Investing Across The River

[Nicholas Richard Ray]

Hey BP,

I've been thinking recently on a topic that surprised me when I realized I had kind of thought this way my whole life and that is - going across the river to Illinois.

To be more specific, I grew up in O'Fallon. So a decent drive from Illinois hence why I likely haven't been there much or know much about it. But even further, it was just something my mind never even thought about as if it was just too far and mysterious to know about. 

Now thinking of investing, are there any areas nearby across the river that anybody looks into? I'm well aware East Saint Louis is gonna be a no-go for most all investors. Any surrounding areas that we've heard good things about? Also, does it affect us in a different way by owning a property in another state as far as taxes go? Landlord-tenant laws and construction laws are a must to check when moving over state lines of course.

Let me know what you guys think!

[George Skidis]

We have been buy and hold landlords in Cahokia Illinois since 1993. Our lease says the tenants are responsible for water, sewer and trash. That does not mean they pay them.

Alton IL now puts the water and sewer in the landlords name. That is ok for new leases but existing leases suffered.

Belleville prices are low in areas. The problem is unless you are the owner occupant everything involving a trade must be contracted with a city approved and licensed firm. You can paint and do minor things but anything requiring a tradesman the prices go up. They also inspect BEFORE you buy so they can catch you doing it yourself.

Although I have a Belleville address I am actually in the county. I would not buy in the city unless it was a no brain flip where money could be made.

O'Fallon, IL is a good market as they are close to Scott AFB. Pretty much anything east of Illinois route 157 is a good move. East of 157 you are up on the bluffs and no flood insurance is required.

Speak Spanish? Fairmont City and State Park are highly concentrated Spanish Speaking areas.

Good Luck and Good Investing.