Indianapolis Duplex Location Analysis
Indianapolis Folks,
I’m looking at two potential duplexes in two different neighborhoods in Indy. Both were recently rehabbed (one down to the studs). I’ve heard/read a lot of negatives about duplexes in Indy and wondered if these two fell into that boat. I’d love your opinion on the locations and duplexes in general in these areas:
Irvington Duplex is located near the major cross streets of Emerson and Washington (specific cross streets being Julian Ave and Butler Ave).
-Purchase Price: $55k (traditional financing with 20% down, plus $4k cash for closing costs and for some curb appeal/touch up work)
-Combined rents for both sides: $1125
-I’m factoring 50% for expenses (could be higher, waiting to hear how utilities are handled).
-$2754 annual debt service
Looks like:
| Internal Rate of Return (IRR) | 27.34 % |
| Cash on Cash Return | 28.54 % |
| Return on Equity (ROE) | 21.40 % |
| Capitalization Rate | 12.27 % |
Highland Vicinity Duplex is located at Freeway 65 and 25th St (specific cross streets being 25th St and Highland Place).
Stats are almost identical to those above, but will be a cash deal (followed by a cash out refi).
Appreciate any input!