Indianapolis, IN Rental Market for Investors
An estimated 77% of Indianapolis's active listings could cash-flow as a short-term rental — here's what the numbers say for investors, as of August 2026.
Homes in Indianapolis that pencil right now
A sample of active Indianapolis listings whose DSCR clears 1.25 using short-term rental income projections we accept as a direct lender. These are spread across the price range, not ranked, and current as of August 2026.
$130,000DSCR 1.992 bed · 1 bath · 1,462 sqft
- STR revenue
- $25,986/yr
- Est. interest-only payment
- $871/mo
On the market 58 days · Listed by Keller Williams Indy Metro S
Scout this home & market: 2-bed house in Indianapolis
$164,900DSCR 1.572 bed · 1 bath · 902 sqft
- STR revenue
- $25,137/yr
- Est. interest-only payment
- $1,068/mo
On the market 21 days · Listed by Highgarden Real Estate
Scout this home & market: 2-bed house in Indianapolis
$180,000DSCR 1.563 bed · 1.5 bath · 2,220 sqft
- STR revenue
- $31,521/yr
- Est. interest-only payment
- $1,350/mo
On the market 156 days · Listed by F.C. Tucker Company - Zionsville
Scout this home & market: 3-bed house in Indianapolis
$200,000DSCR 1.552 bed · 1 bath · 780 sqft
- STR revenue
- $29,152/yr
- Est. interest-only payment
- $1,256/mo
On the market 69 days · Listed by Compass of Indiana, LLC
Scout this home & market: 2-bed house in Indianapolis
$220,000DSCR 1.332 bed · 2 bath · 704 sqft
- STR revenue
- $28,048/yr
- Est. interest-only payment
- $1,411/mo
On the market 31 days · Listed by F.C. Tucker Company - Keystone at the Crossing
Scout this home & market: 2-bed house in Indianapolis
$244,900DSCR 2.124 bed · 2 bath · 1,383 sqft
- STR revenue
- $51,582/yr
- Est. interest-only payment
- $1,620/mo
On the market 26 days · Listed by eXp Realty, LLC
Scout this home & market: 4-bed house in Indianapolis
$262,000DSCR 2.253 bed · 2 bath · 1,430 sqft
- STR revenue
- $57,980/yr
- Est. interest-only payment
- $1,716/mo
On the market 70 days · Listed by BluPrint Real Estate Group
Scout this home & market: 3-bed house in Indianapolis
$309,000DSCR 1.544 bed · 2.5 bath · 2,999 sqft
- STR revenue
- $45,095/yr
- Est. interest-only payment
- $1,948/mo
On the market 38 days · Listed by Hoosier, Realtors®
Scout this home & market: 4-bed house in Indianapolis
$344,000DSCR 1.754 bed · 3.5 bath · 2,604 sqft
- STR revenue
- $58,730/yr
- Est. interest-only payment
- $2,243/mo
On the market 30 days · Listed by F.C. Tucker Company - Zionsville
Scout this home & market: 4-bed house in Indianapolis
As of August 2026, we analyzed 2,923 active for-sale homes in Indianapolis, Indiana. The typical listing is priced at $282,000 and is projected to generate about $36,512 a year as a short-term rental.
After setting aside an estimated 20% for operating costs, an estimated 77.1% of those homes could still cover an investor mortgage payment on short-term-rental income — well above the 52.5% median across the 200 major metros we track, ranking Indianapolis #12 of 200 for cash-flow potential.
On market momentum: homes in Indianapolis sit a median of 54 days on the market, and 32% of active listings came on in just the last 30 days — a steadily paced market, which shapes how much room there is to negotiate.
For a DSCR loan — which qualifies on the property's rental income rather than your personal income — that's a relatively healthy setup: in Indianapolis, a meaningful share of listings throw off enough short-term-rental income, after costs, to cover an estimated investor mortgage payment.
What actually works in Indianapolis
Indianapolis is a broad cash-flow market right now: 1,321 of the 2,342 Indianapolis homes, condos and townhomes we can price confidently clear a DSCR of 1.25. Nine in ten of them are priced under $345,000.
| Price | 1 bed | 2 bed | 3 bed | 4 bed | 5 bed |
|---|---|---|---|---|---|
| Under $150k | — | 80%1.51 | 100%1.95 | — | — |
| $150k–$250k | 21%0.98 | 68%1.38 | 91%1.58 | 96%1.79 | 100%2.10 |
| $250k–$350k | — | 8%1.03 | 58%1.29 | 70%1.44 | 81%1.67 |
| $350k–$500k | — | 0%0.79 | 6%0.98 | 47%1.24 | 43%1.21 |
| $500k+ | — | 0%0.50 | 0%0.65 | 6%0.84 | 19%0.94 |
Darker means a larger share of that group cash-flows. “—” means fewer than 8 active listings — too few to draw a conclusion from.
Indianapolis in full
| Active for-sale homes analyzed | 2,923 |
|---|---|
| Median list price | $282,000 |
| Median projected STR revenue (annual, gross) | $36,512 |
| Median average daily rate (ADR) | $183 |
| Median occupancy | 55% |
| Median beds | 3 |
| Median size | 1,742 sqft |
| Estimated cash-flow-positive share | 77.1% |
| Median days on market | 54 days |
| New listings (last 30 days) | 31.8% of active |
As a user of this system, you agree to all Scout Terms & Conditions and Home & Mortgage Conditions.
Would a Indianapolis rental qualify for a DSCR loan?
Pre-filled with Indianapolis's median price and projected short-term-rental income — change any field to match a specific property.
Advanced
On a 5-minute call with you, we can use Scout to run real numbers on real properties.
Estimates for educational purposes. Final terms subject to credit, property & program approval.
5 senior bankers · 47 statesPressure-test the market before you trust the median.
We’ll help you compare the market-level signal with the exact property, local costs, rental rules, and financing structure.
Thinking about an investment property in Indianapolis?
Send the address or your target buy box. We’ll run the property with today’s assumptions.
Prefer to talk now? Call or text Chad: 858-353-8331.