Newbie on Chicago real estate investing

[Matteo Foglieni]

Hello,

I am 30, living in Chicago, with a W2 job (which I love), and on my way to start investing in real estate.

I have $50K saved. Currently, I am focusing on learning as much as I can on rental property via podcasts, books, forums, and blogs.

BP has been helpful on this.

I don't hear many people talking about buying condos as rental property. HOAs might be difficult to deal with but, to me, they look easier to manage as long as I find the right deal. Am I wrong?

Investing in SFH seems the right move for a newbie. Will my budget be suitable to overcome a conventional 20% down and rehabbing costs in Chicago or burbs?

I understand that getting the first couple of deals creates momentum hence I expect nothing more than a minimum cash flow or breaking even for the first year.

Thank you for the help

Matteo

[Chris Winslow]

Hey Matteo- That’s awesome that you are wanting to get started in real estate, you are definitely in the right place and it sounds like making the right moves for learning. And also congrats on the $50k saved that is an amazing start!

You nailed it with condos on the HOAs. If you do end up going that route it might be a good idea to connect with somebody that is doing that locally and make sure you have all the watch-outs in addition to HOAs.

I would highly highly recommend starting with a small multifamily (2-4) unit and a low down payment (FHA or other) loan, that way you can save capital for the rehab or next property.

Connect with @John Warren -best realtor team in the area, it’ll be a huge help