Why should I do a 1031 Exchange in MN?
Let’s find out the top 5 reasons for investing in a 1031 Exchange in Minnesota –
The economy is witnessing steady gains
Minnesota’s growing economy is heading to a low jobless rate than the national average. Better employment opportunities are boosting the housing market and resulting in more real estate investments in the area. Investments in the state’s private sector coupled with the high rate of consumer spending are promoting economic activity in MN.
Employment rates are high
Due to increased consumer demand, job opportunities are at an all-time high. Minnesota is an attractive option for millennial job seekers. As per the U.S. Bureau of Labor Statistics, Minnesota has plenty of opportunities to offer millennials at health care providers and tech firms.
Jobs in a variety of industries
Minnesota’s local economy profits from a wide range of industries, from technology to financial services to retail. In Minneapolis, companies are confident about expansion and look forward to increasing investments in equipment and machinery. Target, 3M, and Cargill are also headquartered in Minneapolis. With the economy growing, employers based in the Twin Cities could hire more.
Best university and schools
Minnesota has an excellent housing market for young families looking to move for the region’s spectacular universities and schools. Minnesota features educational institutions like the Carleton College and the University of Minnesota, resulting in increasing demand for rental housing.
Demand for rental housing
As more job seekers are moving to Minnesota, living and housing costs will most likely impact their decision on where to relocate. Minnesota’s rental housing market, even in metropolitan Minneapolis, is more affordable for people with young families and millennials as compared to other metro areas.
In addition to higher demand for rental homes, growing inventory and stable housing prices make the Minnesota real estate market appealing for investors. Minnesota real estate is more cost-effective than other big cities. Real estate investors considering Minnesota are aiming for better returns. These reasons make Minnesota an attractive destination when you are looking at a replacement property for a profitable 1031 Exchange.
Let’s also get a better understanding of the 1031 Exchange.