Real Estate Investing in Clayton, Indiana (46118)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 46118 (Clayton, IN)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Elevated vacancy: 8.8% vacancy may signal weakening demand.
- High price-to-rent: Price-to-rent ratio 25.0 — hard to cash-flow at these prices.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Clayton, IN (46118)?
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Market Analysis: 46118 Clayton
This part of Hendricks County is not an easy win. The 46118 ZIP posts softness in key indicators, and the playbook that works in cleaner markets often stalls here.
The 46118 ZIP can work — but only with a tight operating hand. Remote landlords and passive investors tend to struggle here more than the underwriting suggests.
Regionally, 46118 sits on the difficult end of the IN spectrum. The a credible choice for read — for disciplined operators — is that pricing reflects the difficulty.
Turning to rents, 4,340 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.
Distressed ZIPs reward experience. durable returns are possible in 46118, but they flow to investors who already understand how to operate in soft markets.
Here's what matters if you're considering buying a home in Clayton:
Property Strategy for 46118
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $208,150 | $1,240 | 4.3% | +8.3% | $104,075 |
| 3BR | $315,561 | $1,610 | 3.7% | +7.7% | $105,187 |
| 4BR | $380,517 | $1,970 | 3.7% | +7.3% | $95,129 |
Market Trends
Home Value History (with trend line)
📊 How Does 46118 Compare?
| Metric | 46118 | Clayton | Indianapolis-Carmel-Anderson, IN | Indiana |
|---|---|---|---|---|
| Home Value | $335,355 | $335,355 | N/A | $248,442 |
| 5-Year CAGR | 5.6% | 5.6% | N/A | 7.7% |
| Avg Rent | $1,116 | $1,116 | N/A | - |
| Cap Rate | 2.6% | 2.6% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 46118 (Clayton, IN). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $335,355 |
| Monthly Rent | $1,116 |
| Price-to-Rent | 25.0:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.0% |
| Cap Rate | 2.6% |
| 5-Year IRR | 8.2% |
📈 Home Appreciation
| 1-Year | +5.0% ▲ |
| 3-Year CAGR | +3.9% ▲ |
| 5-Year CAGR | +5.6% ▲ |
| 10-Year CAGR | +7.4% ▲ |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (2.6%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 46118
Population: 4,340
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 46118
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Frequently Asked Questions
What approach is best for Clayton, IN real estate?
For Clayton, IN, careful cash-flow rentals with hands-on management is the standard investor playbook. The market structure makes it a reasonable default approach.
Does Clayton, IN make sense for an investment property?
Yes - Clayton, IN a 3.0/5 investability score. With $335K home prices against $1,116/mo monthly rent, the market delivers a reasonable entry point for new investors.
What are home prices like in Clayton, IN?
In Clayton, IN the median home value sits at $335K. Against the broader IN market, that reads as reasonable for most investors.
What is it like being a landlord in Clayton, IN?
Landlord-friendliness in Clayton, IN is landlord-friendly. Eviction timelines and lease enforcement are considered reasonable by most property managers.
What are vacancy rates like in Clayton, IN?
Vacancy risk in Clayton, IN is elevated. That supports predictable cash flow for typical rental holds.
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How 46118 ranks in Indianapolis-Carmel-Anderson, IN
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