Minneapolis, MN 55406 Real Estate Market Report

ZIP Code: 55406
Report Date: March 2026
Market Temperature: HOT
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

The Minneapolis, MN (ZIP: 55406) market is currently characterized by a median sold price of $340,000, reflecting a steady appreciation trend. The neighborhood has increased up since the previous year, indicating a robust market environment. With a median days on market of 217, properties are experiencing slower sales velocity, suggesting that while demand exists, buyers may be taking more time to make decisions amidst elevated inventory levels.

Overall, the market is exhibiting signs of strength, with median listing prices at $314,900, which indicates a notable gap between asking prices and sold prices. This could suggest pricing friction as sellers adjust expectations to align with buyer sentiment. The current market temperature is classified as hot, driven by strong rental demand, which is projected to increase further due to anticipated construction slowdowns.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

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Property Taxes

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Liquidity & Velocity

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Market Trends & Context

Understanding Market Temperature

A Hot market indicates strong buyer demand with limited inventory, typically characterized by rising prices, quick sales (low days on market), and inventory levels below historical averages.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the Minneapolis market average around 6.11% to 6.38%, which is notably lower than the 6.65% average seen one year ago in March 2025.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. $340,000 is the median sold price, indicating strong market performance and appreciation.

2. $314,900 represents the median listing price, suggesting potential pricing friction as sellers adjust to market realities.

3. Properties are taking 217 days on market, indicating a slower sales velocity and potential buyer hesitation.

4. The market temperature is hot, reflecting strong demand despite elevated inventory levels.

5. $1,920 is the median market rent, which is up year-over-year, indicating a robust rental market.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.