Hi BP Community!
I am new to the site and I'm absolutely loving it so far. Amazing education, connections, people, etc. I live in Carmel, IN (outside of Indianapolis), with my wife and two kids. I've been a full time Realtor since 2009, and I've owned rental property since 2011. I am looking to ramp up the investing side of my business, and that's how I ended up here.
I currently own 6 units and I'm under contract for 2 more. I have done 1 flip (2017) and I'm in the middle of my 2nd. I am also getting in to new construction - I have two lots that I'll be building spec ranch homes on. Plans are filed with the city on one, so I hope to break ground within a few months.
After getting inspired by the podcasts, I have set a goal of 100 units in the next 5 years. I plan on funding the units through the flips and new builds (also will be growing those businesses). I'm here to not only learn, but to help wherever possible, and network with awesome like-minded individuals.
@Peter Stewart hello and welcome to BiggerPockets!
You are definitely on the right track and your plan and end goal is attainable and not unrealistic.
We are here to help you in any way we can, Peter. That is what makes BiggerPockets so amazing.
Congratulations and I wish you the best of luck in your real estate investing career!
Love your enthusiasm and motivation . As a word to the wise be carful taking on to much dept this late in the cycle most every successful realtor I know did what you did in Cali in 2006 and 2007 they all got wiped out in 2008 and 2009. Things are setting up just like before this time the dept is even larger. The bubble in Coastal California is bigger now and it is even the biggest in Califorina history. No joke. just use caution.
Welcome @Peter Stewart to the site. I used to live at 116th and Keystone... loved living in Carmel.
Thanks @Jill DeWit ! I appreciate your response & support!
Totally agree @Luke Myers to be careful right now. I'm making sure every property I buy cash flows and has a good pad built in so I can ride out any upcoming storms. Luckily Indiana is a bit more stable than areas like CA - I was a Realtor there for 6 years before moving back to IN, so I saw firsthand how crazy that market was.
Nice to meet you @Naveed Q. ! Carmel is an awesome city. I see you're in Brentwood now. Pretty nice place too :). I lived in West LA for 12 years.
Welcome! I'm very interested to hear how your new construction ventures go. That's an area I'd love to into in the future.
Welcome to BP @Peter Stewart ! Carmel is a beautiful area and you’re lucky to be there. Sounds like you’ve got a lot going on. Looking forward to getting to know you better moving forward!
@Peter Stewart welcome to the community, it's amazing you accomplished so much in such a short period of time, great job! Happy to connect here in BP! I was originally planning to invest in Indianapolis as my old employer Salesforce have their tower in downtown, however the multi family homes in the areas that I was looking at zip 46203, 05 were on the older side and I was concerned on the high maintenance cost. How is the market for Carmel, IN?
@Jill DeWit I'm an investor in bay area, california and considering the arizona market, for MFH, would love to connect with you!
Thank you both! :)
Thanks @Fernando Enrile !
46203 and 46205 are really popular areas for 2-3 unit properties. Many of the investors I work with buy rentals in those zipcodes. 46201 as well. The entire near northside and near eastside are hotspots for investors right now. Most of the properties are older, but, that is very common in Indy. Nearly all the new(er) construction is SFR's. Housing is so cheap and land so plentiful that they don't need to build multifamily properties - it's either condo/apt buildings or SFR's.
The older homes do require a bit more love than the newer ones, but you can hit 1.5-2% on rents pretty easily in those areas so you can budget a little extra for maintenance and cap ex. For example, I sold a duplex to a CA investor 2 weeks ago for $50k that was bringing in $475 and $525 (exactly 2%). Both sides rented, and one side was cleaned up (other needed some work, but was habitable). This is on the low end of price (usually more like $65-75k), but you get the idea.
The market in Carmel is on fire - it's an extremely desirable area, with high demand and very low inventory. Not a great place to buy rentals in my opinion. Or flips. Not only are there very few multi units, but you're paying a price premium to live in the area but the rents aren't proportionate. For example, a $400k home may only rent for ~$2200. And, because it's an affluent area, there are very few distressed properties.
I did get lucky with a 4 unit I purchased in Carmel in 2016 - I was in the right place at the right time, so that one cash flows well. But, I haven't seen anything come close to that property in the last 2 years.
@Peter Stewart thank you for the info, much appreciate it. I sent you a private message, cheers!
@Marcello Oliveri Overall, that's a great zipcode. But, there are some not-so-nice pockets within it. Ranges from B+ to C-.
I need the address or at least the closest intersection to give you more specific advice. It's too broad of an area to answer your questions accurately without knowing where the property is.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you