Already rented Gary Indiana

23 Replies

Looking for anyone that would be interested in homes already rented in Gary (or Northwest Indiana).  Rent between 650 and 800 a month, cost between 25k & 30k. 

I don't doubt that there are many $30,000 homes in Indiana.  My question is why anyone would sell one at ONLY three times the gross rents.  Either.

1.  The $800 rent is NOT collectable

2.  The ongoing expenses are so high that little if any of the rents passes to the landlord.

3.  There are likely huge anticipated future expenses.

Otherwise, why would the market ONLY be willing to pay three times gross rents?  That is my question.

Originally posted by @Bob Bowling:

I don't doubt that there are many $30,000 homes in Indiana.  My question is why anyone would sell one at ONLY three times the gross rents.  Either.

1.  The $800 rent is NOT collectable

2.  The ongoing expenses are so high that little if any of the rents passes to the landlord.

3.  There are likely huge anticipated future expenses.

Otherwise, why would the market ONLY be willing to pay three times gross rents?  That is my question.

 1. AND high turnover AND hard to rent

@Sharad M 

My wife and I are looking to invest in our first rental and the prices in Gary are appealing. I see that you invest in the Lake county area and seem to be doing quite well.  What are your thoughts on rentals in Gary vs Lake Station and other surrounding areas?

Hi @Brandon Moore  

Prices in Gary are definitely appealing, but it's a tough market for a newbie investor. You will need to be VERY hands on landlord and have an exceptional tenant to make it work. I would definitely go with Lake Station over Gary, but be careful buying in Lake Station, because that area is notorious for having some houses with foundation issues.

Let me know if there is anything else I can help with.

This is an older thread but wanted to bring back. 25-30k in many areas of Gary is RETAIL. 

I will say this, Gary is a city of probably just over 100k. Not many people there return their census applications as they don't care so we will say over 100k. This means there are good areas and bad areas. I wouldn't blanket everyone based on the good areas or worse the bad areas. 

The numbers are exciting, but as has been mentioned you better know your stuff, because it can be fun. Luckily for me, I have teamed up with people that have been in the area for decades.

hi mike I know this is an older post but I invest in Gary among other areas. Would be interested to see what you have if still available. Thanks

@Dale Stevens I am starting in looking into investing from out of state in Gary .

Can we talk for some time?

Please let me know what time will work and best # to reach.

Looking for

1. Area idea in Gary

2. PM and GC contacts

Thanks

Sumeet

@Sharad M.

Thanks for insight on Gary Mkt.

Is this still true or you feel conditions are changing now?

I am not sure how active are you in REI since you have taken up other business.

Let me know if we can talk sometime ?

Thanks

Sumeet

Originally posted by @Sumeet Gangwal :

@Sharad M.

Thanks for insight on Gary Mkt.

Is this still true or you feel conditions are changing now?

I am not sure how active are you in REI since you have taken up other business.

Let me know if we can talk sometime ?

Thanks

Sumeet

Hi Sumeet, still very rough market. Though it is getting slightly better from I hear from other investors. I have stayed away from Gary because there is so much crap in that area that it's not worth wasting time when other surrounding cities offer good ROI.

 

@Sharad M. appreciate your input. I will Look more into those areas.

I am not sure how this will impact Gary .. but I do see investment moving to south 

1. Building coming up on Broadway and 7th /8th ave down town with 50 units

2. Hospital coming up in Gary IN

3. Hard rock casino moving from existing port to Gary..

If some one is looking to invest or investing provide more inputs for Gary IN and chicago nearby..

thanks

Sumeet

@Sumeet Gangwal I would not buy in Gary as an out of state investor. If you're buying it from a local "turn-key" company or local investor, you're likely over paying for a property in a POS city. Gary is the type of area you need to know block by block and hood by hood. You need a great management company or be completely hands on. It's appealing because the entry point is low and rents are high relative to purchase price. Properties can experience great cash flow but little appreciation. At this point, it's still speculation the city will appreciate and is a huge gamble. One bad tenant and year of cash flow is gone. Good luck. 

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