Market for multi family and duplex rentals in St. Paul

[Emily Christiansen]

Hey msp,

I was curious if anyone has knowledge they could share about multifamily and/or duplex rentals in St. Paul. I have access to a great house in Highland Park (4 bed, 3 bath) and wanted to know if there was a market for rentals in a largely single family neighborhood. There are nearby apartments and more upcoming higher density, developments, but I wasn't sure if inside a single family neighborhood would still be feasible. If anyone has general experience owning rentals in similar areas of even St. Paul / Minneapolis itself I would really appreciate the insight!

[Mack Benson]

Depending on the specific part of Highland it could be a good area for a rental. Highland, for the most part, is a higher end area in St. Paul, close to many of the colleges but the southern end is a bit rough, I'd say south of Ford Pkwy. One of the nice things about Highland is a lot of the residents are of a higher income range than other areas in St. Paul, such as Dayton's Bluff or West Side Flats. Because the area tends to have a higher than average income you may be able to attract a better quality tenant, and charge more than in other areas. 

Last I checked a lot of the homes in the area tend to sell for more than in some of the other parts of St. Paul which may make it more difficult for someone to put a home up as a rental, this could be good for keeping future competition out of the area and allow you to increase your rent.

One thing to be mindful of though is what is going to happen with the Ford plant site. It's a huge development in that neighborhood and could have an impact on the future of nearby rentals.

A few years back, St. Paul became a majority renter city where more than 50% of the population rents where they live.