In Indianapolis, a duplex is usually called a double. Thousands of them line the streets of the near east side, Fountain Square, Bates-Hendricks and the near west side, many built in the early 1900s as side-by-side homes for working families. They remain one of the most common ways Indy investors start in small multifamily.
In short: LendingStreet finances Indianapolis 2-4 unit rentals with DSCR loans that qualify on the combined rent of all units, with no W-2s or tax returns and LLC borrowers standard. Loans start at $150,000 with no stated maximum, purchases go up to 80% LTV, cash-out goes up to 75% LTV, the standard minimum DSCR is 1.0x and the minimum credit score is 620.
Older doubles are concentrated in the neighborhoods that ring downtown: the Near Eastside, Woodruff Place's edges, Fountain Square, Fletcher Place, Bates-Hendricks, Garfield Park, Haughville and the Near Westside. To the north, Mapleton-Fall Creek, Herron-Morton Place and Butler-Tarkington have doubles, converted homes and some small apartment buildings.
Fourplexes and small brick buildings from the mid-1900s show up in Broad Ripple, Meridian-Kessler's edges and parts of Lawrence and Warren townships.
Tenants vary by area, and so does turnover. Doubles near downtown draw young professionals, hospital and IUPUI-area workers and service employees, while Broad Ripple fourplexes lean toward Butler students, recent graduates and people working on the north side. Farther out, east and west side doubles house families on 12-month leases, often with long tenure.
| Type | Where | What to check |
|---|---|---|
| Early 1900s side-by-side double | Near Eastside, Fountain Square, Bates-Hendricks | Separate utilities, foundation, lead paint disclosure |
| Converted home, 2-3 units | Herron-Morton, Mapleton-Fall Creek | Legal unit count, permits |
| Mid-century brick fourplex | Broad Ripple, Lawrence, Warren | Roof, boiler or furnaces, parking |
| Renovated double | Fletcher Place, Fountain Square | Higher price relative to rent |
Indianapolis uses dwelling districts that set how many units are allowed on a lot. Two-family homes are permitted in some districts and not others, and many older doubles exist as legally established uses in districts that would not allow them today. Before buying, confirm with the city's Department of Business and Neighborhood Services that the unit count is legal. A conversion done without permits may not be counted by the appraiser, which lowers value and the rent used in the ratio.
The ratio uses the combined rent of all units. Signed leases are used where they exist, and the appraiser's market rent estimate fills in vacant units on most programs. Rents vary sharply by neighborhood: a renovated double in Fountain Square rents for much more than an unrenovated one a mile east, and buyers pay for that difference up front.
Indiana law generally preempts local rent control, so rents follow the market. Leases near Butler University often run on the academic calendar. Many Indy doubles are separately metered for electric and gas, but water and sewer are often shared and paid by the owner.
This example is illustrative and not a quote. The first property is a renovated side-by-side double in Bates-Hendricks bought for $300,000, with each side renting for $1,200, $2,400 combined. At 75% LTV the loan is $225,000, estimated principal and interest about $1,566, taxes $475 and insurance $170, for a payment of about $2,211 and DSCR about 1.09x.
The second is a mid-century brick fourplex near Broad Ripple bought for $480,000, with four units at $1,075, $4,300 combined. At 75% LTV the loan is $360,000, estimated principal and interest about $2,505, taxes $760 and insurance $300, for a payment of about $3,565 and DSCR about 1.21x.
The renovated double clears 1.0x with a modest margin because buyers pay for the finishes. The fourplex has more room but older systems and more units to manage.
| Item | Bates-Hendricks double | Broad Ripple fourplex |
|---|---|---|
| Purchase price | $300,000 | $480,000 |
| Loan at 75% LTV | $225,000 | $360,000 |
| Estimated principal and interest | $1,566 | $2,505 |
| Taxes and insurance | $645 | $1,060 |
| Total monthly payment | $2,211 | $3,565 |
| Combined rent | $2,400 | $4,300 |
| DSCR | About 1.09x | About 1.21x |
Indiana caps taxes on residential rental property at 2% of gross assessed value, double the 1% cap on a homestead. A double bought from an owner who lived in one side may have been partly taxed at the lower homestead rate, so your bill can be higher. Budget at or near the 2% cap, and use the current assessed value from the Marion County Assessor.
Most Indianapolis doubles were built before 1978, so federal lead-based paint disclosure rules apply when you lease them, and renovation work on those buildings must follow lead-safe practices. Insurers and appraisers look at roofs, foundations, knob-and-tube wiring and old sewer laterals. Get a sewer scope and an insurance quote before you finalize the offer, and check the flood map for buildings near Pleasant Run, Pogue's Run and Fall Creek.
Indianapolis operates a rental registry for residential rentals in Marion County. Register each building, keep the registration current and resolve open code violations before a refinance. Underwriters and appraisers may ask about them, and an open violation can delay closing.
Many older doubles have been through several owners and partial renovations. Ask the seller for permit history, check the city's records for open permits and violations, and budget for bringing any unpermitted work up to code. A clean record makes both the purchase and a later refinance smoother.
Many Indy investors buy a tired double with a short-term loan, renovate both sides, often adding central air and updated kitchens that tenants here expect, and refinance into a 30-year DSCR loan once new leases are signed. Rate-and-term goes up to 80% LTV on some programs and cash-out up to 75% LTV, with seasoning that varies by program.
Buildings with five to eight units are still residential for our programs, though maximum LTV can be lower and varies by program; see our Indianapolis 5-8 unit page. Nine or more units is commercial.
Send the address, price, unit count, leases and tax bill through the form below or call (877) 298-1001. The financing team will run the combined-rent ratio at a couple of loan amounts and come back with options.
If you own several doubles, or a mix of doubles and single-family homes, ask about combining five or more into a blanket portfolio loan with one payment.
Yes. DSCR loans qualify on the combined rent of both sides, with no W-2s or tax returns.
No. It depends on the dwelling district, though many older doubles are legally established. Confirm the unit count with the city.
On most programs, the appraiser's market rent estimate is used for vacant units.
Plan near Indiana's 2% cap on assessed value for residential rental property.
Indianapolis operates a rental registry for Marion County rentals. Keep registration current.
Yes. Cash-out goes up to 75% LTV and rate-and-term up to 80% on some programs.
No. Our investor loans are business-purpose loans on non-owner-occupied property.
Yes. Five to eight units are residential for our programs, with leverage that varies by program.
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