Indiana Winter BRRR

[Caleb Liu]

Pardon the pun.

Howdy folks. Buy and hold investor here from Orange County CA looking to BRRR out of state in Indianapolis.

People in sunny CA start to complain when the thermostat hits the high 50s.  Obviously I have some concerns with investing in an area that actually snows.

1)  Would a rehab be advisable in Indy during the fall or winter?  I'm aiming to start with a simple paint and carpet rehab.  Any weather issues I need to be aware of?  (Never seen a frozen pipe in my life.)

2)  Is there a significant drop in the tenant pool during the cooler seasons?  My other concern is that I get a place fixed up, only to have to wait until spring to get it rented out, which leaves the property vacant and a target for vandalism or squatting.

Apologies for any ignorant stereotyping of the Midwest.  Cheers.

[Brandon Battle]

the biggest issues are that the available tenant base drops dramatically around October and doesn't pick up again till the end of the school year.People are no different than animals in that regard.They want to be settled and hunkered down in a property before the school year and/or bad weather starts.Quality tenants with good financial backgrounds don't want to move their families in the middle of an icy,snowy winter for obvious reasons,and good college students have already started school in August.Many of the few available tenants will have questionable backgrounds like recent job loss,previous eviction,bad credit,difficult income verification and don't make 3 times the rent,criminal records,etc.

    The weather can play havoc on your property in cold winter areas.You need to make sure the property has been winterized by having the heating,water heater,pipes,rain gutters,and the like are serviced for winter and fully inspected.Make sure you have a snow removal plan in place like the tenant has to do it or you pay someone to do it on a regular basis.