Does anyone currently own rental properties near Eagle Creek Reservoir / Park / Airpark (Indianapolis) that could share their experience? Is this area desirable? The 1% rule seems to apply still. Thank you.
It is a solidly middle class area. Mostly build-up since the 1980s, so not much is very old over there. That'll be Pike & Warren township schools (north or south of 38th St) which are not the best but good. At least a few subdivisions of smaller homes I know about limit rentals so check your HOAs. There are also a few troubled subdivisions over that way, too, with lots of foreclosures and lots of renters, so I can't make a blanket endorsement; you've got to evaluate each one. The west side is growing its business base, so that could be desirable for commutes. And, I think the area can pull good rents. It's probably one of the better areas in which to buy more recent construction rentals if you have a reasonable return expectation.
I live in that area. It's a hot market, but it's more primed for flipping. I have the best neighbors ever and they're concerned when people may not be there for the long haul and aren't vested in the community. Opportunity may be limited.
@Eric Schultz if you find a 1% deal right now in the Eagle Creek area, it's probably going to require rehab. I live in the area just on the Brownsburg side of Raceway Rd (county line road) and have a rental a few miles east in Pike Township. Give me a shout if you want to talk more about the area!
@William Wagnon is spot on. Anything built within the last 25 years is likely wrapped up in an HOA, so getting your hands on the CC&Rs should be your top priority. For example, many prohibit building sheds, which is an easy value add.
William Wagnon Thank you for a great perspective of this area! I don't typically invest in neighborhoods with HOAs but am now considering it if the cashflow pencils out. Not much you can do about future special assessments though.
Melissa Bailey-Comstock Based on the home values it does appear to be in a sweet spot for flipping, and there are a few foreclosures in the area posted for auction soon. Thank you for your input!
Anthony Gary Thanks for the tip on requesting the CC&Rs! I will be sure and ask my broker for them. I'm sure most CC&Rs refer to a standard "subject to approval by the Committee "on almost any modification you wish to make on the lot.
I have a place near Eagle Creek. It's on a finger of the reservoir. I recently changed insurance companies and after paying, they came back and said they were going to drop me because the house is on a lake. They gave me two weeks notice. I got more time from them, butI still have to change insurance companies. Keep this in mind when looking for a place.
I also concur with what William said. The HOA my place is in held a secret meeting to which they did not invite me. At this meeting they decided to disallow rentals.I was grandfathered because I already had the rental, but the HOA demanded I give them all sorts of info on my renters that it isn't even legal for me to disclose, for example their SSNs. I had to get my attorney involved.
@Heather Swope Thanks for joining the discussion and your local insight! You bring up great points that I am considering. I use Safeco on my other properties and haven't had an issue so far. I'm looking to stay out of the flood plain as well. As far as the HOA rules, my broker (and closing agent) will be confirming whether rentals are allowed or not.
@Heather Swope will you PM me the name of this neighborhood? I live and invest in this area.
@Eric Schulz Is Safeco the insurance company you use, or is that the name of the insurance broker?I had to move quickly to re-insure this property, but the quote is more expensive. After I complete the deal I'm working on and have more time, I want to explore other insurance companies.
@Eric Schultz Reposting because the @mention didn't work for some reason in my last post.
Is Safeco the insurance company you use, or is that the name of the insurance broker?I had to move quickly to re-insure this property, but the quote is more expensive. After I complete the deal I'm working on and have more time, I want to explore other insurance companies
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing