All Forum Posts by: Benjamin Cohen

Looks like an interesting deal! I'd love to see some more information on this property.

@Jean-Claude Governale, that makes sense. Thank you for clarifying.

hey @Jean-Claude Governale, can you explain to me how you got the 14% cap rate with the values you provided. I got the following, let me know if i'm missing something here:

$185k (purchase price)

Income:

$3,300 gross rent per month

($900) for mortgage P&I per month

($100) landscaping per month

($192) taxes per month

($100) insurance per month

($528) vacancy/repairs/capex per month

=cash flow of $1,480 if renting out all 4 units, $665 if you're house hacking

Annual cash flow = $17,760 if renting all 4 units, $7,860 if you're house hacking

All Units Rented Cap rate = (annual net income) / (current purchase price) = $17,770/$185,000 = 9.61%  

or 

House Hacking Cap rate = $7,860/$185,000 = 4.25%

I'm currently renting an apartment in Lakeview where my monthly bill includes water, trash and gas all based on the size (sq ft) of my apartment. 

Hey everyone!

My name is Ben and I'm new to the Chicago area. I've recently gotten extremely excited about real estate investing, listened to a majority of the podcasts, read my way through a lot of forum posts and books and have attended a few REI events to help start developing my professional network!

My two main goals are to begin by flipping houses (for the capital) then move my way to the BRRRR / house hacking strategy for longer term investments / cash flow. The plan for the flips are single family dwellings and multiplexes for the BRRRR's.

I've saved up a tidy sum of cash and have great credit, so I don't see getting a loan to be a big issue, so the only question I have now is where in Chicago has the best upside potential? I keep discussing this vision of mine with realtors who immediately ask me which area's i'm most interested in. As I am new to the Chicago area, I was wondering if anyone had any recommendations / suggestions for good areas with upside potential (looking for a price range between $80k and $250k). Please let me know if you have any advice or recommendations!

Hey everyone! 

My name is Ben Cohen and i'm new to the Chicago area. I've recently gotten extremely excited about real estate, listened to a majority of the podcasts/read a book or two and have attended a few REI events to make some amazing connections!

My two main goals are to begin flipping houses for the capital and do a BRRRR's / house hack a property for the cash flow. My focus for the flips are single family homes and my focus for the BRRRR's are multi-family properties.

With regards to cash I have quite a bit saved up, so getting a loan won't be an issue, the only question I have now is where does the market in Chicago look best?! I keep discussing this vision of mine with realtors who immediately ask me which area's i'm most interested in. As I am new to Chicago I was wondering if anyone had any recommendations / suggestions about areas where you see upside potential (looking for properties ranging from $80-$250k). Please let me know if you have any recommendations!