Six-Bedroom Duplex with Front
For Sale
$179,900
424 W Birch Avenue, Fergus Falls, MN 56537
Residential Income, Fergus Falls, MN
Property Size1,352 SF
Lot Size0.19 Acres
Price / SF$133.06
Days on Market263
Property Features for 424 W Birch Avenue
General Information
Property type
Residential Multi Family
Property subtype
Duplex
Zoning description
Residential-Multi-Family
Bedrooms
6
Bathrooms
2
Full bathrooms
2
Rooms
Bedroom 2, Bedroom 5, Bathroom 1, Laundry Room, Bedroom 1, Bedroom 4, Bedroom 3, Bathroom 2, Bedroom 6, Basement
Parking features
Driveway
Patio and Porch features
Porch
Subdivision
Cutlers 4th Add
High school district
Fergus Falls
Directions
Head N on Union Ave toward Lincoln Ave and then turn W onto Birch Ave.
Standard status
Active
APN
71003990563000
Size
1,352 SF
Lot size
0.19 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
2526
Utilities
Heating system
Forced Air
Amenities
3 season front porch
lower level laundry
in-unit laundry hookups
Building Details
Year built
1919
Building materials
Frame
Roof type
Shingle
Listing Agency:
Keller Williams Realty Professionals
(218) 454-4300
Listed By:
Ryan Hanson · License #1104
(218) 205-7351
Added: Jan 15
Changed: Sep 30
Last Checked: Oct 5 at 11:06AM
MLS# 7008977
Copyright © 2026 Northstar MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This frame duplex at 424 W Birch Avenue in Fergus Falls contains two three-bedroom residences. The main-floor unit has a three-season front porch and laundry in the lower level; the upper unit includes hookups for in-unit laundry. Vinyl siding and architectural shingles are among the property’s exterior features. The 1,352-square-foot building was constructed in 1919 on a 0.19-acre lot. Forced-air heating and driveway parking are also present.
Key Highlights
- Two units, each with 3 bedrooms
- 1,352 square feet on a 0.19‑acre lot
- Main‑floor residence has a 3‑season front porch and lower‑level laundry
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$11,328
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
6.30%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$226,560
$226.6K
Cap Rate 7%
$161,829
$161.8K
Cap Rate 9%
$125,867
$125.9K
Market Conditions
NOI Build-Up for 1,352 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$17.0K $12.60/SF
− Vacancy
−$852 −$0.63/SF
EGI
$16.2K $11.97/SF
− OpEx
−$4.9K −$3.59/SF
NOI
$11.3K $8.38/SF
Area
Otter Tail County, MN
Vacancy
5.00%
Lease Rate
$12.60 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$226,560
Cap Rate 7%
$161,829
Cap Rate 9%
$125,867
Alternative Uses
Best Use
Multifamily LT 5
$161.8K
$141.6K – $188.8K
NOI $11,328 @ 7.0% cap · market cap 6.30%
Second Best
Apartment 5plus
$149.7K
$131.0K – $174.7K
NOI $10,482 @ 7.0% cap · market cap 5.83%
Theoretical Best
Office A
$293.7K
$257.0K – $342.7K
NOI $20,559 @ 7.0% cap · market cap 11.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
666
Businesses Nearby
Explore this area
Business Placement
Demographics for 56537, MN
19,230
Population
9,498
Households
2
Avg Household Size
44
Median Age
30%
College-Educated
96%
High-School Grad
283.4 sq mi
ZIP Area
68
Density / Sq Mi
$62,279
Median Household Income
$40,272
Median Earnings
$840
Median Rent
$223,000
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in Midwest region
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Frequently Asked Questions
What type of property is this?
Duplex - Each residence offers three bedrooms, with laundry facilities serving both units.
Where is this duplex located?
The property is located at 424 W Birch Avenue Fergus Falls, MN.
What is the asking price?
The asking price for this property is $179,900.
What are key features of this property?
This property features: Two units, each with 3 bedrooms; 1,352 square feet on a 0.19‑acre lot; Main‑floor residence has a 3‑season front porch and lower‑level laundry
