiation context

• It's been on market 17 days — a 2% lower offer ($414k) is reasonable based on typical stale-listing flexibility.
• 11 sale attempts since 32y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $166k; list at $420k implies a 152% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $413,601 (1.5% below list)

Questions for the listing agent

1. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
2. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
3. Built in 1910 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 1.09% ✓
• Cap rate: 8.43%
• Cash-on-cash: 7.64%
• DSCR: 1.34
• GRM: 7.6

CMA / ARV

• ARV (on-the-fly): $401,051
• Comps found: 1

Show comp detail 1 sale within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
3329 Park Ave	0.50mi	6/2.0 (+1)	2,488 (-0%)	16mo	$400,000	$161	55

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 · 7.56% rent growth · sell at horizon

5-year hold

• IRR: 0.3%
• Equity multiple: 1.01×
• Total profit: $1,636
• Equity at exit: $62,608

10-year hold

• IRR: 14.2%
• Equity multiple: 2.38×
• Total profit: $162,110
• Equity at exit: $36,305

Cash invested: $117,572 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (CITY): 34 Tenant-Leaning
• State Minnesota: 46 Balanced · D+2
• County: — inherits STATE
• City Minneapolis: 34 Tenant-Leaning · D+50

Tenant Opportunity to Purchase; renter's protections.

Methodology + full state rankings →

ZIP-level market 55409

• Rents YoY: 7.6%
• Active inventory: 54
• Price-to-rent: 22.9×

Monthly cashflow live

• Estimated rent: $4,581 high
• Mortgage (P&I): −$2,202
• Tax from tax record: −$494 /mo · $5,928/yr
• Insurance: −$175
• HOA: −$0
• Vacancy / Maint / Mgmt: −$962
• Net cashflow: $748

Break-even live

Break-even rent $3,634

Max offer price $419,900

Occupancy floor 79%

3-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 3× units	2	1	$4,581
Total (3 units)			$4,581

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: $104,975
• Closing costs: $12,597
• Reserves months: —
• Total cash needed: —

Rent comps 13 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
3729 2nd Ave S Minneapolis, MN	5.0	2.0	1700	$2,100	$1.24	15d	1	0.22mi
3322 Clinton Ave #2 Minneapolis, MN	4.0	1.0	1700	$1,995	$1.17	24d	1	0.31mi
512 W 31st St Minneapolis, MN	4.0	1.5	2200	$2,875	$1.31	18d	1	0.93mi
3200 Aldrich Ave S Minneapolis, MN	4.0	2.0	1800	$2,750	$1.53	44d	1	0.98mi
3553 DuPont Ave S Minneapolis, MN	4.0	2.0	1900	$2,795	$1.47	44d	1	1.03mi
220 E 27th St #1 Minneapolis, MN	4.0	1.0	2516	$3,100	$1.23	18d	1	1.10mi
911 W 31st St Minneapolis, MN	6.0	3.0	2200	$3,850	$1.75	44d	1	1.10mi
911 W 31st St Unit 1 Minneapolis, MN	6.0	3.0	2200	$3,895	$1.77	44d	1	1.10mi
739 E 27th St Unit 739 Minneapolis, MN	4.0	1.0	1699	$2,600	$1.53	24d	1	1.16mi
2709 Aldrich Ave S Unit 2 Minneapolis, MN	4.0	1.0	1850	$2,289	$1.24	17d	1	1.35mi
2709 Aldrich Ave S Unit 2 Minneapolis, MN	4.0	1.0	1850	$2,289	$1.24	4d	1	1.35mi
2808 Colfax Ave S Unit 1250755P Minneapolis, MN	5.0	3.5	2088	$6,923	$3.32	3d	1	1.36mi
2540 12th Ave S Apt 2 Minneapolis, MN	5.0	2.0	1700	$2,450	$1.44	44d	1	1.42mi

Listing history 12 events

1. 2026-06-18
   days on market $419,900 Active 17 DOM
2. 2026-06-17
   days on market $419,900 Active 16 DOM
3. 2026-06-16
   days on market $419,900 Active 15 DOM
4. 2026-06-15
   days on market $419,900 Active 14 DOM
5. 2026-06-13
   days on market $419,900 Active 12 DOM
6. 2026-06-09
   days on market $419,900 Active 8 DOM
7. 2026-06-08
   days on market $419,900 Active 7 DOM
8. 2026-06-07
   days on market $419,900 Active 6 DOM
9. 2026-06-04
   days on market $419,900 Active 3 DOM
10. 2026-06-03
    days on market $419,900 Active 2 DOM
11. 2026-06-02
    remarks 699-char remark
12. 2026-06-02
    listed $419,900 Active 1 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: $5,928 · $494/mo
• Projected year-2 tax: $5,928 · $494/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 3/10 Moderate FEMA zone X (unshaded) · 20% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥99°F today · 14 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: $54,972
• − Mortgage interest: −$23,521
• − Property taxes: −$5,928
• − Insurance: −$2,100
• − Repairs & maintenance: −$4,398
• − Management: −$4,398
• − Depreciation: −$12,215
• Taxable income: $2,413
• Est. tax owed @ 24.0%: −$579
• After-tax cash flow: $8,398/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: Minneapolis Public School District
• NCES district ID: 2721240
• Math proficiency: 35% ▼ -7.00%
• Reading proficiency: 46% ▼ -1.00%
• Median HH income: $50,521
• Composite: 34.92/100
• National rank: #5067
• State rank: #217 of 301 in MN

