Twin Cities Rental Market Update: What the Spring 2026 Numbers Mean for Duplex Owners and Investors

The latest HousingLink rental briefs are out for Minneapolis, St. Paul, and Hennepin County, and if you own or are thinking about buying a small multifamily property in the Twin Cities, there’s a lot to unpack.

First, across all three markets, one- and two-bedroom rents are flat or declining year over year, while three-bedroom rents are quietly climbing.

In Minneapolis, one-bedroom median rent held essentially flat at $1,100, two-bedrooms dipped 2% to $1,500, and rent for three-bedroom units rose 3% to $1,938.

In St. Paul, the softening is more pronounced. Rent for one-bedroom units dropped 5% to $1,055, while two bedroom units fell 4% to $1,390. However, three-bedroom units actually saw a 4% increase to $1,918.

The balance of Hennepin County followed the same pattern. One and two bedroom units were each down 1%, while three-bedrooms rose 1% to $1,951.

Using the standard 2.5x income screening requirement, here’s what tenants monthly income needs to be to qualify to rent one of these units:

That means a renter needing a two-bedroom in Minneapolis must earn $45,000 a year just to pass basic screening. That’s important context when you’re thinking about the depth of the tenant pool.

According to the Housinglink reports, of all vacancies in Minneapolis and St Paul, 16% of them were found in the “other” category; up 1% year-over-year. Other is the umbrella term  Housinglink uses for condos, townhouses and duplexes. In Hennepin County, it’s also 14%, down slightly from 15% last year.

Overall vacancy rates are running around 5% in Minneapolis, 4% in St. Paul, and 3% in Hennepin County.

A rising share of small multifamily vacancies means more options for renters who prefer the privacy and space of a duplex over a large apartment building. But it does suggest that owners in this segment should be paying attention to pricing, condition and tenant experience, especially in Minneapolis.

One more data point worth flagging for investors: new multifamily construction permits are down sharply. Minneapolis permitted just 246 units (5+ unit buildings) in the Q2 2025–Q1 2026 period, a 58% drop year over year. St. Paul permitted 132 units, down 60%.

Less new supply is generally good for existing property values and rent stability.

If you’re thinking about buying or selling a duplex, triplex, or fourplex in the Twin Cities, let’s talk. I track this market every month so you don’t have to.