All Forum Posts by: Dan Nelson

George Rieger 

North Branch Inspection

Good luck!

Like most of that area, it is rapidly gentrifying.   Some streets are better than others, but there's no question the area has changed dramatically and there are a lot of opportunities there.  This article is from a year ago and more true today:

http://www.chicagomag.com/real-estate/June-2019/What-300000-Buys-in-Little-Village/

Thanks this is great information.

Harder to get a better response than this one @John Warren!

Hey Congratulations!   It looks like you are off to a great start!   There are so many ways you can do this and it really doesn’t matter which option as long as it works for you, you are consistent and keep an eye on your process. 

Here are some options you can choose:

1) set up a business was account that has zelle.  Chase is the easiest but doesn’t have to be chase. 
2) Require your tenants to pay electronically to that account.  For me this is a requirement. It takes time to get a check, get cash and deposit it. 

3) If you can charge ten for laundry, definitely do it. You can always rent an apartment without laundry, but having it in the building makes it harder to leave. 
4) Review the leases.  Stick to the leases.  If it says you cannot smoke, don’t ever let them smoke.  If it says they cannot leave things in the common areas, do it.  You can make whatever rules you want that are legal, but either they are rules or they aren’t. You can be more lax about some things but be consistent with everyone.
5) When looking for new tenants, call their employer. Also call their last two landlords.   If you don’t want to do this, pay someone to do it.  The quality of your tenants are what will have the biggest impact on your happiness. More than money.   

Good luck! 

It is really up to you and what you want to do. I have a forever home and always borrow against it to buy other homes.  From your numbers this would be a no brainer for me.  It sounds like you made really savvy decisions and you are now in a position to benefit from it.  Most people don't. They just upgrade and never gain wealth.  This is how it starts. Good luck whatever you choose to do.

I agree with @Henry Lazerow, it has to cash flow.  But if you can make it work, I cannot recommend it highly enough.  Then in your new house after you get equity, refi out and buy a 3rd.  Then Refi out of that and buy a 4th.  And on. And on...

I agree with @Bassim Audi and @Peter Halliday. The best way to learn is to hire a GC and work with them.  Whatever you lose in paying the GC is worth the pain and headaches and costs you will have along the way until you learn the ropes.

Hi Noah, those are two separate things depending on what you are trying to achieve.  I use a CPA who is a lawyer to deal with my finances, provide advice, and manage my taxes.  I used different attorneys to handle real estate transactions.  What specifically are your needs?

The vast majority of lenders are focused on refinancing of single family homes because of the low rates.  Due to so many people choosing to not pay their mortgages, lenders are skittish about investment properties because they are riskier than a mortgage on your home. That being said you can still refinance a rental property. The rates right now may not be the best that you can get. And they fluctuate wildly based on the day of the week.