Indianapolis investors: Your thoughts please
Good evening fellow BP,
I am looking into purchasing and doing my first out of state BRRRR.
I hear so much about Indianapolis being a great city to invest in multi properties.
I am currently doing my own research on city because I want to make sure that all the data is correct.
However, I wanted to get all your guys perspective.
1. Is Indianapolis still a good city to invest in?
2. Can I still find good deals through MLS?
3. What’s the cash flow like?
Any tips and/or recommendations are more than welcomed.
Most Popular Reply
Hi Daniel,
Yes Indianapolis is still a great place to invest in. I just started investing out there in June 2018 and have already bought 2 properties. The first property I bought in Lawrence for $77,000 with a 20% down payment and it cash flows almost $400 after all expenses are paid each month and the second property cash flows around $494 a month after all expenses are paid.
The second property I bought in speedway Indianapolis for $65,000 with a 20% down payment and put $28,000 into rehabbing it because I wanted to try the BRRRR method out myself. I didn't have the money for the rehab after I paid the 20% down payment and closing cost. So I opened up a line of credit and used that to find the entire rehab. The mortgage is $518 a month and it rents for $1,100 a month. I'm going to refinance the property in June because it's worth around 115K-120K now after the rehab because I turned it from a 3 bed/1.5 bath into a 4 bed/2 bath with and everything is new in the property at this point. I should be able to pull out about $38K-43K when I refinance the property. So to answer your other question about using the BRRRR stratagy. Yes it is possible to use it out there and I found both properties on the MLS and made offers lower then the asking price for both properties and they both excepted the offers without a problem. I live in California and rent a tiny studio because it's so expensive out here, but because of @David Greene podcast on investing out of state. I used the strategies from that podcast a book to invest with success of the state.
I hope this helps Daniel and have a great day.
-Luis Moreno