1136 Connecticut St · Gary, IN 46407

$80,000

8 bd · 4.0 ba · 4,311 sqft · MultiFamily public records · 55 Days on market

Built 1927 4,138 sqft lot Est $61k · 30% over ↓ 30% since listing

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Why this score? — see what drove the D- 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 +15.0/30.0
• Appreciation +5.5/10.0
• 1% rule +5.0/10.0
• DSCR +5.0/10.0
• Livability +3.7/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +0.5/10.0
• ARV discount +0.0/15.0

Multi-family units

County records classify this as Multi-Family (5+ Unit). Listing-text estimate: 4 units. estimate disagrees with records

5+ unit building — per-unit beds/baths from public records are typically unavailable; the breakdown below (if shown) is an estimate from the listing text.

Listing remarks

Located on Gary's East Side, this solid brick 4-unit offers a prime value add opportunity with a stable structure ready for a complete gut renovation following fire damage. Fully vacant, the property allows immediate access to rebuild each unit to modern standards, with four income producing units, a detached garage, and a spacious lot adding to its upside. The building consists of one three bed one bath on main level, upper level has a two bed one bath unit and one bed one bath unit, and the basement unit has two beds and one bath. Sold as is and best suited for cash or rehab financing, this is a straightforward project with serious potential to build equity and cash flow.

Key facts

• Spacious lot
• Detached garage
• 4,138 sq ft lot

Tags

• COMPLETE GUT RENOVATION
• FOUR INCOME PRODUCING UNITS
• DETACHED GARAGE
• SPACIOUS LOT

Property features AI

Exterior

• Parking: 2-car garage
• Utilities: Public water service; Public sewer service
• Home design: Two-story building; Built in 1927
• Exterior features: Public water; Public sewer

Interior

• Bathrooms: 4 full bathrooms
• Heating & cooling: Hot water heating; No central cooling
• Interior features: Finished basement; Total of 17 rooms; 4-unit multi-family property

What this means for you Summary

Snapshot

• This is a 1×3bd/1ba + 2×2bd/1ba + 1×1bd/1ba units multifamily listed at $80k.

Deal economics

• At list price, monthly cash flow is $3k ($36k/yr) — positive. Per door: $746/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($4k rent vs $80k).
• Recommended offer: $78k (3.0% below list) — sets the bar for market timing.
• Cap rate 51.0% vs local median 9.1% in Gary — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

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: 121 active listings in the ZIP; lower-income renter base — watch delinquency; 1,642 units permitted in Lake County in 2024 (14 in 5+ unit buildings).
• At $4,470/mo this rent would consume 188% 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 $1k of equity ($553 loan paydown + $784 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 $22k cash investment doubles in ~1 year — after that, you're playing with house money.

Negotiation context

• It's been on market 55 days — a 3% lower offer ($78k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1927 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major flood risk; major wildfire risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $77,600 (3.0% below list)

Questions for the listing agent

1. It's been on market 55 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
3. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
4. Built in 1927 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. 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?
7. 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?
8. The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
9. 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.
10. 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.
11. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 5.59% ✓
• Cap rate: 51.03%
• Cash-on-cash: 159.78%
• DSCR: 8.11
• GRM: 1.5

CMA / ARV

• ARV (median comp): $61,346
• List price: $80,000
• Delta: 30.41%
• Verdict: OVERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 1 sale within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1324 Connecticut St	0.10mi	9/3.0 (+1)	4,683 (+9%)	23mo	$17,525	$4	52

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: —
• Equity multiple: 9.55×
• Total profit: $191,438
• Equity at exit: $27,226

10-year hold

• IRR: —
• Equity multiple: 20.04×
• Total profit: $426,489
• Equity at exit: $36,115

Cash invested: $22,400 (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: 121
• Price-to-rent: 5.5×

Monthly cashflow live

• Estimated rent: $4,470 high
• Mortgage (P&I): −$420
• Tax from tax record: −$96 /mo · $1,151/yr
• Insurance: −$33
• HOA: −$0
• Vacancy / Maint / Mgmt: −$939
• Net cashflow: $2,982

Break-even live

Break-even rent $695

Max offer price $80,000

Occupancy floor 28%

4-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
1× unit	3	1	$1,221
▸ 2× units	2	1	$2,244
1× unit	1	1	$1,005
Total (4 units)			$4,470

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: $20,000
• Closing costs: $2,400
• Reserves months: —
• Total cash needed: —

Listing history 17 events

1. 2026-06-18
   status $80,000 Pending 55 DOM
2. 2026-06-18
   days on market $80,000 Active 55 DOM
3. 2026-06-17
   days on market $80,000 Active 54 DOM
4. 2026-06-16
   days on market $80,000 Active 53 DOM
5. 2026-06-15
   days on market $80,000 Active 52 DOM
6. 2026-06-13
   days on market $80,000 Active 50 DOM
7. 2026-06-13
   days on market $80,000 Active 49 DOM
8. 2026-06-09
   days on market $80,000 Active 46 DOM
9. 2026-06-08
   days on market $80,000 Active 45 DOM
10. 2026-06-07
    days on market $80,000 Active 44 DOM
11. 2026-06-04
    days on market $80,000 Active 41 DOM
12. 2026-06-03
    days on market $80,000 Active 40 DOM
13. 2026-06-02
    days on market $80,000 Active 39 DOM
14. 2026-06-01
    days on market $80,000 Active 38 DOM
15. 2026-05-31
    days on market $80,000 Active 37 DOM
16. 2026-05-11
    price $80,000 682-char remark
17. 2026-04-24
    listed $100,000 Active 682-char remark

ⓘ 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: $1,151 · $96/mo
• Projected year-2 tax: $1,151 · $96/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

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

Climate risk First Street

• 🌊 Flood 6/10 Major FEMA zone X (unshaded) · 74% chance over 30 yrs
• 🔥 Wildfire 6/10 Major
• 🌡 Heat 3/10 Moderate 7 d/yr ≥102°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 4/10 Moderate 6 unhealthy d/yr today · 7 by 30 yrs out

Taxation est. · year 1

• Rental income: $53,640
• − Mortgage interest: −$4,481
• − Property taxes: −$1,151
• − Insurance: −$400
• − Repairs & maintenance: −$4,291
• − Management: −$4,291
• − Depreciation: −$2,327
• Taxable income: $36,698
• Est. tax owed @ 24.0%: −$8,807
• After-tax cash flow: $26,982/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

-30.0% since first listed

4 events — show timeline

• 2026-06-18 Pending — NIRA MLS as Distributed by MLS Grid
• 2026-06-18 Sold (MLS) $70,000 NIRA MLS as Distributed by MLS Grid
• 2026-05-11 Price Changed $80,000 NIRA MLS as Distributed by MLS Grid
• 2026-04-24 Listed $100,000 NIRA MLS as Distributed by MLS Grid

Property tax history

-11.4%/yr

Latest (2024): $1,151 · -2.4% YoY. Source: county tax records.