All Forum Posts by: Alex Fraher

Hi Corey and Scott,

FYI, I know of a value add 6-flat near Diversey and Lawndale that you might be interested in, let me know if  you'd like some more details.

Thanks,

Alex

Hi Adeel,

I'm an "in-house" sales guy for a mid/large sized development and management company and absolutely love using my experience helping clients invest as well. I don't think you (or anyone) should pick based on the brokerage but rather the broker's experience investing. Will send you a direct message but either way welcome to the community and best of luck on your journey!

Alex

Welcome to the community Ryan! I also grew up in the western suburbs and have been house hacking my way to a portfolio of 11 units. Right now I live in Humboldt Park but have a lot of first hand experience in those other neighborhoods as well. A good first step is to start working with a lender to get pre-approved but I'd be happy to meet up with you as well to talk strategy!

Hey Marcus,

I think a good first step would be to work with a lender and real estate broker to identify what types of properties you can target. I'd be happy to put you in touch with some of the lenders I've referred other clients if you'd like? Vacancies are primarily a function of location and conditions of the unit/building and it' price. It can be tough to rehab occupied units so especially as a newer landlord I'd recommend buying something that won't need a lot of work in the near term. Since you live in the south suburbs you probably have a better idea of which areas there are more desirable for renters but of course proximity to public transportation, restaurants, schools, etc can influence your ability to reduce vacancies. Excited for you as you begin this journey and I'd also strongly recommend reading the Millionaire Real Estate Investor by Gary Keller! Feel free to reach out anytime to discuss further :)

@Lisa Donaldson Sounds like you are living the dream! I'm also a big fan of Humboldt park and just bought a 4-flat there with a friend. We live in two of the units and rent out the other two. I think there's still a lot of appreciation potential in pockets off the Brown, Blue, and even Red Line but definitely need to be familiar with rental rates. 

I spent a lot of time trying to reconcile the exodus from IL and what I've been seeing in the market and eventually came to understand that while the population in Chicago is dropping the density within the desirable areas is spiking. The macro-trends of people moving towards cities holds true but the neighborhoods on the periphery are taking the biggest hits. If you are looking to invest primarily for immediate cash flow it will be tough to find a deal in the A markets in Chicago but I'm a firm believer that it's a great place to own over the long term. 

Welcome Hansel! If you are looking for properties that don't need a lot of work in some of the more desirable areas within Chicago it will be tough to buy a single or multi-family property for $350k. But there are a lot of investor friendly condo units out there and you could find one closer to the $250-$300k range. The more you put down the better the cash flow but I'm a big fan of house hacking and putting as little down as possible. The biggest risks financially would be that you buy into a condo association that issues a special assessment in the future or starts prohibiting rentals. Obviously there's a lot to consider and I'd love to discuss further with you!

Hey Mark,

When building my portfolio we felt comfortable with a large umbrella insurance policy instead of forming an LLC. My partner and I recently had to form an LLC transfer a few units into that entity so that we didn't own over 10 units in our personal names for financing purposes. Regarding your Ohio property if you are confident in your ability to sell it at a certain price I would just give the tenants an option to purchase it first and then sufficient notice that they can find another place to live. It's obviously a little more nuanced than that but sent you a private message and happy to discuss further!

Thanks,

Alex

Welcome Kevin! I own a few properties along the blue line and have loved seeing the prices appreciate but it makes it difficult to add to the portfolio. There are always more deals on the horizon but they seem to be .7 miles away from the blue line instead of under half a mile. Would love to connect and swap goals and strategies!

I used to work in condo association management and used KSN Law for those types of issues. They were experienced and responsive