Minneapolis, MN 55407 Real Estate Market Report

ZIP Code: 55407
Report Date: March 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

In Minneapolis, MN (ZIP: 55407), the median sold price stands at $323,450, reflecting a market that has experienced a slight decline in prices year-over-year. This trend suggests a potential shift in buyer sentiment and market dynamics, as the neighborhood has decreased 8% since 2022. The current market conditions indicate a slower sales velocity, with properties remaining on the market for a median of 234 days, which may suggest elevated inventory levels relative to sales activity.

As inventory rises, buyers are gaining leverage, with many transactions occurring below the median listing price of $280,000. This gap between listing and sold prices may indicate pricing friction, as sellers adjust expectations in response to the current market environment. The overall market temperature remains neutral, indicating a balanced state where neither buyers nor sellers hold a distinct advantage, although elevated interest rate pressure at 6.38% may further influence buyer behavior and market liquidity.

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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

Note: A Sale-to-List Ratio near 100% can occur when properties sell at or near their final listing price after price adjustments during the listing period, even when initial listing prices differ significantly from sale prices.

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the Minneapolis market average 6.38% compared to 6.09% (average of 6.22% and 5.98% from recent weeks) when many loans originated in early 2026.

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. The median sold price of $323,450 indicates a market that has decreased in value by 8% since 2022.

2. Properties are taking a median of 234 days on market, suggesting slower sales velocity and potential buyer hesitance.

3. The median listing price of $280,000 reflects pricing friction as sellers adjust to market realities.

4. With elevated inventory levels, buyers may find increased negotiating power in this market.

5. The rental market remains steady with a median market rent of $1,916, indicating moderate rent increases despite the cooling sales environment.

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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.