Updated about 4 years ago on . Most recent reply
Best Chicago Neighborhoods for Appreciation
I'm a seasoned investor but new to the Chicago area. What neighborhoods do people believe will appreciate the fastest in the next 5 years?
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You hear the same neighborhoods ad nauseam: Little Village, Albany Park... and then someone chimes in with something they saw about avoiding "dangerous" areas based on some low-hanging fruit they came across online. Much of the South Side is solid, but it's definitely not for parachute investing. That said, you don't need to split any atoms to do okay.
A better way to approach Chicago is by starting with single blocks, or having a knowledge of the city's design - which actually takes some legwork and an appreciative eye. For example: Humboldt Park is big! Can you afford to be east of California, or should you stretch it back to Kedzie based on your budget? Maybe even Homan?
East Garfield Park has a reputation as a "permanent" up and comer, but do you plan to Air BNB or just try the standard rental market? That makes a big difference. Are you on one of the one-way streets - Washington, Warren - where the housing stock seems to be a bit more charming? The area very close to the Garfield Park Conservatory is a gold mine, but I would definitely not lump it in with some of the blocks between Homan and Kedzie, from Lake Street down to the expressway.
If you get familiar with the Chicago Boulevard System, you'll know that there are stately homes along them... and that immediate areas near Douglas Park, Marshall Square, Columbus Park, and a few others are not the same as the neighborhoods that surround them.
Buying near an L station is a good idea, but know your subway lines! The Green Line has a bit of new commercial activity around the shuttered Racine Station, and I wouldn't be surprised if that station is re-opened in the next 10 years. I love love love the area near the Halsted station, but would be reluctant to invest near Ashland, even though it's close to a major police station. The Morgan station transformed that little corner really quickly, and I wouldn't be surprised if there were 1 or 2 more stops added to the Green line in coming years. And so on.
Do your homework.