Zillow for "1% Rule" Market Search in Twin Cities MN

[Sevy Bialke]

Obviously this is a very rough-and-dirty method with a lot of assumptions (zillow's accuracy, only looking at median prices, number of units per smf, etc.) but I'm curious on people's thoughts on the validity of it. My intent is to at least narrow down where to look for a farm area, or more appropriately if where I'm looking to house hack will be a reasonable place to setup shop for my near future as a buy and hold investor in the St. Paul suburbs area of MN.

I used https://www.zillow.com/research/data/ to download some data for the past 18 months on home sale prices and rent amount by month. The Sales Prices are any residential properties 4 unites or less. The rents are broken out between single families and small multi's. I did the calculation separately to see if there was a distinct separation there as well. Despite some feverish googling, I wasn't able to find average number of units for smf homes so I assumed all were duplexes in order to stay conservative and only multiple the median rent by 2. Threw in a few quick formulas to show me the rent to purchase price ratio 2/(Purchase Price / Rent).

I'm keen on BRRRR so I plan to add value and buy under market so I would expect my own PP to be lower, boosting these ratios up, but I'd rather be conservative to start. Thoughts on relying to heavily on this to determine a market to dive further into with greater detail?