Livability — Minneapolis

• Score: 78/100
• State rank: #110
• US rank: #2525

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Minneapolis, MN
• County: Hennepin County · 1,150,272 people
• City population: 417,555
• Metro: Minneapolis-St. Paul-Bloomington, MN-WI
• Population (ZIP): 11,188
• Household income: $98,305
• Rent vs Own: 34.5% rent · 65.5% own
• Severe rent burden: 344.0

Population outlook (Hennepin County) Hauer SSP2

• Today (2025): 1,405,227 people
• By 2030: 1,492,650 · +6.2%
• By 2040: 1,660,157 · +18.1%
• By 2050: 1,823,498 · +29.8%
• By 2075: 2,221,283 · +58.1%
• By 2100: 2,509,976 · +78.6%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (73%)
• Race & ethnicity: White 73% Two or more races 10% Black 8% Hispanic / Latino 8% Asian 3%
• Hispanic origin (detail): Mexican 6%
• Common ancestry: Portuguese 11% Romanian 6% Italian 4%
• Foreign-born: 8% · Canada, Philippines, China
• Languages at home: 86% English-only · Spanish 7% Other Asian/Pacific 1% French/Haitian/Cajun 1%

Political lean MEDSL · Hennepin

• 2024 margin: Solid D (+42.6) · D 70.2% · R 27.5% · Other 2.3%
• 2008→2024 swing: +14.0pp toward D · 2008: 28.6pp · 2024: 42.6pp
• All cycles: 2024: D+42.6 2020: D+43.2 2016: D+35.3 2012: D+27.1 2008: D+28.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -174.62%
• Current HPI: 273.7275
• Rent YoY: ▲ 7.56%
• Metro: Minneapolis-St. Paul-Bloomington, MN-WI
• 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

+983.6% since first listed

30 events — show timeline

• 2026-06-01 Listed $419,900 NORTHSTARMLS as Distributed by MLS Grid
• 2014-02-11 Sold (Public Records) $166,500 Public Records
• 2014-01-31 Sold (MLS) $166,500 NORTHSTARMLS as Distributed by MLS Grid
• 2013-11-30 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2013-11-19 Relisted — NORTHSTARMLS as Distributed by MLS Grid
• 2013-11-12 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2013-11-11 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2013-10-24 Price Changed $169,900 NORTHSTARMLS as Distributed by MLS Grid
• 2013-10-10 Price Changed $195,000 NORTHSTARMLS as Distributed by MLS Grid
• 2013-09-07 Listed $199,000 NORTHSTARMLS as Distributed by MLS Grid
• 2009-09-10 Sold (MLS) $25,000 NORTHSTARMLS as Distributed by MLS Grid
• 2009-07-01 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2009-05-13 Listed $20,900 NORTHSTARMLS as Distributed by MLS Grid
• 2009-02-25 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2008-12-22 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2008-12-22 Listed $38,820 NORTHSTARMLS as Distributed by MLS Grid
• 2008-12-19 Listed $58,500 NORTHSTARMLS as Distributed by MLS Grid
• 2006-05-07 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2005-11-07 Listed $330,000 NORTHSTARMLS as Distributed by MLS Grid
• 1999-12-28 Sold (MLS) $48,900 NORTHSTARMLS as Distributed by MLS Grid
• 1999-10-25 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1999-10-11 Listed $48,900 NORTHSTARMLS as Distributed by MLS Grid
• 1998-09-30 Sold (Public Records) $80,000 Public Records
• 1998-04-19 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1998-03-19 Listed $69,900 NORTHSTARMLS as Distributed by MLS Grid
• 1997-07-22 Sold (MLS) $80,000 NORTHSTARMLS as Distributed by MLS Grid
• 1997-06-10 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1997-05-09 Listed $49,900 NORTHSTARMLS as Distributed by MLS Grid
• 1994-06-06 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1994-04-10 Listed $38,750 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+5.6%/yr

Latest (2025): $5,928 · +14.0% YoY. Source: county tax records.