Looking in Chicago to purchase a MF

[Tim Christian]

My name is Tim I'm raised in Chicago I visited Tampa during Super Bowl 09' and never left. I met a M broker from New York and tried my hand at being a loan officer. I left the loan business to produce a motion picture and have been doing well in that business. I'm now wanting to find a multi family in Chicago, in a safe area. I plan to live there for a year and find something else while renting. I am eligible for first time buyers, w2 decent income, and excellent credit. Lake View is idea but wayyyy too expensive for this first purchase, I am patient and want to find a deal by summer 2016. This site is a great place I'm enjoying learning and invite any advice from experienced investors and banking professionals that can lead me to buying this first purchase intelligently  and aid in my building a solid portfolio. Thanks 

[Nnabuenyi Anigbogu]

Hi Tim,

Welcome to BP. You will definitely find some good advice.

I just wanted to point out that if your budget is in the 150K range as you mentioned, then it will be very near to impossible to find a property in any of the areas that you are stating you want to live in. Even in the good cheaper outer neighborhoods of Chicago (avondale, Albany park, Jefferson park) you will not find a good multifamily for less than 300K. Even a fixer upper can run 250K and above for a 2 flat. So your budget will put you farther south or farther west which are not the best neighborhoods to live in.  The areas you mentioned around Depaul or in south loop you can barely even buy a condo for 150K much less a multi.

If you W2 income is decent and you have at least 15K saved you could go FHA and that can increase your purchasing power up to and maybe over 400K. (3.5% of 400 is 14K).