Looking To Buy Help!

[Thomas McNicholas]

Hey Guys!!!

I'm a young guy from Chicago and I landed a great job now I'm looking to buy a house in Chicago 60631 or 60646 area code... I'm not sure If I should buy a house or buy a 3 flat and rent out the 2 other units. Also, I thought about buying a foreclosed home but really don't no much about it... I'm single but not sure what I should do.. any help would be great!

Thanks!
Tom

[James Vermillion]

Thomas,
You are asking a question that begs many more questions before anyone would be able to help you very much. Here are a couple I can think of:
1) How much money are you looking to spend?
2) Have you been pre-approved for a loan?
3) Are you prepared to be the property manager or higher a property manager on the other units if you go the 3 unit route? (keep in mind things like leases, evictions, late rents, damage to the property, 2am phone calls about water leaks, insurance, etc).
4) What are your goals? How much cash flow would you like to see per month?
5) Have you researched rental properties? (Do you understand expenses, cash flow, etc)

These are just a couple of the things you need to be thinking about. If you are mainly looking for a nice home for yourself, then I would stick with a SFR. If you are looking for an investment property you should start researching your market, learning about foreclosures, find a great realtor, etc. Just remember, it is not as easy as buying a property, renting out the additional units and making money.