Newbie from Lombard, IL looking to invest in Indianapolis, IN
Hello everyone! My name is Peter. I'm an IT professional from Lombard, IL, and I'm looking to get my feet wet in buy-and-hold real estate investing.
My eyes were opened to the profit potential in real estate after graduating from Ball State University (Muncie, IN). My college friend from Indianapolis purchased a$60K home in the Speedway area, and within a few short years, he was able to pay off his mortgage, generate cash flow via renting rooms, and his home appreciated in value.
As a young college grad I was eager to replicate and expand on my friends results. Since I had very little money, the only thing I could afford in West Chicagoland were condos and townhomes. I was on the verge of buying a $90K condo, but I pulled myself off the ledge at the last minute. Not only was it overvalued, but I quickly realized the potential headache condos could present as an investment.
Upon reevaluation, I figured why not invest in Indy - it has more of what I'm looking for, plus friendlier prices, friendlier taxes, and having been there many times, I believe it has strong long term upside as a city. My new strategy is to acquire a buy-and-hold SFH to rent out in Indy with these purchase filters:
- $50 -150K range
- Young professional neighborhood
- Turnkey or only requires minor/cosmetic repairs
- Meets the 100:1 rule
- Built after ~1980 (to minimize repair costs and appreciate into the future)
I have $50K to available for this endeavor. My basic strategy is to start with one SFH and purchase more as I accumulate cash and experience. My goal is to generate enough monthly cash flow so if I were to lose my day job, I would have enough to cover COL expenses.
I am here to connect with people, share my experiences, and get feedback from the community. Thanks for reading my intro, I look forward to chatting!