Indianapolis short-term rental FAQ
Questions investors ask me
Is Indianapolis a good place to buy an Airbnb?
For many investors, yes. Indy pairs big-event demand (conventions, the Indy 500, major sports) with home prices well below most large metros. Results vary a lot by street, layout, and pricing strategy, which is why I underwrite every property individually.
Are short-term rentals legal in Indianapolis?
Indiana state law limits a city’s ability to outright ban short-term rentals, but cities can regulate things like safety, registration, and nuisance issues, and HOAs and condo associations can prohibit them entirely. Rules change, so I verify zoning, HOA covenants, and current city requirements before you write an offer.
Do I need a realtor who specializes in investment properties?
You do not need one, but it helps. An investor-focused agent evaluates income, expenses, and rules before emotion, writes offers with rental-use diligence protections, and knows lenders and title companies that work with LLCs, DSCR loans, and 1031 exchanges.
What is a DSCR loan?
A debt service coverage ratio loan qualifies you based on the property’s rental income instead of your personal income. It is popular with investors buying STRs and MTRs, often in an LLC. I can connect you with lenders who do them regularly.
How much money do I need to buy an investment property in Indianapolis?
It depends on the loan. Investment loans commonly require 15 to 25 percent down, plus closing costs and reserves. For a short-term rental, also budget for furniture, decor, and setup. House hacking with an owner-occupied loan can lower the down payment.
What taxes apply to short-term rentals in Indianapolis?
Stays under 30 days are generally subject to Indiana sales tax and Marion County innkeeper’s tax. Airbnb and VRBO collect and remit much of this for you, but direct bookings are your responsibility. Always confirm with your CPA.
Do you only work with investors?
No. Brentwood Collective helps with all aspects of residential real estate, including first-time homebuyers and sellers across Indianapolis and the surrounding communities. Investing is just where my passion lies, and plenty of my clients buy their first home with an eye on renting it out someday.
Do you help with fix and flips in Indianapolis?
Yes. I help flippers find distressed and off-market homes, run after-repair value (ARV) comps, sanity-check rehab budgets, and then list the finished flip to sell fast. Many of my flips start as a rental analysis, so you always know your backup plan if the resale market shifts.
What is a midterm rental?
A furnished rental leased for roughly 30 days to six months, often to traveling nurses, medical residents, or people relocating. It usually means fewer turnovers than Airbnb and higher rent than a traditional lease.
Can I buy an investment property in an LLC?
Yes. I work with LLC buyers all the time. Title will need your entity documents, and your financing needs to allow it. Talk to your attorney or CPA about how to set it up.
Can Brentwood Property Group manage my property after I buy?
Yes, Brentwood offers full-service management for short-term, midterm, and long-term rentals in Indianapolis. You are never required to use Brentwood to work with me.
I live out of state. Can I still invest in Indianapolis?
Absolutely. Video walkthroughs, digital signing, remote closings, and local management make out-of-state investing straightforward. Many of my clients have never set foot in the property before closing.