All Forum Posts by: Max Richter

Jacob,

I am sorry to hear you are in your current predicament. As you stated, there is a flood of other folks in the same situation if not worse as you.

Selling and taking the loss may be the most viable option so you are not throwing any more money at the issue, and you may be able to write the loss off.

With that being said, since there are so many other properties similar to this, we are seeing the market (both traditional listings and wholesale listings) being overrun by Morris/OP properties. This may decrease the value since there are so many options to choose from. 

Indianapolis is truly a great market to invest it, but making the right partnerships is crucial! I think everyone has given great advice, but you are the only one that really knows your specific situation. I hope you the best in your investing future! Nothing worth it is ever easy. 

Best, 

Max 

Chad, welcome to the investing world here in Indianapolis! One bit of advice I would give you from experience is to vet your contractors and landlords. As a PM and investor specific agent, I have had several clients come to us with properties in disarray due to poor contracting work and mismanagement by PM's. Although you are the investor and the PM is supposed to handle the daily duties, it is vital to keep your finger on the pulse of your assets. Obviously these items are more related to the buy/hold, buy/flip strategies.

Again, welcome to the investor side of things! It truly is different than the traditional market. Focus on numbers and not emotions!

Mike Abramov - Focus in areas that you are familiar with, with companies and professionals you have interviewed, spending money that you are comfortable spend. All too often investors study the numbers too deep and not the geographical location, companies and individuals they are giving their money, and not having enough money to make the investment move. 

1. Investing in an area that you have never been can be risky in itself. If you study items such as the schools, job market, improving/declining areas, etc. you will improve your chance of success. This goes beyond the numbers. It is studying the market you are getting into to know where prices, jobs, and the city's future is going. 

2. PLEASE interview the agents, contractors and property managers you are utilizing. There are too many cons out there taking advantage of investors that do not do their due diligence. Taking part of forums like this is a good start, but interviewing them on the phone and doing simple google searches will tell you a lot. Maybe even social media?

3. Make sure you are not over spending. Investors often spend all of their money in the purchase and do not leave funds for things such as property taxes, utilities, unforeseen repairs, etc. Has someone given you a reno estimate? Always count on it costing more money and taking longer. 

Brandon,

The neighborhoods seeing solid growth and rent increase in the central areas of Indianapolis I have found focus on the east side near Irvington and Little Flower. Although these are family friendly areas, the prices are increasing as the inventory continues to decrease.

Depending on your strategy, I would recommend focusing on townships and school districts around Indianapolis. Areas such as Lawrence, Pike, and Warren all offer solid schools where you can appeal not only to individuals, couples, and roommates, but also to families of all sizes.

Hope this helps and let me know if you need any further assistance.