101 Things You Need to Know About Minnesota Real Estate Investing


14 Sep 101 Things You Need to Know About Minnesota Real Estate Investing

The Land of Ten Thousand Lakes, the state of Minnesota has a lot to offer for home buyers and real estate investors alike. The real estate investment market is ever changing in Minnesota. If you are looking for the great properties to invest in, Minnesota is the absolutely a hot market.


Minnesota is witnessing a hike in property sales and strengthening real estate market as a whole. The housing value in the Twin Cities increases with overall affordability. By all accounts, the market is secure and stable, and is experiencing healthy growth.

Best Brokerage Firms

Ready to invest in best properties in Minnesota? You’re going to need a reliable, experienced, and investor-friendly broker to be on your team. Here are some of our top picks.

  • Charles Schwab
  • Summit Investment Advisors
  • Corporate Tenant Advisors
  • Investor-Friendly Title Companies

    If you’re running through a lot of deals, you want to make sure your title agent is investor-friendly. Here are some Minnesota title companies to start your search with.

    • Twin City Title Company
    • Minnesota Title
    • Berger Financial Group
    • JCF Capital Markets


      Hard Money Lenders

      Need some cash for your next deal? These Minnesota heard money lenders  bridge loans which are very flexible with the transparent and easy application process, predictable pricing and smooth funding. The money lenders on this list are private hard money lenders for real estate investors in Minnesota and well known for quick funding process.

      Traditional lenders

      A good traditional lender is crucial for any real estate investors in Minnesota who are putting long-term loans on rental properties. While Minnesota has a lot of solid traditional lenders, these are some of our favorites.

      • Source Capital
      • First Minnesota Bank
      • Guaranteedloans4all


        Top Wholesalers

        The state of Minnesota has quite a few wholesalers to choose from. These wholesalers offer best deals to their cash home buyers in St. Paul and Minneapolis. Here are a few to get you started.

        Rehab Supplies

        Need some construction supplies for your next fix and flip in Minnesota? These companies are the leading construction and industrial building material providers offering construction materials, hardware and tools, and safety supplies for general contractors and concrete contractors.


        Minnesota Real Estate Market Status

        Closed sales are 6% lower from last year and pending sales are 4%down. The best part is that both percents of list price and parties improved from the previous year. Minnesota, housing prices will keep on rising, but at a slightly lower rate than national average.

        The average value of a home is $225,210, according to Zillow. Hence, the value has been raised by 8.2% since the last year. According to Zillow, the housing value will rise over 4.9% next year.

        Factors Affecting the Minnesota Real Estate Market

        Zillow predicts foreclosures will influence the real estate market in Minnesota in 2018. The delinquent mortgages are lower than the national average in Minnesota. Around 8% of residents are floating on mortgages and, on average, 1.7 homes are foreclosed in each 10000 home.

        Inventory is supposed to be the largest factor for real estate market in Minnesota. Inventory was 27.5% down from December 2016 to December 2017.  It is definitely the market for the sellers. With fewer new real estate listings, supply is low as demand is high to raise property values.

        Mortgage rates will also play a vital role in the property market in 2018. Rates of mortgage are expected to reach 5% by the year end and it will affect the affordability of a buyer. However, the median sale price may decrease.

        Hottest real estate investment cities in Minnesota

        • Richfield
        • Mounds View
        • Dayton
        • Apple Valley
        • North St. Paul


          Economy (according to BLS)

          • GDP – US$312 billion in 2014
          • Per capita income – $53,043 (2017)
          • Median household income – $60,900 (2013, ranked 11th in the US)


          Top Real Estate Schools to Get Licensed

          • Brightwood Real Estate Education – Brightwood offers continuing education and real estate licensing programs for quality real estate education. Kick start your career and stay ahead with this real estate school.
          • Minnesota Realty School – Minnesota Realty School has the most up-to-date laws, forms and contracts approved by the State Legislature and Minnesota Association of Realtors.


          Famous Historical Homes in Minnesota

          • James J. Hill House: James J. Hill was a well-known Great Northern Railway builder. Explore his home and life here.
          • Glensheen Mansion: Glensheen Mansion is located on the striking Lake Superior and is well covered by beautiful gardens and is a worthwhile historic home located in Minnesota.
          • Plummer House: Built in 1917 by a Mayo Clinic innovator, Dr. Henry S. Plummer, the Plummer House was very advanced.
          • Heritage House, Woodbury: This adorable historical house was built in 1870 and restored by Woodbury Heritage Society and a lot of volunteers over the years.
          • Mayowood Mansion: This beautiful mansion was designed by Mayo Clinic’s Dr. Charles H. Mayo and it is surrounded by old-world charm in its gardens.
          • Hooper-Bowler-Hillstrom House: Built by Sandford Hooper in 1871, this home has 2-story outhouse attached and the rich past of Belle Plaine.


          Fun facts about Minnesota

          • Minnesota is named after Minnesota River. Minnesota refers to “cloudy, sky-tinted water” in Anglicized form of “Minisota”, a Sioux Indian term.
          • Minnesota is well known for its plentiful water bodies and dense forests. It has two metropolitan centers nearby – Saint Paul and Minneapolis. With skyscraper-loaded downtown, Minneapolis is a larger city and Saint Paul is the capital of the state. It has civic architecture and ancient Victorian buildings.
          • Twin Cities are home to one of the highest numbers of Fortune 500 giants, including Best Buy, Target, Land O’Lakes, and General Mills
          • Minnesota is also an origin of various popular musical arts like Prince, Bob Dylan, and The Replacements.
          • The 38th governor of Minnesota was none other than Jesse “The Body” Ventura, a former pro wrestler from 1999 to 2003.
          • The Malls of America in Minnesota is the biggest shopping mall in the US, having a total area of 4.3 miles.
          • Minnesota also has a rich history of literature. It is the birthplace of some of the best writers like Tim O’Brien, Lauralngalls Wilder, Garrison Keillor, F. Scott Fitzgerald etc.
          • The mighty Mississippi River starts in Lake Itasca, a small water body in northern Minnesota which is below 2 sq. miles area wise.
          • Northern Minnesota was the richest source of iron ore in the country in the past. Today, it houses one of the largest open-pit mines in the world, named the  Hull-Rust-Mahoning Mine in Hibbing of Minnesota.
          • Even though Minnesota is famous for its rich heritage from the German and Scandinavian origin, Saint Paul and Minnepolis house the largest Somali and Hmong populations of the nation.


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