First rental property tips

[Hamza Malkana]

I would like to buy my first rental property and I would like stay under 150k. I’m located in Plainfield. Since this is my first property I’d prefer for it to be within hour from me.

What tips do you guys have for me? What area should I look at? What type of properties should I avoid? Any tips in general would help! Knowledge is key right!

[Soh Tanaka]

This is just a general advice, and you have to adjust to your specific situation. 

Just know that IL laws favor tenant than landlord. Cook County is worse than other counties, and Chicago is even worse for the landlords. Done right, you can still make money. 

It's better to stick with a property that needs limited rehab, if any, than a property that needs a lot of work, unless you are not afraid to make mistakes and learn from it. 

Analyze properties everyday, and show it to experienced investors to see what they think about the numbers. 

A single family property probably will have the least headache, and you have a better control than condos. That said, buying a duplex/4-plex and moving into one of the units may be a good option also. 

Look for an investor friendly agent and have that person send you listings.

Think if it makes sense to move to a new house, and rent where you live right now. 

Best of luck to you.