Hard Money Loans Fountain Square Indianapolis

Fountain Square is not generic “Indianapolis investing” — it is the Virginia Avenue spine, the Murphy Arts Center foot traffic, and blocks of 1920s duplex stock where one side still has knob-and-tube and the seller wants a 10-day wire.

Hard money loans in Fountain Square fund Near Eastside BRRRR: acquisition of distressed side-by-side units, mechanical-heavy rehab, lease-up at Marion County market rents, and exit to DSCR loans Indiana when the rent roll clears ratio.

Walking the Virginia Ave corridor

Start at Prospect Street and walk south toward Shelby Street. The commercial strip — Bluebeard, Revolution Tap Room, Santorini Greek Kitchen — draws renters who want walkable urban life without Broad Ripple pricing. Residential blocks one street off Virginia hold the investor inventory: 1920s side-by-side duplexes with shared driveways, alley HVAC access, and basement units that may or may not be legal.

Fountain Square sits southeast of downtown, bounded roughly by I-65/I-70 to the west, Beech Grove adjacency to the south, and English Avenue to the north. The Pocket and Fletcher Place spillover creates competition for house hackers who want arts-district adjacency at basis below $140K per side.

Renters include service workers at downtown hotels, creatives tied to the Murphy Arts Center, and commuters who reject $1,900+ Broad Ripple 2-bed pricing. That tenant mix supports $1,250–$1,550 per side on renovated units — but only if kitchens, baths, and HVAC are genuinely updated, not lipstick-on-1990s-cabinets work.

2026 price and rehab bands

Asset	As-is buy	Rehab	Stabilized ARV
Side-by-side duplex	$105K–$138K	$42K–$62K	$205K–$248K
Small 2-unit MF	$118K–$155K	$48K–$70K	$218K–$265K
Bungalow SFR (rare)	$98K–$128K	$35K–$52K	$178K–$215K

ARV sweet spot $150K–$250K all-in matches the Indianapolis metro BRRRR thesis — not luxury flip inventory. Cross-comp Meridian-Kessler or Irvington sales onto Virginia Ave blocks and appraisers will cut ARV $15K–$25K.

Hard money structure for Fountain Square duplexes

• 9.5%–13.5% interest-only · up to 90% LTC on qualified files · 7–10 business day close
• 12-month bridge term standard; extensions case-by-case with lease-up progress
• Draws tied to inspection milestones — not lump-sum rehab funding
• Exit: DSCR at high-7s/low-8s on achieved $1,300–$1,525/side rents

Statewide programs: fix and flip Indiana · hard money Indiana

Draw schedule: Virginia Ave duplex rehab

Hard money on Fountain Square duplexes releases rehab capital in tranches tied to completed scope — not a single wire at close.

Draw	Milestone	Typical release	Scope
Draw 1	Close + 14 days	25% of rehab holdback	Demo, permits, panel rough-in both sides
Draw 2	Electrical sign-off	30%	New 200-amp panels, knob-and-tube removal, rough plumbing
Draw 3	HVAC + rough complete	25%	Furnace/AC both units, water heater, rough inspections
Draw 4	Kitchen/bath finish	20%	Cabinets, counters, fixtures, flooring, paint

A $56,000 rehab on a Virginia Ave duplex typically funds across 90–120 days. Sponsors who front-load cosmetic work before panel upgrades delay Draw 2 and extend carry at 11%–13% IO — model $1,800–$2,400/mo interest on a $160K all-in loan during rehab.

Worked example: full Virginia Ave duplex BRRRR

Property: Side-by-side duplex on Woodlawn Avenue, one block off Virginia Ave. Built 1924, 1,680 sq ft total, 2 bed / 1 bath per side.

Acquisition: $128,000 — one side vacant 4 months, occupied side at $950/mo month-to-month, shared 100-amp panel, kitchens last updated 1998.

Rehab budget: $56,000 breakdown:

• Electrical (both sides): $14,200
• HVAC (one side full replace, one tune-up): $11,800
• Kitchens (both): $12,400
• Baths (both): $8,600
• Flooring/paint/misc: $9,000

Hard money terms: 87% LTC on $184,000 all-in → $160,080 loan at 11.25% IO. Close in 9 business days. Monthly interest during hold: ~$1,501.

