Forest Lake, MN—55025
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Forest Lake, MN
As of Oct '25, the median home price in Forest Lake, MN is $424,000, with a year-over-year change of 1.5%. This indicates that home prices in Forest Lake, MN are increasing. According to Zillow, the 1-year price projection is -0.5%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $424,000 | 1.5% |
| Single Family | $426,000 | 1.4% |
| Condos | $294,000 | 1.0% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $345,000 | 5.2% |
2 Bed | $330,000 | 1.2% |
3 Bed | $404,000 | 2.0% |
4 Bed | $479,000 | 1.3% |
| 5 Bed | $520,000 | 0.6% |
% of Housing Stock
Rental Trends — Forest Lake, MN
As of July '25, Rentcast reports the average rent in Forest Lake, MN is $1,860, with a year-over-year rent change of -4.1%. Per bedroom, the median rent as of July '25 in Forest Lake, MN is studios: $1,240, 1-bedrooms: $1,250, 2-bedrooms: $2,090, 3-bedrooms: $2,060, 4-bedrooms: $2,720. The most common rental property sizes in Forest Lake, MN are 2-bedroom and 1-bedroom, accounting for 38.7% and 28.0% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,550 | $1,860 |
| Studio Rent | $1,040 | $1,240 |
| 1 Bed Rent | $1,160 | $1,250 |
| 2 Bed Rent | $1,710 | $2,090 |
| 3 Bed Rent | $2,000 | $2,060 |
| 4 Bed Rent | $2,400 | $2,720 |
% of Rental Stock
Property Listings — Forest Lake, MN
As of Oct '25, Realtor.com reports that the median days on market for a home in Forest Lake, MN is 48. This is a increase of 1.0% from last year, suggesting that homes are sitting on the market about the same amount of time than last year. The percentage of listed homes with a reduced price is 27.0%, representing a large inventory and a lot of supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $470,000 | 1.0% |
Listing Count | 112 | -4.0% |
| Listings as % of Homes | 0.5% | -4.0% |
Days on Market | 48 | 1.0% |
Demographics — Forest Lake, MN
As of the latest ACS Survey released in 2023, Forest Lake, MN has a population of 25,800, which has increased by 4.4% over the past 5 years. Forest Lake, MN is a moderately popular place for families, as children make up 23.2% of the population. The area has a moderately educated workforce, with 35.8% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 16.5% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 25,800 | 4.4% |
% Under 18 | 23.2% | -1.3% |
% Seniors | 16.6% | 17.7% |
% WFH | 16.5% | 161.9% |
% w/ College Degree | 35.8% | 24.3% |
As of the latest ACS Survey released in 2023, Forest Lake, MN is a predominantly white area, with 83.9% of the population identifying as white. The white population has shrunk by 6.9% in the last 5 years. The second most common race or ethnicity in Forest Lake, MN is asian, making up 5.4% of the population. Foreign-born residents account for 5.1% of the population in Forest Lake, MN, and this percentage has increased by 70.0% as of the ACS Survey 5 years prior, suggesting more immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 83.9% | -6.9% |
% Black | 2.9% | 163.6% |
% Hispanic | 3.7% | -7.5% |
% Asian | 5.4% | 217.6% |
% Foreign Born | 5.1% | 70.0% |
Mortgage and Risk — Forest Lake, MN
According to HUD data as of 2023, there were 476 mortgage originations in Forest Lake, MN, of which 88.0% of loans were conventional mortgages. The average loan-to-value was 55.0%, with 20.0% above 90% LTV (very high). This implies large mortgage risk in Forest Lake, MN. Investor activity is low, as 3.0% of loans were by investors. 8.0% of loans were cash-out refinances, suggesting few homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 476 |
% Conventional Loans | 88.0% |
% Government Loans | 12.0% |
% Investor Loans | 3.0% |
% Second Loans | 1.0% |
% Cash Out Refinance | 8.0% |
Loan Activity
Rentals and Section 8 — Forest Lake, MN
As of 2024, the percent of homes in Forest Lake, MN under the Section 8 program is 6.9%. This is considered low, suggesting that the neighborhood is sparsely composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. 1-bedroom and 3-bedroom and 4-bedroom units appear to be good home sizes to consider for Section 8 housing in Forest Lake, MN, because HUD payments exceed market rent, while 2-bedroom units do not.
Section 8 Market Size
Total Units under HUD | 222 |
Total Units Section 8 | 182 |
% Rentals under Section 8 | 6.9% |
% Occupied Section 8 | 85.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $190 | $1,160 | $1,350 |
| 2 Bedroom | -$60 | $1,710 | $1,650 |
| 3 Bedroom | $200 | $2,000 | $2,200 |
| 4 Bedroom | $60 | $2,400 | $2,460 |
Affordability — Forest Lake, MN
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 4.2 |
| Median Home Price | $424,000 |
| Median Household Income | $96,000 |