1224 Clay St · Gary, IN 46403

$100,000

3 bd · 1.0 ba · 777 sqft · SingleFamily public records · 6 Days on market

Built 1950 6,490 sqft lot Est $103k · at est.

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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
• DSCR +10.0/10.0
• ARV discount +9.0/15.0
• 1% rule +8.9/10.0
• Livability +3.7/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +0.5/10.0
• Appreciation +0.0/10.0

Listing remarks MLS

Two bedroom ranch priced for rehabber! Needs total rehab. Kitchen, bath, furnace, HWH, have all been removed. Needs roof, gutters, facia, soffits, siding. Sold As Is. Fannie Mae owned.

Key facts

• 6,490 sq ft lot
• Built 1950
• Listed 6 days

Property features AI

Exterior

• Parking: Driveway
• Utilities: Public water; Public sewer; 100 Amp electric service
• Home design: One-story home; Built in 1950
• Construction: Year built: 1950
• Exterior features: Neighborhood view

Interior

• Kitchen: No appliances listed
• Bedrooms: Primary bedroom; Bedroom 2; Bedroom 3; Total of 3 bedrooms (5 total rooms)
• Bathrooms: 1 full bathroom
• Heating & cooling: No heating; No cooling
• Interior features: No notable interior features listed; Crawl space basement
• Laundry & utility: No laundry appliances listed

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $100k.

Deal economics

• At list price, monthly cash flow is $454 ($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: 88 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals leasing fast (median 2d on market — plan ~1-2 weeks tenant-placement turnaround); 1,642 units permitted in Lake County in 2024 (14 in 5+ unit buildings).
• This rent runs 36% of the median local income ($46k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $691 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Lake County population projected to shrink 7% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $28k cash investment doubles in ~7 years — after that, you're playing with house money.

Negotiation context

• Only 6 days on market — expect competitive offers; lowballing is unlikely to land.
• 3 sale attempts since 22y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.

Risks & watch-outs

• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: severe wildfire risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $100,000

Questions for the listing agent

1. Built in 1950 — 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: 1.39% ✓
• Cap rate: 11.75%
• Cash-on-cash: 19.48%
• DSCR: 1.87
• GRM: 6.0

CMA / ARV

• ARV (on-the-fly): $103,341
• Comps found: 9

Show comp detail 9 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1047 Decatur St	0.17mi	3/1.0	850 (+9%)	2mo	$65,500	$77	75
4514 E 10th Ave	0.25mi	2/1.0 (-1)	720 (-7%)	2mo	$115,000	$160	69
5232 E 13th Ave	0.23mi	3/1.0	850 (+9%)	10mo	$123,500	$145	65
1134 Dekalb St	0.19mi	3/1.0	884 (+14%)	8mo	$148,000	$167	62
5534 E 10th Ave	0.46mi	3/1.0	850 (+9%)	10mo	$95,000	$112	54
1167 Gibson Pl	0.43mi	2/1.0 (-1)	800 (+3%)	23mo	$70,000	$88	51
3937 E 13th Ave	0.50mi	3/1.0	884 (+14%)	8mo	$119,900	$136	46
1245 Oklahoma St	0.59mi	2/1.0 (-1)	768 (-1%)	23mo	$43,500	$57	46
3841 E 13th Ave	0.55mi	3/1.0	884 (+14%)	20mo	$118,000	$133	35

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

Projected returns pro-forma

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

5-year hold

• IRR: 11.5%
• Equity multiple: 1.45×
• Total profit: $12,735
• Equity at exit: $14,910

10-year hold

• IRR: 20.5%
• Equity multiple: 2.73×
• Total profit: $48,334
• Equity at exit: $8,646

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 46403

• Home prices YoY: -27.3%
• Active inventory: 88
• Price-to-rent: 6.0×

Monthly cashflow live

• Estimated rent: $1,393 high
• Mortgage (P&I): −$524
• Tax from tax record: −$80 /mo · $961/yr
• Insurance: −$42
• HOA: −$0
• Vacancy / Maint / Mgmt: −$293
• Net cashflow: $454

Break-even live

Break-even rent $818

Max offer price $100,000

Occupancy floor 62%

Sensitivity live

Price	-10% $511	-5% $483	+0% $454	+5% $426	+10% $398
Rent	-10% $344	-5% $399	+0% $454	+5% $510	+10% $565
Rate	-1.0pp $505	-0.5pp $480	base $454	+0.5pp $429	+1.0pp $402

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 6 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1118 Benton St Gary, IN	3.0	1.0	936	$1,245	$1.33	2d	1	0.18mi
1041 DeKalb St Gary, IN	3.0	1.0	1006	$1,250	$1.24	44d	1	0.26mi
1252-54 Idaho St Gary, IN	3.0	1.0	900	$2,200	$2.44	2d	1	0.79mi
430 S Grand Blvd Gary, IN	2.0	1.0	830	$865	$1.04	2d	1	1.18mi
2908 Central Dr Gary, IN	3.0	1.0	884	$1,525	$1.73	2d	1	1.42mi
283 N Hamilton St Gary, IN	2.0	1.0	1100	$1,100	$1.00	4d	1	1.44mi

Listing history 5 events

1. 2026-06-18
   days on market $100,000 Active 6 DOM
2. 2026-06-17
   days on market $100,000 Active 5 DOM
3. 2026-06-16
   days on market $100,000 Active 4 DOM
4. 2026-06-15
   days on market $100,000 Active 3 DOM
5. 2026-06-13
   listed $100,000 Active 1 DOM

ⓘ 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: $961 · $80/mo
• Projected year-2 tax: $961 · $80/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 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 8/10 Severe
• 🌡 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: $16,718
• − Mortgage interest: −$5,602
• − Property taxes: −$961
• − Insurance: −$500
• − Repairs & maintenance: −$1,337
• − Management: −$1,337
• − Depreciation: −$2,909
• Taxable income: $4,072
• Est. tax owed @ 24.0%: −$977
• After-tax cash flow: $4,476/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): 10,929
• Household income: $45,991
• Rent vs Own: 51.2% rent · 48.8% own
• Severe rent burden: 656.0

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 (71%)
• Race & ethnicity: Black 71% White 18% Hispanic / Latino 9% Two or more races 4%
• Hispanic origin (detail): Mexican 5% Puerto Rican 4%
• Common ancestry: Romanian 2% Hispanic 1% Iranian 1%
• Foreign-born: 3% · Canada
• Languages at home: 96% English-only · Spanish 2%

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: ▼ -110.41%
• Current HPI: 294.0935
• 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

+1011.1% since first listed

4 events — show timeline

• 2026-06-12 Listed $100,000 NIRA MLS as Distributed by MLS Grid
• 2008-06-22 Listing Removed — NIRA MLS as Distributed by MLS Grid
• 2008-01-21 Listed $54,000 NIRA MLS as Distributed by MLS Grid
• 2004-06-03 Listed $9,000 NIRA MLS as Distributed by MLS Grid

Property tax history

-6.4%/yr

Latest (2024): $961 · +4.7% YoY. Source: county tax records.