2601 E 22nd Ave · Gary, IN 46407

$99,999

2 bd · 1.0 ba · 925 sqft · SingleFamily public records · 3 Days on market

Built 1955 4,791 sqft lot Est $107k · 7% under

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Why this score? — see what drove the B grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• ARV discount +10.6/15.0
• DSCR +10.0/10.0
• 1% rule +8.5/10.0
• Appreciation +5.5/10.0
• Livability +3.7/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +0.5/10.0

Listing remarks

This well-maintained home in the Marshalltown neighborhood offers comfort, functionality, and versatility. Featuring durable vinyl flooring throughout, the property is designed for easy upkeep and modern living, Each bedroom includes ceiling fans for added comfort, while central heating and cooling ensure year-round climate control. The spacious living area provides plenty of room for relaxation and entertaining, with a convenient dining area located just off the kitchen-perfect for everyday meals or hosting guests. Whether you're looking for a solid rental investment or a place to call home, this property is move-in ready and full of potential.

Key facts

• Spacious living area
• Ceiling fans
• 4,791 sq ft lot

Tags

• DURABLE VINYL FLOORING
• CEILING FANS
• CENTRAL HEATING AND COOLING
• SPACIOUS LIVING AREA
• CONVENIENT DINING AREA

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $100k.

Deal economics

• At list price, monthly cash flow is $449 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $100k).
• Cap rate 11.7% vs local median 9.1% in Gary — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

Location & tenants

• Location reads 73/100 on livability (#105 in IN) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: schools F, crime F, employment F.
• Gary Community School Corporation (urban): math 3% / reading 11% proficiency, ranked #299 of 301 in IN (top 99%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 80% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 122 active listings in the ZIP; 13 comparable units currently listed for rent nearby; rentals leasing fast (median 0d on market — plan ~1-2 weeks tenant-placement turnaround); lower-income renter base — watch delinquency; 1,642 units permitted in Lake County in 2024 (14 in 5+ unit buildings).
• At $1,346/mo this rent would consume 57% of the median local household income ($29k/yr) (locally 392% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• In year one you build about $2k of equity ($691 loan paydown + $980 appreciation (1.0% local appreciation)).
• Lake County population projected to shrink 7% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (1.0% appreciation + 3.0% rent growth), your $28k cash investment doubles in ~4 years — after that, you're playing with house money.

Negotiation context

• Only 3 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: built in 1955 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $99,999

Questions for the listing agent

1. Built in 1955 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
4. Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
5. What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
6. What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
7. How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.

Investment metrics

• 1% rule: 1.35% ✓
• Cap rate: 11.68%
• Cash-on-cash: 19.25%
• DSCR: 1.86
• GRM: 6.2

CMA / ARV

• ARV (on-the-fly): $107,300
• Comps found: 12

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
2601 E 22nd Ave	0.00mi	2/1.0	925 (0%)	1mo	$99,999	$108	99
2601 E 21st Ave	0.15mi	3/1.0 (+1)	884 (-4%)	3mo	$119,000	$135	78
2801 Central Dr	0.14mi	3/1.0 (+1)	933 (+1%)	11mo	$129,900	$139	78
2925 Central Ave	0.22mi	3/1.0 (+1)	884 (-4%)	2mo	$30,000	$34	76
2417 Marshalltown Ln	0.21mi	3/1.0 (+1)	925 (0%)	15mo	$45,000	$49	73
2437 Marshalltown Ln	0.18mi	3/1.0 (+1)	925 (0%)	19mo	$120,000	$130	71
2601 Marshalltown Dr	0.15mi	3/1.0 (+1)	999 (+8%)	19mo	$90,000	$90	58
2801 Central Ave	0.16mi	3/1.0 (+1)	1,046 (+13%)	9mo	$65,000	$62	58
1996 Central Dr	0.57mi	3/1.0 (+1)	935 (+1%)	16mo	$108,000	$116	54
1976 Missouri Ter	0.46mi	3/1.0 (+1)	1,037 (+12%)	5mo	$8,500	$8	49
1954 Central Dr	0.63mi	3/1.0 (+1)	825 (-11%)	2mo	$128,000	$155	46
2042 Mississippi St	0.75mi	3/1.0 (+1)	836 (-10%)	8mo	$144,001	$172	38

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

0.98% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 21.2%
• Equity multiple: 2.08×
• Total profit: $30,357
• Equity at exit: $34,032

10-year hold

• IRR: 24.3%
• Equity multiple: 3.92×
• Total profit: $81,826
• Equity at exit: $45,144

Cash invested: $28,000 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 90 Strongly Landlord-Friendly
• State Indiana: 90 Strongly Landlord-Friendly · R+11
• County: — inherits STATE
• City: — inherits STATE

10-day pay-or-quit; landlord-favorable; preempted.

