Happy Race Week, Indy! As a local real estate agent, May is easily my favorite time of the year. The weather is finally warming up, the city is buzzing, and this Sunday, May 24th, hundreds of thousands of people will pack into the Indianapolis Motor Speedway for the 110th running of the Indy 500.
As a dad to three kids, we love the parade, the community events, and all the traditions. But as an investor, my mind always goes to the same question I hear from clients every single May: “Should I buy a rental property in Speedway?”
It is easy to look at the massive crowds and see dollar signs, but does buying a house near the track actually make sense for your portfolio? Here is an honest breakdown of the Speedway real estate market.
1. The “Month of May” Goldmine
Let’s talk about the main attraction: short-term rentals. If you own a home within walking distance of IMS (often called the “Speedway Grid”), you have a highly lucrative asset.
- Premium Rates: During the week of the Indy 500, homeowners on Airbnb and VRBO can charge premium nightly rates, often pulling in thousands of dollars in just a few days.
- The Yard Parking Hustle: This is an Indy tradition! Homeowners near the track can make serious cash just by letting race fans park on their lawns. I know locals who fund their entire family summer vacations just from one weekend of parking cars.
2. Beyond the Track: Year-Round Appeal
A common misconception is that Speedway is a ghost town the other 11 months of the year. That couldn’t be further from the truth.
- Main Street Revitalization: Speedway has invested heavily in its downtown. Main Street is now packed with amazing local spots like Daredevil Brewing Co., Big Woods, and 1911 Grill. It has become a legitimate year-round destination for dining and nightlife.
- Solid Long-Term Renters: Between the bustling business sector (like the proximity to Allison Transmission), the local school district, and the easy 15-minute commute to downtown Indianapolis, Speedway attracts highly reliable, long-term tenants if you decide you don’t want to deal with the hassle of short-term vacationers.
3. The Reality Check
Before you rush out to buy a bungalow on W 16th Street, there are a few things to consider.
- Fierce Competition: Because of the obvious ROI, homes in Speedway—especially those right on the Grid—are highly competitive. You will likely be bidding against other seasoned investors who know the exact cash-flow math.
- Management is a Job: Running a short-term rental during major race weekends (which also includes the Brickyard 400 and NHRA U.S. Nationals) is active work. You have to handle cleaning, messaging guests, and potential property wear-and-tear from over-enthusiastic race fans.
Ready to Wave the Green Flag on an Investment?
Speedway is a highly unique pocket of the Indianapolis market. If you are willing to navigate the short-term rental landscape or want a solid long-term hold in a thriving community, it is absolutely worth looking into.
If you want to run the numbers on a Speedway investment property, I’d love to help. At Bond Real Estate Co., we know the difference between a house that will cash flow and one that will just spin its tires. Reach out today for a no-pressure chat!
(Discover more local real estate insights and market updates on our blog at bondrealestateco.com/blog)