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Updated almost 7 years ago,

User Stats

18
Posts
5
Votes
Quamal Burton
  • Real Estate Professional
  • Chicago, IL
5
Votes |
18
Posts

What should I do for my second property

Quamal Burton
  • Real Estate Professional
  • Chicago, IL
Posted

I recently purchased my first property in December. It is a 3 unit that I'm house hacking. Mortgage is about 2k and my gross rents are $2400 a month. I used a first-time homebuyers conventional loan. I live in a C+ neighborhood. My original plan was to house hack my way to financial freedom but, Chicago's market is one where you'll only receive decent rental income if you invest in warzones. Its merely impossible to house hack in a good neighborhood and break even on your mortgage from rental income. The B+ and up neighborhoods are affordable when you're purchasing a condo, townhome or single-family. I was looking to purchase my next property soon utilizing the FHA loan. The responsible, goal-driven me says suck it up and purchase a multi-unit in a sub-par neighborhood to get the rental income but, another side of me is saying put my comfort above all and purchase a condo or townhome in a great area and come back later and purchase the rentals in warzones for decent rental income. What would you do?

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