Did any of you try investing in apartments in Indy? If so, how was your experience? I have been hearing that in Indy SFR can be good but duplex, triplex don't work out as they end up high vacancies. I wonder how MFR (>5 units) work?
Are there particular cities / neighborhoods where commercial MFR work? Does it have to be certain size / class A/B to work?
Also, I am interested in connecting with other MFR investors, CRE brokers, property managers in Indy. Any recommendations?
Thank you all.
@P Joshi I don't think the size of the city is a big factor. Besides, Indianapolis is the 12th largest city in the country. It's not small. It's the neighborhoods that matter. You're right for the most part. Duplexes and 4Plexes are tricky in Indy because a high percentage of them are in rough areas. There's plenty of good, middle income areas where you can do fine.
By size I don't mean size of the city. I meant size of apartment (no. of units). I agree with you about Duplexes, 4plexes not often working. I was curious if apartments with 5-10 or 10+ units do well in certain neighborhoods ??
Yes, stay away from small [under 5 units] multi units here in Indy - as a whole [IMHO].
Larger units in the right neighborhoods can be very strong. They are getting harder to find, however. I've been looking myself all year and can't seem to find anything that is priced decent - most are under a 8% CAP Rate or are dumps.
Thanks for sharing your experience. So, given what you know now, how do you compare SFR vs MFRs (>5 units) as investments? Pros / cons? Are we just better off sticking to SFRs?