Methodology + full state rankings →

ZIP-level market 46407

• Home prices YoY: 0.4%
• Active inventory: 122
• Price-to-rent: 6.2×

Monthly cashflow live

• Estimated rent: $1,346 high
• Mortgage (P&I): −$524
• Tax from tax record: −$48 /mo · $575/yr
• Insurance: −$42
• HOA: −$0
• Vacancy / Maint / Mgmt: −$283
• Net cashflow: $449

Break-even live

Break-even rent $777

Max offer price $99,999

Occupancy floor 62%

Sensitivity live

Price	-10% $506	-5% $478	+0% $449	+5% $421	+10% $393
Rent	-10% $343	-5% $396	+0% $449	+5% $502	+10% $556
Rate	-1.0pp $500	-0.5pp $475	base $449	+0.5pp $423	+1.0pp $397

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $25,000
• Closing costs: $3,000
• Reserves months: —
• Total cash needed: —

Rent comps 13 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
2908 Central Dr Gary, IN	3.0	1.0	884	$1,525	$1.73	0d	1	0.19mi
2025 Central Dr Gary, IN	3.0	1.0	875	$1,550	$1.77	44d	1	0.53mi
1843 Illinois St Gary, IN	2.0	1.0	725	$1,200	$1.66	18d	1	0.77mi
1252-54 Idaho St Gary, IN	3.0	1.0	900	$2,200	$2.44	0d	1	0.99mi
2355 Rhode Island St Gary, IN	2.0	1.0	701	$1,095	$1.56	44d	1	1.14mi
2453 Prospect St Gary, IN	2.0	1.0	704	$1,095	$1.56	0d	1	1.27mi
2425 Prospect St Gary, IN	3.0	1.0	1051	$1,400	$1.33	0d	1	1.28mi
2315 Industrial Blvd Gary, IN	2.0	1.0	989	$950	$0.96	0d	1	1.31mi
2315 Industrial Blvd Unit B Gary, IN	3.0	1.0	989	$1,150	$1.16	0d	1	1.31mi
2315 Industrial Blvd Gary, IN	2.0	1.0	989	$950	$0.96	5d	1	1.31mi
2061 Maryland St Gary, IN	2.0	1.0	975	$950	$0.97	44d	1	1.39mi
2300 Maryland St Gary, IN	2.0	1.0	900	$1,000	$1.11	20d	1	1.42mi
2336 Delaware St Gary, IN	3.0	1.0	816	$1,100	$1.35	0d	1	1.48mi

Listing history 2 events

1. 2026-03-24
   status Pending
2. 2026-03-21
   listed $99,999 Active

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast IN · Partial reset (capped growth)

• Current annual tax: $575 · $48/mo
• Projected year-2 tax: $712 · $59/mo
• Expected delta: +$138/yr (+$11/mo · 23.9%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 2/10 Low 7 d/yr ≥103°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low 0% chance of damaging wind over 30 yrs
• 🫁 Air quality 4/10 Moderate 6 unhealthy d/yr today · 7 by 30 yrs out

Taxation est. · year 1

• Rental income: $16,151
• − Mortgage interest: −$5,601
• − Property taxes: −$575
• − Insurance: −$500
• − Repairs & maintenance: −$1,292
• − Management: −$1,292
• − Depreciation: −$2,909
• Taxable income: $3,981
• Est. tax owed @ 24.0%: −$955
• After-tax cash flow: $4,436/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Gary Community School Corporation
• NCES district ID: 1803870
• Math proficiency: 3% ▼ -10.00%
• Reading proficiency: 11% ▼ -6.00%
• Median HH income: $27,739
• Composite: 4.98/100
• National rank: #10039
• State rank: #299 of 301 in IN

Livability — Gary

• Score: 73/100
• State rank: #105
• US rank: #5592

Category grades

Amenities C+ Commute A+ Cost of living A+ Crime F Employment F Housing A+ Health & safety B- User ratings F

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Gary, IN
• County: Lake County · 422,878 people
• City population: 63,701
• Metro: Chicago-Naperville-Elgin, IL-IN-WI
• Population (ZIP): 8,577
• Household income: $28,526
• Rent vs Own: 58.8% rent · 41.2% own
• Severe rent burden: 392.0

Population outlook (Lake County) Hauer SSP2

• Today (2025): 484,026 people
• By 2030: 478,091 · -1.2%
• By 2040: 462,974 · -4.3%
• By 2050: 449,894 · -7.1%
• By 2075: 436,169 · -9.9%
• By 2100: 426,607 · -11.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Black (91%)
• Race & ethnicity: Black 91% Hispanic / Latino 3% White 2% Two or more races 1%
• Common ancestry: Romanian 1%
• Foreign-born: 1% · Canada
• Languages at home: 97% English-only · Spanish 1% Russian/Polish/Slavic 1% French/Haitian/Cajun 1%

Political lean MEDSL · Lake

• 2024 margin: Lean D (+5.6) · D 52.1% · R 46.5% · Other 1.5%
• 2008→2024 swing: -28.6pp toward R · 2008: 34.3pp · 2024: 5.6pp
• All cycles: 2024: D+5.6 2020: D+15.1 2016: D+20.6 2012: D+31.0 2008: D+34.3

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 0.98%
• Current HPI: 253.2856
• Rent YoY: —
• Metro: Chicago-Naperville-Elgin, IL-IN-WI
• State GDP YoY: ▲ 2.90%
• F500 in state: 18

Industry mix (Fortune 500 HQ in IN)

Industry	F500 HQs	Revenue
▸Industrial Machinery	2	$37B
▸Healthcare	1	$177B
▸Pharmaceuticals	1	$45B
▸Metals / Steel	1	$18B
▸Agriculture	1	$17B
▸Packaging	1	$12B

Price history

2 events — show timeline

• 2026-03-24 Pending — NIRA MLS as Distributed by MLS Grid
• 2026-03-21 Listed $99,999 NIRA MLS as Distributed by MLS Grid

Property tax history

-2.9%/yr

Latest (2023): $575 · +41.1% YoY. Source: county tax records.