High-Yield, Rent-by-the-Room Options

Happy New Year, Roots Family 🌱

Hope you’re coming into the year with some momentum and staying close to the goals you set. I know our community has been busy with a lot of conversations, deals, and action already.

This week I’m sharing something a little different than our normal send: a 3-pack of rent-by-the-bedroom properties.

These aren’t your typical buy-and-hold rentals, but for investors focused on strong monthly cash flow, this strategy can seriously outperform standard rentals when it’s executed and managed the right way.

Below are plug-and-play properties with exact rent numbers.

Deal #1: 1456–1458 W 32nd St

Rent-by-the-Bedroom | 6 Rentable Units | Utilities Included

💡 Quick Stats

• Purchase Price: $280,000

• Rooms occupied: 4

• Rooms vacant: 2

• Currently collecting: $3,300/month

• Stabilized monthly rent (filling the 2 vacant bedrooms at $650 each): $4,600/month

📊 Rent Breakdown

Currently collecting $3,300 per month with 4 of 6 rooms occupied. Stabilized rent assumes leasing the two vacant bedrooms at $650 each, bringing total monthly rent to approximately $4,600. This stabilization is driven purely by lease-up and does not assume rent increases on existing tenants.

📲 Why It Works:

• Meaningful cash-flow upside through lease-up alone

• Strong rent density relative to purchase price

• Flexible exit options once stabilized

Deal #2: 2536 Indianapolis Ave

Rent-by-the-Bedroom | 7 Rentable Units | Utilities Included

💡 Quick Stats

• Purchase Price: $280,000

• Rooms occupied (November): 6

• Rooms vacant: 1

• Currently collecting (November): $3,550/month

• Stabilized monthly rent (fully leased at November rent levels): $4,100/month

📊 Rent Breakdown

Based on the November 2025 rent roll, six of seven bedrooms are occupied, generating $3,550 per month. Individual room rents range from $450 to $700. Once the final vacant bedroom is leased at a comparable in-place rent, total monthly rent stabilizes around $4,100. This assumes lease-up only and does not include rent growth.

📲 Why It Works:

• Conservative, proven rent band

• Strong in-place performance

• Clean lease-up to full stabilization with minimal operational lift

Deal #3: 2636 Ethel Ave

Rent-by-the-Bedroom | 8 Rentable Units | Fully Occupied

💡 Quick Stats

• Purchase Price: $280,000

• Rooms occupied: 8

• Rooms vacant: 0

• Currently collecting (November): $4,900/month

• Stabilized monthly rent (fully leased at November rent levels): $4,900/month

📊 Rent Breakdown

Based on the November 2025 rent roll, all eight bedrooms are occupied and generating $4,900 per month. This property is already fully stabilized and does not rely on lease-up or rent increases to achieve its current performance.

📲 Why It Works:

• Fully occupied with proven demand

• Highest income density of the three deals

• No operational lift required

Quick FAQ

Who pays utilities?
The owner pays all utilities across all three properties.

Are these real numbers or pro forma?
All figures are based on November 2025 rent rolls, the most current accounting provided by ownership.

What does “stabilized” mean?
Stabilized reflects lease-up only, not rent increases, unless explicitly stated.

Who is this best for?
Investors focused on strong monthly cash flow and downside protection.

Deal Comparison

• Highest Yield: 2636 Ethel

• Most Conservative: 2536 Indianapolis

• Most Flexible: 1456–1458 W 32nd

  
  If rent-by-the-bedroom investing is something you’ve been curious about, these are real examples currently operating in Indianapolis.

  Shoot me a message if you want deeper numbers, expense assumptions, or help deciding which strategy fits your portfolio best.

First 2026 Roots Event is NEXT Week ☕️

If you want to talk real deals, strategy, or simply connect with other investors and agents in the Roots community, join us for our next Coffee & Connect.

📍 Outwork Indy Event Space (6334 Westfield Blvd)
🗓️ Next Thursday
⏰ 7:30–9:00 AM

No pitches. No presentations.
Just real conversations, clear perspectives, and good coffee.