All Forum Posts by: Joel Clausen

@Gil Keren ...I work with primarily out of state investors (California).  As said previously in the thread, they all have a criteria.  They all have a "ballpark" idea for rehabs.  Its my job to get out to the property and do facetime or MarcoPolo videos for them to determine if it will stay within their budget.  One of the things I caution is, I know rehab from what I can see, and often there is things that come up (behind the walls, during inspection, etc), so make sure you budget for that.  An amount that you would prefer not to use, but would be ok using if need be.  Once you do one, you get a lot better idea of cost and timelines.  

  But, you are right...the good ones come up and then pend quick.  Indy is still very affordable.  Having your finances ready to pull the trigger at a moments notice is half the game.  

@Blake Morgan This has been a long time coming. Amazon had been scouting this area even prior to "maybe" picking Indianapolis as their 2nd headquarters. The south side is an AMAZING are right now and if you can get into the Center Grove or Franklin Township school district, that is even better. There are not as many duplexes or multiplex units, but lots of SFH that rent well. It is also a much lower crime are than Indy. It is hard to find a gem right now because there are hedge funds buying up everything in the area, but you can still find them, especially right now when you are not competing against the summer time buyers. During the summer season, Center Grove and Franklin Township homes go FAST.

@Jaron Walling  .... those little two bedroom homes up there near you (north of you) are starting to come up on the market now.  They are only two bedrooms but continue to pump out renters left and right.  Smaller homes, smaller prices, but still rent well... might be a good starter for someone like you!

Yeah, the guy with the Bripple homes would probably be better off selling them as a single family home once the renters leave, instead of trying to sell them as rentals to investors.  

I am finding that most of my local investors are "looking to sell" some of their properties that they have had for a while, but only because they believe the price will never be higher.   I have a guy looking to sell a few of his Broad Ripple properties that he bought over 10 years ago that are still cash flowing and have great renters, but he would sell them if someone really wanted to give him what the homes are actually worth....problem is, they don't really hit the 1% rule and are not "deals" like most investors want.  This particular investor bought at a great time and has paid for the homes 5x over, and if someone really wants them, they are for sale.  So I think, what many have said, that the properties that are currently out there for sale are at the very top of the price point and they don't really make sense, number wise, for other investors to buy them.  There are still some very good deals out there, some solid cash flowing properties....they just are not hitting that 100 months mark...more like 120. 

@Brandon L.  THANK YOU!  I get contacted all the time asking me if I am "investor friendly".  I try and let folks know that every one of my clients I do have that "fiduciary duty" to them all and pretty much every person I come across I try and be friendly to them.  

With that being said, I think it's important for the folks I work with to ask those questions you have written about, but you also want an agent who is investing in real estate themselves. I try and have at least one flip going at a time and I am always looking for my next rental opportunity. So, I personally know what each investor is going to be looking for. Some are at a higher level than me or are looking for different angles, but in the end....we are all trying to find "the best deal with the best ROI". I find deals all the time that I would love to do myself, but financially I just cant swing them and I get excited to pass those opportunities onto my other investors who will happily take the projects on, and in turn, I get a happy investor....win/win.

My advise....find an agent that is doing what you want to do.  They speak your language.

@Brad Semenoff   Funny you should ask.  My office is actually located on the south side.  I am getting ready to put my house on the market in a few weeks to move to Franklin Township.  

@Brad Semenoff I have an investor who just bought a SFH near that area (farther north a bit), a 4 bedroom and it was a desirable area for him in all his research. Up that way you have plenty of food/business/hospitals/golf etc.

Those homes you are talking about almost hit what you want return wise, but I would want to get that number closer to 100k purchase price

Thanks, @Jenna Harris….  We have taken the first steps to building your empire.  Let's get a couple more!

@Travis Raila….. I will change your tire too, if you need lol.  But I would prefer to just find you homes.  I am better at that, but I do live in Indianapolis, home of the Indianapolis 500, so I guess I might make a good pit crew member too

@Marcello Oliveri  You really want to stay south of Fall Creek there.  That is a literal line drawn from a B/A area to a C-/D area.  The rent is pretty close to what you should expect there, but you can certainly find something for less money that is bringing the same kind of return.  

That area is changing, for the better but there are still people living there that have no intention of "improving" their home and they are eye sores for the neighbors that are trying to make it better.  You still have some not great people living around there.  I wouldnt live there,( I live on the south side of Fall Creek) but the people renting there...they know what they are getting living there.

If you need any help in the Indy Market, let me know!  I would love to help.  

I am originally from Illinois myself, but Indy has been my home for a better part of the last decade.  I can point you in the right direction here in the Hoosier state