Woodbury
Investment Analysis

Woodbury, MN
Investor Report

Comprehensive real estate investment analysis with cap rates, rental yields, and risk assessment.

Share:
46
Investment Score
Hold
Cap Rate (Est.)
1.8%
Gross Yield
2.9%
P/R Ratio
24.8x
YoY Growth
+0.5%
Median Home Price
$490,000
Average Rent (1BR)
$1,201/mo
Median Income
$120,588
Population
79,530

Investment Breakdown

26
Value Score
55
Growth Score
72
Safety Score
46
Afford Score

Woodbury has a price-to-rent ratio of 24.8x, which indicates renting and buying are roughly equal.

The estimated cap rate of 1.8% is below average, typical of appreciation-focused markets.

Year-over-year price growth of +0.5% indicates stable market conditions.

Rental Cash Flow Analysis

Monthly Income

Gross Rent $1,201
Annual Gross $14,412

Est. Monthly Expenses

Property Tax (~1.5%) -$613
Insurance (~0.5%) -$204
Maintenance (~1%) -$408
Est. Net Cash Flow -$24/mo

Price Forecast 2026โ€“2028

๐Ÿ”ฎ Woodbury Price Forecast 2026โ€“2028

Based on 5-year Zillow ZHVI trend analysis ยท Statistical projection
๐Ÿ“ˆ Upward Trend
PROJECTEDNOW$448K2027$462Kโ–ฒ 3.3%2028$471Kโ–ฒ 5.2%20232024Now
$495K$413K
Current
$490K
2026
Projected
$462K
โ†‘ 3.3% by 2027
Projected
$471K
โ†‘ 5.2% by 2028
5yr CAGR:+3.4%
Confidence:Moderate
Rยฒ:0.55
โ–ผ

When we look at the Woodbury housing market forecast for 2026-2028, the data paints a picture of a market that is stabilizing after years of strong gains. The current median home price of $447,724 and a modest YoY price change of just 0.3% indicate a significant cooling from the rapid appreciation seen in previous years. This slowdown is partly due to persistently high interest rates which have impacted buyer purchasing power. However, with Days on Market at 58, properties are still moving, suggesting underlying demand remains healthy. A key question for potential buyers is will Woodbury home prices drop significantly? Given the area's strong Risk Grade: A and steady local economy driven by healthcare and corporate sectors, a major price correction seems unlikely. Instead, we anticipate a period of flat to low single-digit growth as the market finds a new equilibrium.

The affordability challenges are stark when examining the Price-to-Rent Ratio of 27.6x, which is well above the national average of 18x. This metric strongly supports the current "RENT" verdict, as buying remains substantially more expensive than renting in the short term. For investors and residents tracking Woodbury real estate Woodbury 2027, the local factors of new development and school district quality will continue to provide a floor for values. The 5-year CAGR of 3.6% offers a more realistic long-term appreciation expectation than the recent boom years. While the market temperature of 58/100 is considered balanced, it leans slightly favorably for patient buyers who can negotiate. Ultimately, Woodbury's market outlook is one of stability rather than explosive growth. The combination of high inventory costs and steady rental demand suggests a flattening curve, making it a less speculative but secure environment for long-term homeownership.

Projected Cap Rate (2027)
1.9%
5yr CAGR
+3.4%

Job Market

Unemployment 2.8%
National avg: 3.7%
Job Growth (YoY) +1.5%

Healthcare

86
Score
Excellent

Risk Factors

Low Risk Profile

Market Activity

Source: Redfin ยท 2026-01-31
Sale-to-List 98.3%
Months Supply 2.5
Price Drops 41%
Gone in 2 Wks 26%

Market Position

Affordability Average
Safety Very Safe

ROI Projector Estimate your total return

Adjust the sliders to model different investment scenarios for Woodbury.

Total ROI
-142%
on $98,000 invested
Annual ROI
NaN%
compounded
Total Return
-$138,839
appreciation + cashflow
Mo. Cash Flow
-$2,640
year 1 estimate
Equity Growth Over 5 Years
Y1105kY2112kY3119kY4126kY5134k
Appreciation
$13,123
Cash Flow
-$151,963
Final Equity
$134,095

* Estimates based on 0.5% annual appreciation, 3% rent growth, 5% vacancy. Does not include closing costs, tax benefits, or capital gains tax. For illustrative purposes only.

Rental Investment Calculator Estimate your monthly cashflow

Rental Income Estimator

Pre-filled for Woodbury

Property

Purchase Price$490,000
Monthly Rent$1,201
Down Payment20%

Financing

Interest Rate6.5%

Expenses

Property Tax1.2%
Insurance (Annual)$1,500
Maintenance Reserve1%
Vacancy Rate5%
Property Management0%
HOA (Monthly)$0
-$2,360
Monthly Cash Flow
-$28,321/ year
-28.9%
Cash-on-Cash
0.3%
Cap Rate

Monthly Breakdown

+ Rental Income$1,201
โˆ’ Mortgage (P&I)$2,478
โˆ’ Property Tax$490
โˆ’ Insurance$125
โˆ’ Maintenance$408
โˆ’ Vacancy Loss$60
= Net Cash Flow-$2,360

Investment Summary

Down Payment
$98,000
Loan Amount
$392,000
Total Monthly Expenses
$3,561
Gross Yield
2.9%

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Investment decisions should be made after consulting with qualified professionals. Data sources include Zillow, Census Bureau, and BLS. Cap rates and yields are estimates based on available data.

Last updated: March 2026