Belleville, IL · Member since 2014 · 7 posts · 3 votes
9y
Hi,
I'm a realtor and investor in the area. A partner and I started buying about a year ago in the Metro East. We have 4 houses and a 4plex as long term rentals and have flipped two houses. I'm always looking for good multifamily (and SFR), but there isn't a whole lot of multifamily that goes on the market here. LoopNet is full of deals that have been there for a year and are mostly overpriced, as I understand is typical of most places. You can get pretty good returns on duplexes and single family, but you have to know the area as Belleville, Fairview Heights and Swansea can be spotty in terms of neighborhood quality. We were lucky to get a house in Mascoutah in a good neighborhood last year around Christmas for 106, put about 10 in it and it appraised at 155 and rents for 1400/mo. Those deals have dried up, as the area housing market improves and I've only really found undervalued stuff at lower price points. The forclosed stuff is being listed at 150 in that neighborhood now. I've yet to find anything in Shiloh or O'Fallon that fit my criteria and was undervalued enough to buy. On Ronald's point about the base, I'm in the Guard here, and with the various Commands here I think the base is BRAC safe for the foreseeable future.
Lender · Cleveland, OH · Member since 2016 · 33 posts · 23 votes
9y
i just came back from stl last week. i made great contacts with some people in benton park. i met with some investors with some nice investors. benton park is really hot there. i am working on a large development deal there but these guys had some cool 1-4 unit stuff
Investor · Swansea, IL · Member since 2016 · 29 posts · 20 votes
9y
Devin,
I am a local in Fairview Heights. Although I have not been able to find any deals that meet my requirements I have had a lot of success in talking to people and meeting many good people. My wife and I are in the process of saving up to be able to have a down payment available when talking up deals. I don't feel comfortable enough to make offers without having the money myself. One thing that I have found out is that Belleville specifically is very rental friendly. The homes are usually a 2BR /1BA and rent for $550-750 depending on location and amenities. If you can find a 3BR, I think that the rent goes up, but not much over the previously mentioned rents. Shiloh, FVH, Swansea seem to be more of the "new developments". I have yet to find a home that makes the numbers work due to prices being so close to market value.
I hope that this helps you in your search. My experience may be a small sample, but I do believe this is a fair evaluation of the area. If you would like to know more just let me know. I have a guy that has worked the area and does multi-family units. I believe he just acquired a 4 plex in Belleville. @James Syed. He may be able to help you more with the multi-family.
Rental Property Investor · Bethalto, IL · Member since 2014 · 319 posts · 103 votes
9y
Hi @Devin Haertling I am in Bethalto, Illinois(near alton--Fast Eddie's Bon Air--people always know this area from that bar. lol). I am about 30 minutes from Fairview Heights, and went to college about 10 minutes from there. This is a good area to invest--i have a 4 unit, and 1 SFH right now, and am happy with where i am. Prices are rents are a tad lower where i am that in Fairview, but i know a few people with multi families in fairview and Belleville, all do pretty well.
Shiloh has seen a TON of growth in the past decade, but the prices are going to be quite a bit higher there. If you do the research, i am sure you could do well in the area. I'd be happy to answer anything i can. I also have a good real estate agent who works with investors if you need a contact.
Investor · Granite City, IL · Member since 2014 · 658 posts · 301 votes
9y
The challenge with Shiloh is the base itself. I firmly believe it will survive any BRAC, but you can never tell. I thought the National Geospatial-Intelligence Agency was going to choose the Illinois side. That would have been a game changer. There is the new hospital being built down there and it is a very nice community.
Belleville, IL · Member since 2014 · 7 posts · 3 votes
9y
Hi,
I'm a realtor and investor in the area. A partner and I started buying about a year ago in the Metro East. We have 4 houses and a 4plex as long term rentals and have flipped two houses. I'm always looking for good multifamily (and SFR), but there isn't a whole lot of multifamily that goes on the market here. LoopNet is full of deals that have been there for a year and are mostly overpriced, as I understand is typical of most places. You can get pretty good returns on duplexes and single family, but you have to know the area as Belleville, Fairview Heights and Swansea can be spotty in terms of neighborhood quality. We were lucky to get a house in Mascoutah in a good neighborhood last year around Christmas for 106, put about 10 in it and it appraised at 155 and rents for 1400/mo. Those deals have dried up, as the area housing market improves and I've only really found undervalued stuff at lower price points. The forclosed stuff is being listed at 150 in that neighborhood now. I've yet to find anything in Shiloh or O'Fallon that fit my criteria and was undervalued enough to buy. On Ronald's point about the base, I'm in the Guard here, and with the various Commands here I think the base is BRAC safe for the foreseeable future.
Investor · Nashville, IL · Member since 2016 · 79 posts · 51 votes
9y
Shaun Downs
I completely agree with you that multifamily are completely overpriced in that area right now. I don't know if there is a bubble coming but if it pops I'll be ready to scoop up what I can.
Do you self manage or did you go with a PM?