All Forum Posts by: Andrew Holmes

Burbank is not that tough just that you don't want to be on their bad side. Evergreen park is tough specially if you don't follow their very specific instructions. 

Great area for both flips and rentals.

Andrew.

@Tushar Shah

Consider the following: Take a logic based approach same as you would if you want to be an doctor or engineer. You set a goal. Then wrong backwards all the way to high school to college. Map out a path first. I wish I knew. You can course correct as you go but in Chicago there are lot of investors to model after. 

1. What is the Goal: 5 Years From Now. 3 Years From Now. 1Year from Now 6 months from now all the back to today. 

2. What Strategy do you intend to use? Wholesale, Flip or Rental Portfolio?

3. Why use a particular strategy? Does this work in a up market or down? Who has it worked for and can you actually verify results? 

4. Based on your Goal find someone who actually has what you want a role model. Do not just believe what people tell you. Do you own research via public records and properties they own.

5. Study that they do. Look up all the properties they claim to own.

6. Now look at what they are buying and where. What price range? What is the turnaround time?

or What rental model they use etc. 

7. Just because you live in Downtown don't run to area right around downtown. Find the ideal market conditions to use your strategy. If you try to go and do thing in Logan Square and the typical hot market as a new investor you will run into a lot of headwind. Try to find a pocket close to a hot market not the hot market that everyone already knows.

Go out to the local reia groups. We have a hell of a lot of them. Most will not be doing anything. Just go don't say a word just observe. Specially be carefull of the people who talk the most. If you do that research you will soon start picking up what to look for and how to find the real investors in the crowd. If you want an investor friendly agent in the South call Frank Montro or out northwest call Joe Mueller's office (Tanis Realty Group). 

Wish you the best. 

Andrew Holmes. 

@Kurt K.

Depending on where want to buy. Call Frank Montro for south side or south suburbs. 

Ryan Smith for Western suburbs from Coya Smith's office. 

Might also want to talk with Secure Pay One - Linda is the owner she is awesome. 

Talk to Bobby Leach at Leach construction we have used him for some of our projects and very happy. Tried to post his info but I guess that is not allowed send me a message I can share his info if you need.  

@Jackie Badiali

Ms. Jackie: The best group right in your area is at Tannis Realty run By Dan Clarton and Joe Muller. Dynamic guys and you will learn a lot. They do a lot of deals. Look up Tannis Realty on Algonquin Road they have a meeting everything 2 weeks. It's an action oriented and accountability group. Say Hi to then for me if you go and tell them Andrew Holmes says hello. I am sure you will enjoy it. 

@Meghan McCallum

The areas are referring to has 2 pockets. Cap rate is going to vary greatly in terms of the pockets. Some of the pockets are undesirable based on our standards but you get a high cap rate. Also depends on your strategy in terms of buying. If you buy in the MLS if will be low because your all in cost is high. Yet for some of the off market deals the rate of return is very good. Just be careful what pocket you buy.

@Sarit Pollak

Ms. Sarit: From you post: mix of high ROI, low crime and medium property taxes.

Just a suggestion add as an ideal goal of 25% equity after rehab as your ideal goal. 

Example: All in cost of $ 100,000 Real appraised refinance value not inflated value of minimum of       $ 130,000.

In todays market you can still find area in chicago suburbs with reasonable taxes, very low crime and close to 20% cash on cash return with equity and stable communities. I know a lot of investors are crying about inventory but still there are a lot of homes that will fit that model. Please do not buy anything with debt coverage ratio of less than 1.33 minimum. 

Ideal number should be 75% formula. 75% of your rent should cover PITI including any association fees. Stick to Single family properties as much as possible.

Go to Belmont Bank and Trust. A smaller bank like them is a better option than some of the large institutions. 

Try Ecomony Disposal - Ron is the owner nice guy. You have to have your guys load the dumpsters