Househack in Chicago

[Garfield M.]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $550,000

2 flat in McKinley Park with nonconforming basement. Turn key. Coin laundry in basement.

What made you interested in investing in this type of deal?

Great location, upside appreciation potential.

How did you find this deal and how did you negotiate it?

MLS, offered asking price first weekend of showings after seeing the numbers worked for me.

How did you finance this deal?

5% down conventional no PMI

Down payment and closing cost - about $38k after seller credit

What was the outcome?

Good cash flow when move out $1000 a month

Lessons learned? Challenges?

Didn't realize electric panels had breakers installed to boxes with no rhyme or reason making it difficult to have tenants pay electric bill. Ended up renting the units to travel nurses so utilities were included, this allowed me to live for free. There is an initial investment, the expense to furnish the units should be conbut if you plan correctly and watch FB marketplace during moving season you'll find some great deals on furnishings. Buy the things in advance so turnover is easy and quick.