Albert Lea, MN—56007
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Albert Lea, MN
As of Oct '25, the median home price in Albert Lea, MN is $175,000, with a year-over-year change of 1.3%. This indicates that home prices in Albert Lea, MN are increasing. According to Zillow, the 1-year price projection is 2.2%, suggesting an increase housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $175,000 | 1.3% |
| Single Family | $176,000 | 1.7% |
| Condos | N/A | N/A |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $69,000 | -4.2% |
2 Bed | $134,000 | 1.5% |
3 Bed | $180,000 | 2.3% |
4 Bed | $249,000 | 3.8% |
| 5 Bed | $291,000 | 3.9% |
% of Housing Stock
Rental Trends — Albert Lea, MN
As of July '25, Rentcast reports the average rent in Albert Lea, MN is $972, with a year-over-year rent change of -6.5%. Per bedroom, the median rent as of July '25 in Albert Lea, MN is studios: $625, 1-bedrooms: $750, 2-bedrooms: $901, 3-bedrooms: $1,270, 4-bedrooms: $1,800. The most common rental property sizes in Albert Lea, MN are 2-bedroom and 1-bedroom, accounting for 48.5% and 27.7% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $850 | $972 |
| Studio Rent | $625 | $625 |
| 1 Bed Rent | $700 | $750 |
| 2 Bed Rent | $850 | $901 |
| 3 Bed Rent | $1,250 | $1,270 |
| 4 Bed Rent | $1,800 | $1,800 |
% of Rental Stock
Property Listings — Albert Lea, MN
As of Oct '25, Realtor.com reports that the median days on market for a home in Albert Lea, MN is 61. This is a increase of 3.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 16.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $232,000 | 5.0% |
Listing Count | 101 | 24.0% |
| Listings as % of Homes | 0.5% | 24.0% |
Days on Market | 61 | 3.0% |
Demographics — Albert Lea, MN
As of the latest ACS Survey released in 2023, Albert Lea, MN has a population of 21,500, which has increased by 1.4% over the past 5 years. Albert Lea, MN is a moderately popular place for families, as children make up 22.0% of the population. The area has a poorly educated workforce, with 18.1% of adult residents holding a bachelor’s degree or higher. There are few residents working remotely, with 8.0% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 21,500 | 1.4% |
% Under 18 | 22.0% | 1.4% |
% Seniors | 24.3% | 6.1% |
% WFH | 8.0% | 247.8% |
% w/ College Degree | 18.1% | 6.5% |
As of the latest ACS Survey released in 2023, Albert Lea, MN is a predominantly white area, with 78.7% of the population identifying as white. The white population has shrunk by 4.1% in the last 5 years. The second most common race or ethnicity in Albert Lea, MN is hispanic, making up 13.5% of the population. Foreign-born residents account for 4.3% of the population in Albert Lea, MN, and this percentage has decreased by 34.8% as of the ACS Survey 5 years prior, suggesting fewer immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 78.7% | -4.1% |
% Black | 1.7% | -5.6% |
% Hispanic | 13.5% | 8.0% |
% Asian | 3.5% | 52.2% |
% Foreign Born | 4.3% | -34.8% |
Mortgage and Risk — Albert Lea, MN
According to HUD data as of 2023, there were 318 mortgage originations in Albert Lea, MN, of which 74.0% of loans were conventional mortgages. The average loan-to-value was 68.0%, with 32.0% above 90% LTV (very high). This implies large mortgage risk in Albert Lea, MN. Investor activity is low, as 4.0% of loans were by investors. 11.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 318 |
% Conventional Loans | 74.0% |
% Government Loans | 26.0% |
% Investor Loans | 4.0% |
% Second Loans | 1.0% |
% Cash Out Refinance | 11.0% |
Loan Activity
Rentals and Section 8 — Albert Lea, MN
Albert Lea, MN lacks sufficient Section 8 program data for analysis.
Section 8 Market Size
Total Units under HUD | 620 |
Total Units Section 8 | 422 |
% Rentals under Section 8 | N/A |
% Occupied Section 8 | 83.9% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $10 | $700 | $710 |
| 2 Bedroom | $80 | $850 | $930 |
| 3 Bedroom | -$50 | $1,250 | $1,200 |
| 4 Bedroom | -$450 | $1,800 | $1,350 |
Affordability — Albert Lea, MN
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 2.4 |
| Median Home Price | $175,000 |
| Median Household Income | $66,500 |