Minneapolis’s current Zillow ZHVI typical home value is $336,624, while ZORI typical observed market rent is $1,686 a month; the implied gross yield is 6.0% before every operating cost, financing and vacancy. ZHVI is 4.16x ACS median household income, and annualized ZORI equals 25.0% of that income, giving a citywide affordability screen rather than a household budget. ZHVI rose 0.9% year over year while ZORI rose 3.6%; neither change establishes a property’s future performance.
City housing is majority renter-occupied, with renters in 52.3% of occupied units, while 7.8% of all housing units are vacant. These citywide stock measures do not show whether a particular rental will lease quickly. The ACS median owner-reported home value is $362,200 and median gross rent is $1,371, including selected utilities. Those surveyed occupied-housing measures differ in concept and period from Zillow’s typical value and observed market rent and must not be combined.
Direct city evidence shows a mixed structure profile: single-family homes are 43.8% of units and large multifamily buildings 33.6%. Among applicable renter households, 48.1% meet the ACS rent-burden threshold, while 45.1% of vacant units are classified as for rent. These survey shares do not establish lease-up speed or available investment inventory. The population is 427,246, up 1.6% between overlapping ACS vintages; the change is not annualized, and boundary changes may affect comparability. Median household income is $80,846, the poverty rate is 16.0%, and unemployment is 5.9%. These citywide facts describe demand constraints and labor conditions, not tenant quality, rent collection or causation at an address.
In Hennepin County, the property-tax rate is 1.14%, and Realtor listings had 37 median days on market; both are county context, not Minneapolis or property-level results. In the broader Minneapolis metro, payroll jobs increased 0.22% year over year and months of supply was 2, providing labor and sale-inventory context, neither specific to the city. Nationally, Freddie Mac’s 30-year mortgage rate was 6.58%, a financing benchmark rather than a local borrowing quote or an investor’s actual cost.
The main underwriting gap is the distance between citywide typicals and a specific asset’s achievable rent, condition and expenses. Verify unit-level leases and concessions; inspect structure, systems and deferred maintenance; obtain insurance and hazard terms; confirm assessed value, taxes and special assessments; and price management, utilities, repairs, turnover and vacancy. Test debt service with an actual lender quote and compare the resulting net cash flow—not gross yield—with realistic capital reserves and exit costs.