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12 Linney St

Babbitt, MN · View the listing ↗

Cash flows

Photos, via Realtor.com.

Asking price
$425,000
4 units · $106K per unit
Monthly cash flow
$72
at 20% down, 7%
Estimated rent
$5,000/mo
low confidence · county-wide median
Break-even price
$438,554
where cash flow hits $0

Adjust the numbers See the full breakdown

The numbers

Down payment %
Offer $
Management
Interest rate %
Edit rents, costs and assumptions

Default: 20% down (no PMI), offer at asking, self-managed, 7.00% for 30 years, buyer pays closing costs (3%).

The deal

Price
$425,000
Cash to close
$97,750
Price per unit
$106,250
GRM
7.1

Each month

Cash flow
$72/mo
Cash-on-cash
0.9%
Cap rate
6.6%
DSCR
1.03×

Break-even

Price that breaks even
$438,554
Rent that breaks even
$4,906/mo

Long run

Year 30: property vs stocks
$1.90M vs $744K
Cash flow turns positive
year 1

Monthly

Monthly breakdown

Rent$5,000
Vacancy (6%)−$300
Collected$4,700
Property tax Estimate−$744
Insurance Estimate−$372
Water, sewer, trash Estimate−$340
Lawn care ($120 × 6 mo ÷ 12)−$60
Repairs (9% of rent)−$450
Capital reserve (8% of rent)−$400
Net operating income$2,334
Mortgage (principal + interest)−$2,262
Cash flow$72
Principal paid down (equity, not cash)$288

Cash flow each year

Rents +3%/yr, costs +3.5%/yr. Red bars are months you'd cover out of pocket.

30 years

How those totals add up

Year 30
If you buy this building
Sale priceValue grows 3% a year from the price$1,031,587
Minus 6% selling cost−$61,895
Minus loan still owedTenants' rent paid down all $340,000 of principal by year 30$0
Plus rental profits, invested at 7%$444,637 of profit by year 30, before investment growth$927,124
What you'd walk away with$1,896,815
If you put the same money in stocks
Cash to close ($97,750) invested at 7%$744,098
Monthly shortfalls ($0 total by yr 30) investedThe money you'd have put into the building while it lost money$0
What you'd walk away with$744,098
Building minus stocks$1,152,717

Future dollars. At 3% inflation, divide year-30 figures by about 2.4 for today's buying power. Rental profits are assumed invested, not spent.

30 years: this property vs. the same money in stocks

This propertyStocks at 7%

Year 30 (loan paid off): property $1.90M, stocks $744K. The property wins.

Comparable rentals

The closest rental listings with each unit's bedroom count, as of 2026-10-04. The estimate is the median asking rent of every rental we found nearby (the count is shown for each); houses are left out. Asking rents from Realtor.com rental listings, not signed leases.

2 bed estimate $1,250/mo · range $1,100–$1,675 · 48 rentals in St. Louis County

AddressRentBd / BaSq ftDistanceListedType
410 W 3rd Ave N, Aurora $970 2 / 1 840 19.0 mi — Apartment
206 S 4th Ave E Unit 104, Virginia $995 2 / 1 — 30.8 mi — Apartment
201 N 5th Ave, Virginia $958 2 / 1 — 30.8 mi 2026-02-01 Apartment
110 Anderson Dr # 44, Virginia $1,065 2 / 1 850 31.0 mi — Apartment
707 S 5th Ave Apt 3, Virginia $995 2 / 1 — 31.0 mi 2026-04-08 Apartment
8515 Parkvilla Dr, Mountain Iron $1,295 2 / 1 928 32.8 mi — Apartment
300 15th Ave W, Eveleth $1,047 2 / 1 900 34.4 mi 2025-01-03 Apartment
100 Southview Dr, Hibbing $990 2 / 1 792 49.7 mi — Apartment
600 E 40th St, Hibbing $1,170 2 / 1 860 51.0 mi 2025-04-16 Apartment
3505 9th Ave W, Hibbing $748 2 / 1 627 51.7 mi 2024-11-16 Apartment

On the maps, this property and comparable rentals. Comparable rentals and rent estimate: Realtor.com rental listings. Rents are asking rents from listings; check them against the actual leases.

Red flags and opportunities

Watch for

  • mediumCouldn't match this address to a county parcel record, so taxes and unit count are unverified. Public record: County parcels: no match for 12 LINNEY ST

Opportunities

  • Long time on market: room to negotiate. Based on: Listing data: 205 days on market

Questions for the agent

  • Can we see the current leases and a rent roll, with move-in dates?
  • What did water/sewer/trash, heat and electric cost the owner over the last 12 months?
  • How old are the roof, boiler or furnaces, water heaters and electrical panels?
  • Is the building licensed as a rental for this many units, and when was the last city inspection?
  • Any special assessments pending, and will the seller pay them off at closing?

Standard questions worth asking about any building.

What the records say

Where each number comes from

Property tax / yr Estimateestimate. No tax record found; 2.1% of price.$8,925
Insurance / yr Estimateestimate. from units, square feet and age; get a quote$4,465
Water, sewer, trash / mo Estimateestimate. $85/unit/mo, owner-paid$340
Heat / mo Assumptionassumption. tenants pay heat; confirm with the agent$0
Lawn care / mo Assumptionassumption. $120/mo for 6 months, spread over 12; no snow removal$60
Repairs / capital reserve Rulerule. 8 bedrooms: +1 pt repairs for wear9% / 8%

Status history

  • New at $425,000

From the listing Listing

Listed asfourplex

As the listing states it (NorthstarMLS, via Realtor.com). We don't have county records here yet; check the tax, homestead status and special assessments with the county.

Crime, rental-license and vacant-building records are only available for St. Paul and Minneapolis so far. Check with Babbitt on rental licensing before you buy.