All Forum Posts by: Anant B.

The great location in Evergreen Park, near hospital and 95th st. Ideal for investor. Being sold AS-IS. You can build to your own taste.

Address: 2624 W 98th Pl. Evergreen Park, IL 60805. Large 6200 Sq Ft Lot. Plenty of space. Asking Price 57K or Best Offer.

I have a need for an assessment from a Structural Engineer for one of my properties. Please contact me if anyone has that expertise. We can discuss more.

Thanks

Anant Bardhan

A Great Flip Opportunity in a desirable location in Chicago Land

This is truly a fantastic flip opportunity in desirable Brookfield Village in Illinois near downtown Chicago.

Price is @ 175K, ARV 460K+

Village Approved Architectural drawing for a 4BR /3 bath Plan ready, just pull the permit and start the rehab as soon as you close!

Internal demo done and new 200amp service line with new panel installed!

Serious cash buyers only with Proof of funds needed for showing.

Going to be gone soon.

Thanks @J Scott. for responding. I do not have any reason not to believe in the numbers you have quoted for Chicago area.  I am pretty much sure my project cost would fall in the ranges you have indicated. $30 - 80 / sf is quite big range and project cost would vary as much as 3 times from lowest estimate. The same goes for adding a Sq footage. I also understand why those variations are wide. I need to work with a number probably with a 10-15% variations so that I can budget appropriately. Thank you again for sharing your thoughts.

Thanks to everyone for responding to my questions. I understand the some variations from different members based on their geographic regions they operate in. I was trying to get an idea of the estimates for Chicago west suburbs. 

I am an real estate investor primarily operating in the markets around Chicago suburbs.  I am trying to find out from experienced forum members if they have some kind of data consolidated from their actual works the cost metrics ($/Sq Ft) for a gut rehab project with possibility of extensions on the second floor for flips?

I understand this is not an easy task and may depend on many factors including geographic locations and conditions of the property. But I also understand if you have done several such projects, metrics tend to average out to a more reliable estimate predictor with a reasonable limits of variance.

Any help from the experienced members would be very much appreciated.

I am currently looking for an experienced GC who can handle a large rehab project near Chicago West Suburb. Must have experience in tear down projects working with Architects and Village for permits. Must be licensed and bonded. Contact me for further details.

I am new to cook county voucher program. I am posting this message to get some information on how the program works from a lot of seasoned BP folks here.

I have a 3BR / 1.5 Bath Rental Unit in Cook County targeted for a Section 8 Tenant. Based on recently published 2015 Fair Market Rent Standards in that zip code, rent for a 3 BR SFR unit is $1355.00. What I am not sure is whether that includes utilities as well. There is a separate utility allowance standards as well for different size units.

What I am told by a friend of mine, is that rent includes utilities. Now based on the utility allowance sheet the utilities for 3 BR SFR is about $250.00. Since I indicated in the HACC application that all utilities to be paid by tenant they would deduct the utilities from the total rent. So they will approve about $1100.00 for rent alone for this unit which is short fall of $500.00 from what ($1600.00 pm) is in the lease document that I submitted along with HACC Application.

Out of this based on income of the tenant a portion will be paid by the tenant - typcally about 30% of income. So if tenant's income is say $1500.00 per month about $450.00 will be the responsibility of the tenant out of approved rent of $1100.00. That means what voucher program (HCV) would pay landlord is the difference, i,e $650.00 pm.

Now that means tenant will have to pay this additional $500.00 over and above what he / she will be paying per voucher program. And this additional payment cannot be part of any documentation and the lease that is submitted to the HCV program. If the tenant decides not to pay that additional $500.00 there is no legal recourse whatsoever. 

Is that how it would work if rent indicated in the lease is more than what voucher program will approve? Isn't the tenant bound by the agreed upon rent amount as indicated in the signed lease document? Or is there any other document like lease addendum that I will need to have him/her sign outside of the lease agreement? Is that even legal?

Any help would be greatly appreciated. 

Great posts and discussions in this thread. Thanks @Account Closed for alerting. I am currently going through similar exercise myself for smaller apartment buildings. I can't seem to find that numbers really work for smaller Apartment building investment. And it's a lot more hassle and work for multi-unit apartments. See my posts yesterday at http://www.biggerpockets.com/forums/432/topics/191...

This is good feedback for starters like us.

Anant

Thanks Erik for sharing your insights into apartment/multi-unit investing. It gives me a different perspective in looking at and understand the numbers in evaluating apartment deals. You are spot on in determining the value of multi-units based on NOI and cap rate. By that measure I should not be spending more than 70K in rehab considering my NOI is only about 19K and cap rate of 10%. Even then my Cash Flow numbers don't cut simply because (A) even after renovation in that are (for first building) I can not expect a rent increase as there are similar units in similar buildings (quite a few of them) are renting at 800 - 850 for 2BR units. (B) In this area all utilities for tenants are included in the rent, meaning owner has to pay for heating, electricity, water and sewer, garbage disposal which is substantial. I don't know how much control you have controlling these costs. My guess is probably very little. On top of these two you have to account for management fee, vacancy and reserves & maintenance.

In this particular case as much as I want to contain the rehab cost, I still have make them livable. And all 6 units require extensive work everywhere. Even 70K rehab estimate may fall short. I will pass it anyway.

Again thanks for your inputs. Really appreciate it.