Chicago Edgewater Condo Flip

[Amer Mallah]

My dad & I are trying to get involved in some flipping in Chicago. We have a condo in Edgewater on the lake, with a unit facing the lake. 

In the past year, I've seen two other units purchased for 100k-140k, rehab and sold for 270k-280k 7-9 months later. There are two more on the market in the 280-310 range. The building just had an enormous assessment which was for a rehab of the entire exterior of the building (including balconies), and the dynamics of that are what I think is driving people out and creating an opportunity for flippers.

We'd like to be on the flipper side of this - but need some advice and mentoring on how to do this properly. I've been listening to the BiggerPockets podcast for months, so I know this is a great community for guidance. My big challenge right now is funding the rehab - I'd like to borrow the money, do the flip and repay, but not sure how to get started in Chicago. Any help would be appreciated!

[Crystal Smith]

Originally posted by @Amer Mallah:

My dad & I are trying to get involved in some flipping in Chicago. We have a condo in Edgewater on the lake, with a unit facing the lake. 

In the past year, I've seen two other units purchased for 100k-140k, rehab and sold for 270k-280k 7-9 months later. There are two more on the market in the 280-310 range. The building just had an enormous assessment which was for a rehab of the entire exterior of the building (including balconies), and the dynamics of that are what I think is driving people out and creating an opportunity for flippers.

We'd like to be on the flipper side of this - but need some advice and mentoring on how to do this properly. I've been listening to the BiggerPockets podcast for months, so I know this is a great community for guidance. My big challenge right now is funding the rehab - I'd like to borrow the money, do the flip and repay, but not sure how to get started in Chicago. Any help would be appreciated!

 3 options if you own the condo free and clear:

• Refinance the condo & use the funds to renovate then sell
• Put together a package to present to private lenders showing how much they could make partnering w/ you to flip the property.  The package should include the After Repair Value, The cost for renovation, any holding & selling cost along w/ the profits.  Then start attending meetings w/ investors looking for deals & shake some hands
• Hard Money- Most hard money lenders we know won't lend against condos, but there's nothing for you to lose in doing some research & finding a lender that will do it.