Can I buy an Indy rental for 100k that rents out for $1,500? Indy real estate questions answered.

First of all, THANK YOU again for making this channel the number one channel for Indiana real estate on YouTube according google analytics and SocialBlade info for BigReia.com.

This is a quick video I made about  a Hero’s experiment…

Can I buy an Indy rental for 100k that rents out for $1,500? Indy real estate questions answered.

 

Here’s a question for today:

I’ve been saving my money and was wanting to invest it in long term rental properties. I live in CA, but the property prices are too high for me to get started.  I would like to start out by buying something around $100k with 20% down. Is that obtainable? Thanks!

Let’s face it, buying in places like CA or the coasts is crazy expensive and even if you put a bunch of money down you would still be losing cash every month.  Remembering that generally appreciation and positive cash rentals have an inverse relationship.

Appreciation and High Positive Cash Flow are Usually Inverse. 

The “hotter” a market the more investors are willing to pay so you’re less likely to get rents that will cover your mortgage payment and expenses. The slower a market the most more likely that the rent will cover your mortgage and then some.

So, Indiana is mainly a flat market, in general it never goes very up or down and because of that this is one of the ONLY markets in the world where you can find “2% Houses” or houses that rent for 2% of the purchase price.

A $40,000 house that rents for $800 a month.

For example, if it is a $40,000 house it rents for $800 a month, then that may be the ideal set up for long term passive income.

So, to answer the question YES you can definitely get a solid rental for $100,000 in the Indy market.

In fact, if you got two “2% Houses” you could get them each for let’s say $40,000 and each could rent for
$800/month that means your monthly cash would be $1,600 and your mortgage payments on $80k mortgage (that’s two 40k) could be $500-600.

So, you could be bringing in three times as much in rent as your mortgage payment.  Trying getting that ROI in CA or anywhere else lol.

Now I want to be sure to address the fact that you talked about being a long-term rental owner.

Indiana is a landlord friendly state which is a big bonus factor to your situation about our unique market.  

Once we factor in tax & vacancy rates, job diversity &  growth, population & income growth (accounting for poverty decline) combined with current legislation and housing prices (and potential ROI’s)…

It quickly becomes clear why Indiana is an investor favorite.

It just works out favorably with the numbers asked about in the question.  All this just happens to be confined within our Hoosier borders.  ;  )

Now let me give you an example of what I’m talking about here…

Here are some real life Indiana real estate deals:

3525 Kinnear Ave
Indianapolis, IN 46218

That is for sale for 17k.

Now this one should rent for around $800/month and with a budget of $22k or so which is doable as it’s not a huge property.   So you would be into for less than 40k and then you’re set up to be right in line with a 2% rental yield.

Now two of these bad boys would set you up pretty closely to that $100K mark for total investments and that would be TWO houses at a 2% monthly rental yield.

Yes 2% houses are real.

Deals like these you aren’t going to find in a lot of other areas for sure.  Also, we’ve just doubled your original estimated monthly ROI.  You would be buying two houses for $80,000 total and your incoming rents would be $1,600.

Pricing: $80,000 
Rents: $1,600

So, to recap:

We went over how it is indeed possible to be a passive OOS investor with the numbers asked about.

We went on to ‘upgrade’ your potential ROI by showing you how our 2% gross monthly rental yields can
work here in Indy.

We gave you an example property so you could see exactly what we were talking about and a real life case study.

If you want to do deals like this email me or give me a call, remember this is my direct line:

317-969-5619 
That’s My Direct Line (that means if I’m in, YES, I’ll actually answer lol)

OR send me an email

Love (at) BigReia.com

And as always,

Make the universe SMILE = )

Want more (brilliantly) EPIC posts of real estate investing and bidness badasssery...?

There is a great post and class on the 38 Ways to Buy Apartment Buildings Zero Down with Pet Policies, and here are some other helpful and EPIC posts... for starters as a real estate investor if you ever want to build a business that makes you 30 grand a month then you MUST do this...

There's also a great class Azam did on how anybody can retire in the next 1-2 years with $30,000 a month in passive income by buying and selling businesses zero down.  What about Micro Flipping?  We have a great class on how to start micro-flipping real estate zero down from your house and make $500/day, speed wholesaling 101.

There’s also another great class on how to buy apartment buildings zero down that you can check out as well.  This relates directly to growing income on rental properties.  Speaking of which make sure to check out our epic page on 14 ways to avoid tenants from hell.  Also we have a great post on how to make build a "six figure a month" real estate wholesaling business.

Also here is a post on how I did this and I flipped a house off Zillow for 30.  Also you can check out the post on five steps to flip a house right off Zillow for 40 grand.  You can also check out our other epic post on 57 ways to make money with vacant land.

Here’s another post on how a Hero flipped a house off Zillow and made 40k in a few weeks while he was learning to read.  Also you want to check our post on the EPIC $25 million letter and the copy writing lessons for real estate investors, you'll love it.  Also you can see how ONE letter is making me $9,000 a month.  Also you can check out the post on 101 FREE places to advertise your houses.

Also check out the "SA" class and your REAL chances of create social mobility and income ascension with your real estate business.  Brilliant stuff.  Also there is a great post on the ONLY way you'll ever make 30 grand a month as a real estate investor and/or business builder.  Another brilliant class with a free downloadable Investor Guide is about 19 Ways to Make $10,000 a Month by Helping Tired Landlords.

Plus make sure you check out Azam's post on how to hire a realtor that makes you $10,000 a month... while you sit back with your shoes kicked up on your desk and fingers folded behind your head.  Also there is a great post on how to make five grand a week from putting out signs.

Also we have some great posts on 30 ways to buy real estate with no money down.  That is a two part series so make sure to watch the second part on the 30 ways to buy real estate zero down and with no loans or credit.  I also get questions about our "Epic Flipping" and how to turn $1 into over $25,000 by flipping ordinary items for exponentially high ROI.

And don’t forget our EPIC page on 100 FREE ways to find motivated sellers, we are making the number one page in the world on FREE ways of finding motivated sellers.  Also check out how I find motivated sellers from code violation properties, and also how I make over $1,500 a week giving investors access to that list.  Speaking of lists, for a list of the "Good People" and My Indy Anna Homeys you can go to our People Page at https://www.BigReia.com/people.

You can also get a LONG list of every contract, piece of paperwork and legal document that you'll EVER need for your real estate business all FREE to download: https://www.BigReia.com/Contracts.

Also perhaps the most important class Azam has done is on the "Frequency of Thought" and how to use the laws of quantum physics to rewire your brain, attract brilliance like a lightning rod and be the best version of yourself.  Check out this epic 3-hour class on Quantum Real Estate.

Go to BigReia.com and you’ll become allergic to being an LC and addicted to improving the world and creating Social Mobility for you and yours… 

Thanks so much!  = )

Make the Universe Smile.

~ Indy Anna
Love (at) BigReia.com
317-969-5619 (YES that's my actual Direct Line and I really do answer lol, so please text me first Thx!)

Free Comic Book Reveals:

100 FREE ways to find motivated sellers.