Chicago 2 Flat Turnkey Analysis

[Alex Heifetz]

Hello BP!

I am a first-time out of state turnkey investor currently in talks over this South-side Chicago 2 flat in the Hyde Park township (60637 zip code).

Could anyone who actively invests in the are please weigh in? I would like to hear some impartial opinions both on the legitimacy of the numbers and on the prospects for long term appreciation. Macro economic indicators suggest that Chicago is a ripe opportunity, but I want to be sure that long term gains would percolate down to this region of the south side.

Alternatively, could anyone who has had positive or negative experience with Chicago turnkeys please offer your thoughts?

To generate these figures, I combined the seller's proforma numbers with research of my own. I have also increased the seller's vacancy, maintenance, and property maintenance estimates from 4%, 4%, and 8% to 6%, 6%, and 8%.

Thanks!

[Shara Carlton]

Hi @Alex Heifetz, I have to agree with @John Hauser...and not just because I'm a wholesaler : ) I live on the south side of chicago, close to where your property is actually. The reason I agree with Hauser is because, I live in the greater grandcrossing area and it is not the part of "Hyde Park" that outsiders think it is. Its ok, but not worth an over 100k investment. However, between the 5000 and 6700 blocks of Cottage Grove to Lakeshore Dr., its definitely worth that type of money and will appreciate greatly. Like others said, prosperity in Chicago varies from block to block. A property on 79th and Wood can be worth significantly lesser than a property on 89th and Wood. Southshore is a great area, but on certain strips, like 71st and Jeffery, you will definitely run into some rough patches.

If you are looking in the Chicago area - southside, I can surely be of help. Don't hesitate to PM me.

Happy Investing,

ShaRa