Duplex for Sale in New Hope Minneapolis Minnesota
Buyer’s Agent: Engle Volkers
Seller’s Agent: Jason Reed
We wanted to celebrate because another one of our duplex listings sold, and this one was in New Hope just northwest of Minneapolis.
One of the things that we’re starting to realize is that while there’s so much opportunity in the Minneapolis and St. Paul duplex markets, there are ample opportunities to invest in duplexes and triplexes in the surrounding suburbs.
One of the things that we find is that as you get further away from Minneapolis, there’s often a lack of understanding about the overall value that a duplex or triplex can have.
If you own a duplex or triplex in a city like Edina, Bloomington, Richfield, New Hope, South St. Paul, or Woodbury, we would love an opportunity to list your property.
We’ve been the number one buyer and seller of duplexes in the Minneapolis Twin Cities region for four years, and we expect that we will get the same recognition for a fifth.
There are two groups of people that are starting to have great interest in buying a duplex or a triplex as an owner-occupied investment:
Millennials and baby boomers.
Millennials are starting to get interested in buying a duplex because they realize that it is a financial tool that can help them free up monthly cash flow and build wealth while living in the cities of Minneapolis and St. Paul.
So many millennials want to be close to Minneapolis because of the amazing restaurants, lifestyle, and breweries. Plenty of people are aware of the economic opportunities as well. The problem is that rents have risen drastically, which is only good for landlords.
So if you want to avoid a terrible commute into Minneapolis every morning and you like the idea of enjoying the Minneapolis lifestyle, then a duplex or triplex might be a way that you can do this for almost free. We don’t want to overpromise and make it sound like there is no cost or risk involved when you purchase a duplex or triplex, but we would also like to remind people that they can easily set up a situation where you have nearly 0 housing expenses.
Baby boomers are also starting to sell their properties in the suburbs and purchase homes to retire in. For baby boomers that don’t want to retire and travel or for those that don’t want to have large living expenses, duplexes can provide flexibility because the mortgage payment and utilities are off and covered by the renter.
If you want to find a situation that can allow you to live for very little, and have an asset that can produce tax-advantaged income in the future, then rental real estate in an owner-occupied duplex might be the perfect solution.
Remember, if you want to move out of your duplex when it’s time to find senior living solutions, you simply find a renter and turn it into a cash machine.
Baby boomers are also looking at duplexes and triplexes as low complexity income-producing investments.
Many people are aware of the current conundrum that bonds are in – as interest rates rise the value of bond mutual funds will go down.
This means that what has traditionally been the safe way to produce income with a nest egg has soured a bit. Because of this, baby boomers are starting to purchase rental properties that can create high yields in a consumer defensive sector.
We talk about it often, but rental housing is one of those investment sectors that does well when there is an economic downturn. When people have less money and aren’t able to save up for down payments on new homes, they tend to rent.
That means that it can be an investment that doesn’t react in the same way that stocks and bonds do. Having an investment with low correlation to the overall stock market is good.
The bottom line is that duplexes can be a great financial tool for people that are trying to live with low housing expenses, and it’s also a great investment opportunity for people trying to produce income in retirement.
Give us an email or contact us through this website if you’re interested in learning more. We would love to grab coffee and find out if we would be the right team to sell your duplex or help you find the right property to purchase.
Also published on Medium.