Timeline:

• Month 0: Close, Draw 1
• Month 2: Both sides rent-ready, vacant side listed at $1,425
• Month 3: Vacant side leased $1,425; occupied side raised to $1,425 at renewal
• Month 4: Gross rent $2,850/mo; appraisal ordered
• Month 5: Appraisal $222,000; DSCR application at 70% LTV → $155,400 permanent loan

DSCR math: $155,400 at 7.875% = $1,021/mo P&I. Gross rent $2,850 minus 8% vacancy ($228), 8% PM ($228), taxes $245/mo, insurance $95/mo → NOI ~$2,054/mo. DSCR ~1.18 — clears standard 1.0–1.1 thresholds.

Equity extracted: $155,400 permanent minus ~$158,000 payoff (accrue interest) → sponsor recycles capital toward Bates-Hendricks acquisition.

Compared to Bates-Hendricks and Garfield Park

Fountain Square trades arts-district premium — buy basis runs $8K–$15K higher than Garfield Park on comparable duplexes, but resale to house hackers and walkability renters is stronger. Bates-Hendricks offers similar duplex math with heavier alley-access and foundation diligence on 1940s blocks. Comp within Near Eastside corridor, not Marion County median.

Broad Ripple is a different animal — turnkey SFR at $260K–$320K basis with 5%–6.5% gross caps. Do not apply Broad Ripple DSCR assumptions to Fountain Square duplex math.

Diligence on Near Eastside duplexes

• Heirship title on estate sales — Marion County probate can add 30–60 days if not cleared pre-close
• Separate meters — verify landlord-paid utilities are excluded from NOI pro forma
• Marion County reassessment post-sale — budget 1.0%–1.1% of ARV annually
• Illegal basement units — cure with permit or exclude from rent roll; DSCR underwriters will
• Shared driveways — confirm maintenance easements in title commitment
• Lead paint — pre-1978 stock requires EPA-compliant renovation if children occupy

Pre-qual checklist: Fountain Square hard money

Before submitting a Fountain Square duplex file:

1. Purchase contract with 10-day or shorter close window and earnest money wired
2. Scope of work from licensed GC with line-item electrical, HVAC, and kitchen/bath pricing
3. Three sold duplex comps within 0.5 mi on Virginia Ave corridor (not Irvington)
4. Rent comps — two recent leases at $1,250+ per side within 1 mi
5. Entity docs — Indiana LLC operating agreement and EIN (standard Marion County investor practice)
6. Liquidity — 6 months interest reserve plus 10% rehab contingency beyond holdback
7. Insurance quote — landlord policy on as-is and post-rehab replacement cost
8. Title commitment — no open heirship, tax sale, or code liens

First-time sponsors qualify with strong GC bid, documented reserves, and local comp package — not a national track record.

FAQ

First-time sponsor?

Qualify with GC bid, reserves, three sold duplex comps within 0.5 mi. Fountain Square deals fail pre-qual when sponsors comp Irvington or Fountain Square-adjacent but outside walkable Virginia Ave blocks.

Flip exit?

Possible on sub-$235K ARV to owner-occupant house hackers — but BRRRR usually wins on 7%–10% cap rate. A $128K buy + $56K rehab = $184K all-in. Resale at $222K minus 8% selling costs and 12 months carry at 11% leaves thin spread vs. DSCR equity extraction.

Broad Ripple comparison?

Broad Ripple is turnkey/DSCR at higher basis — different strategy, different tenant, different insurance on condo product.

Section 8 in Fountain Square?

Marion County Housing Authority vouchers align with $1,250–$1,400 side rents on renovated 2-bed units. Document payment history for DSCR underwriters — voucher tenants are not automatic disqualifiers.

---

Pre-Qualify for Fountain Square Hard Money · (833) 264-7776

Rates, terms and conditions offered only to qualified borrowers and are subject to change without notice. All loans are subject to full underwriting. Jaken Finance Group only finances non-owner occupied investment properties.