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📊 Minnesota · Housing Market 2026

Minneapolis Housing Market Data 2026

Median prices, cap rates, rent benchmarks, and investment outlook for Minneapolis, Minnesota — data sourced from Zillow, HUD FMR, and Census ACS.
🟡 Moderate Market Median Price:$335,000 Cap Rate:5.1% Vacancy:6.8% 12-Mo Outlook:→ Neutral
$335,000
Median Home Price
YoY: +1.5%
5.1%
Avg Cap Rate
Cash-on-cash: 5.1%
$1,600
Median Rent (2BR/mo)
YoY: +1.1%
6.8%
Vacancy Rate
Moderate
29 days
Days on Market
Fast-moving
$335,000 / 5.1%
Price / Cap Rate
🟡 Moderate Market

📈 Market Analysis — Minneapolis, MN

**2026 Minneapolis Real Estate Market Analysis**

The Minneapolis residential market in 2026 presents a

🔮 12-Month Predictive Outlook View All Markets →

Price Trend
→ Neutral
12-mo forecast: $340,352
Confidence: 92%
Rent Growth
→ Stable
12-mo forecast: $1,621/mo
Confidence: 90%
Emerging Score
50/100
Confidence: 92%
Price Momentum +1.5% YoY (national: +2.3%)
Days on Market 29 days (national avg: 38)
Predictions are rule-based forecasts based on price momentum, rent data, vacancy trends, and population growth. Not investment advice. See full rankings →

🏘️ Rent Breakdown — HUD Fair Market Rents

HUD Fair Market Rent represents the 40th percentile of gross rents paid by recent movers in Minneapolis. Used as a benchmark for Section 8 voucher limits and rental market analysis.

Bedroom Count Monthly Rent (HUD FMR) Annual Rental Income Est. Cap Rate at Median Price
1 Bedroom $1,300/mo $15,600/yr 3.3% est.
2 Bedrooms $1,600/mo $19,200/yr 4.0% est.
3 Bedrooms $2,000/mo $24,000/yr 5.0% est.
* Estimated cap rate uses the 70% rule (30% reserved for expenses). Actual cap rates vary by property and management style.

💰 Cost of Investing in Minneapolis

Cost ItemRate / AmountEst. Annual CostMonthly Cost
Property Tax 1.0% effective rate $3,417 $285/mo
Homeowners Insurance Minnesota avg premium $1,600 $133/mo
Total Tax + Insurance Based on median home price of $335,000 $418/mo

These figures reflect state-level averages. Property tax rates vary by county; insurance costs vary by property type, age, and claims history. Source: Tax Foundation (2025), NAIC (2024).

⚖️ How Minneapolis Compares to National Averages

Avg Cap Rate
5.1%
National avg: 5.5%
Below average
Median Home Price
$335,000
National avg: $371,696
✓ More affordable
Vacancy Rate
6.8%
National avg: 7.6%
✓ Low vacancy
2BR Median Rent
$1,600/mo
National avg: $1,753/mo
Days on Market
29 days
National avg: 38 days
Price Growth YoY
+1.5%
National avg: +2.3%

National averages calculated across all 69 tracked US investor markets. A cap rate above the national average suggests stronger cash flow potential relative to purchase price.

🗺️ Nearby Markets in Minnesota

No other markets in this state.

View all Minnesota markets →
Related Guides & Resources
BRRRR Strategy Guide Vacancy Rate Calculator Rental Yield Calculator Market Rankings Best Market Data Tools All Markets
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