3826 E Michigan St, Indianapolis, IN, 46201
Photos for this property are hosted on the MLS listing.
See Photos on Zillow →Condition Notes
This one is a genuine fixer, and the photos back that up — an overgrown yard, mismatched exterior siding patches, a sagging rear porch, worn original flooring with some water staining, and exposed wiring/disconnected conduit visible in one unit's living area. That last item is the one I'd flag hardest: get a licensed electrician to look at it before you close, since it could be more than a simple fix depending on what's behind it. Nothing I saw points to foundation or roof failure — this reads as a real, moderate scope of work, not a gut job.
Strategy Comparison
Holding this one as-is with the current $700/mo tenant is thin and doesn't address the electrical item — I wouldn't recommend that path. The BRRRR route recycles most of your capital and leaves a modest, real cash flow once both units are rented at market (comparable 3BR units in the area rent $925–$1,100, well above the current $700).
BRRRR — post-refi (self-managed)
Cash purchase + rehab, then a conventional cash-out refi at 75% LTV of the post-rehab ARV — this is the path I'd recommend, self-managing to maximize cash flow on the capital left in the deal.
BRRRR — post-refi (managed)
Same post-refi structure as the self-managed scenario, but with a third-party property manager in place — still cash-flow positive, just thinner once the management fee comes out.
Hold as-is (no rehab)
This is a comparison baseline only — buying and holding with the current $700/mo tenants in place, no rehab, no refinance. It doesn't address the electrical item and runs slightly negative, so I'm not recommending this path.
Cash flow and/or cash-on-cash return here are estimated from standard assumptions, not yet underwritten to a hard number for this strategy.
Comps
Sale Comps
Confirmed duplex sold data is thin here — I'm using $210,000 as a conservative post-rehab estimate, below the wider $220,000–$280,000 signal from these comps.
Rent Comps
Real upside (~30-40%) over the current $700/mo once the rehab is done.
The Numbers
Want to Talk Through This Deal?
Happy to walk through the numbers, the strategy, or anything else about this property.
This analysis is provided for informational purposes only and does not constitute financial, legal, or investment advice. All figures are estimates based on available data and independent research at the time of preparation; they are not guaranteed and should be independently verified before making any purchase decision. Consult your own financial, legal, and tax advisors before acting on this information.