Asking for help about a deal in Chicago

[Irving Rivera]

I’m looking to buy a multi family property in Chicago, more specific in East Garfield Park 60624. I’m asking for opinions in this area since the crime rate is High and vacancy rate is high as well. The numbers work and seems like I’ll be getting around $500 per door (cash flow) however I’m not familiar with the area and want to make sure is a good investment. I’m a beginner here. I would appreciate your feedback 

[Mason Bear]

@Irving Rivera do you live in Chicago/East Garfield Park currently?

If not, I would highly, highly recommend spending time there. I think a decent litmus test is that if you don't feel 100% comfortable walking in the neighborhood at night, you should avoid investing there. TONS of people don't follow that rule and have done very well, but I wouldn't recommend it for your first property.

I live in Chicago but don't invest here for the most part. That has less to do with crime (in the area that I live I don't see it as a big issue) and more to do with taxes and tenant-friendly laws.

For any area that is higher crime, you should budget for higher vacancy (and significantly higher vacancy if you don't set tight screening standards and have to evict a tenant) and higher repairs and maintenance.

Good luck!