Is Dakota County, MN good for real estate investing?

Dakota County has an investment score of 58/100, rated as "Hold". The county ranks #573 nationally among 1000 counties analyzed.

What is the rent-to-price ratio in Dakota?

The rent-to-price ratio in Dakota County is 5.21% annually, which ranks in the 29th percentile nationally. Higher ratios indicate better cash flow potential.

What is the median home price in Dakota?

The median home price in Dakota County is $383,347. This ranks #777 in affordability among all US counties.

Can you cash flow on rental properties in Dakota?

Based on median values with 20% down at current rates, a typical rental in Dakota County would generate negative cash flow of $928/month. Individual property performance varies based on purchase price, rent, and operating expenses.

Dakota County

MinnesotaPopulation: 439,179

/100

Hold

#573 of 1,000 counties

#73 in Minnesota (87 counties)

Market Snapshot

$383,347

Median Home Price

40% above national median

$1,664/mo

Median Rent

11% above national median

5.21%

Rent-to-Price Ratio

Top 71% nationally

-$928

Est. Monthly Cash Flow

With 20% down at 6.9% rate

Price History

Trend based on YoY growth rate. Source: Zillow ZHVI/ZORI

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$383,347

Down Payment (20%)$76,669

Loan Amount$306,678

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,664

Monthly P&I-$2,010

Est. Expenses (35%)-$583

Net Cash Flow-$928/mo

3.4%

Cap Rate (all cash)

-12.6%

Cash-on-Cash Return

5.21%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 3.4% cap rate. All-cash buyers may see better returns.

* Based on county median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Actual results vary by property.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

58/100

Cash Flow(30%)

48/100

Based on 5.21% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

67/100

Based on 1.7% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Population data not available.

Affordability(20%)

73/100

Price-to-income ratio of 3.8x. Lower ratios indicate more affordable markets.

Scores are calculated using real Zillow home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. Markets with missing rent data use estimated values based on regional averages.

Investment Outlook

Strengths

+Affordable relative to local incomes
+Complete rent data available

Challenges

-Below-average rent-to-price ratio (5.21%)
-Negative cash flow at typical financing (-$928/mo)
-Negative leverage (cap rate 3.4% < mortgage rate 6.9%)

Economic Indicators

Population

439,179

Median Income

$101,360

vs $62,400 national est.

Unemployment Rate

—

Data pending

Price-to-Income

3.8x

Moderately affordable

Compare to Nearby Counties

County					Verdict
FillmoreMN	59	$273,954	Est. pending	—	Hold	View
HubbardMN	59	$306,775	Est. pending	—	Hold	View
CurrentDakotaMN	58	$383,347	$1,664	5.21%	Hold
RamseyMN	58	$326,548	$1,504	5.53%	Hold	View
ScottMN	58	$430,948	$1,790	4.98%	Hold	View
IsantiMN	57	$329,762	$1,377	5.01%	Hold	View

The Bottom Line

HoldDakota is a neutral market. Consider house hacking or targeting below-market deals.

Dakota County in Minnesota scores 58/100, ranking #573 of 1,000 US counties (top 57%). The 5.21% rent-to-price ratio may require creative strategies or below-market purchases for positive cash flow. Current market conditions make traditional buy-and-hold investing challenging. Consider house hacking, value-add strategies, or all-cash purchases.

Monthly Cash Flow

$-928/mo

Cap Rate

3.4%

Cash-on-Cash

-12.6%

Ready to Analyze a Deal in Dakota?

Use our investment calculators to run detailed numbers on specific properties.

Single Family1-4 unit rentals, BRRRR House HackOwner-occupied strategy Multifamily5+ unit properties

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Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$383,347

Down Payment (20%)$76,669

Loan Amount$306,678

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,664

Monthly P&I-$2,010

Est. Expenses (35%)-$583

Net Cash Flow-$928/mo

3.4%

Cap Rate (all cash)

-12.6%

Cash-on-Cash Return

5.21%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 3.4% cap rate. All-cash buyers may see better returns.

* Based on county median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Actual results vary by property.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

58/100

Cash Flow(30%)

48/100

Based on 5.21% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

67/100

Based on 1.7% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Population data not available.

Affordability(20%)

73/100

Price-to-income ratio of 3.8x. Lower ratios indicate more affordable markets.

County

Verdict

FillmoreMN

$273,954

Est. pending

—

Hold

View

HubbardMN

$306,775

Est. pending

—

Hold

View

CurrentDakotaMN

$383,347

$1,664

5.21%

Hold

RamseyMN

$326,548

$1,504

5.53%

Hold

View

ScottMN

$430,948

$1,790

4.98%

Hold

View

IsantiMN

$329,762

$1,377

5.01%

Hold

View

The Bottom Line

HoldDakota is a neutral market. Consider house hacking or targeting below-market deals.

Monthly Cash Flow

$-928/mo

Cap Rate

3.4%

Cash-on-Cash

-12.6%