All Forum Posts by: David Stefanovic

John,

Northwest Chicago. I have an apt that needs painting near Foster and Cumberland.

Hi,

I normally paint my own apartments for rentals, but due to time constraints, won't have the time to paint an apartment before July 1. Can anyone recommend me a good painter that is very affordable?

Thank you!

Welcome to BP! Positive attitude and determination is everything and will help you be a successful REI. Good luck!

Congrats Robert! Very nicely done. You came out with a profit on both flips and that's what matters. Especially since these were your first flips. Your profits will vary from flip to flip, but eventually you will hit a home run and I'm sure it will pay off for you soon.

Sid, your points are valid and definitely the rise in property taxes and the effect it will have on the value of properties and growth of the city may very well hurt RE investors in Chicago and Illinois down the road. There is only so much we can control. However, what I've always done and will continue to do is challenge the assessments on my property taxes. Hire a good attorney that specializes in this area and they should be able to reduce your assessments, thus lowering or prevent your property taxes from going any higher. It's worked for me where I was able to lower my property taxes and in the same time be able to increase rent due to demand in the market.

As for the cash that you are sitting on, I would use it for deals such as short sales, foreclosures, and other deeply discounted properties. This way you get the most out of your cash where you know for certain you won't lose equity. Other deals that may not be discounted, but make a great or smart investment at a fair price, I would borrow cash.

In my experience, I personally would invest in the better area. Cash flow as well capital appreciation should be greater over time. You also get more quality tenants in better areas.

Everyone's situation and goals are different, but I would personally cash in on the equity ($400k plus) and use it to buy a bigger investment property that would generate more cash flow. I have a similar situation with my duplex. I believe it's appreciated much in value where it may may make sense to sell it and use the equity to buy a bigger rental property that will generate more cash flow.

Yes, my regret is not starting at an earlier age! Bought my condo when I was in my mid-20s to live in, but didn't buy my first investment property until I was 32. I was investing in the stock market between that time and did well, but realize now that I should have also invested more in real estate. It's also all about market timing and I feel now is a good time then any to be in real estate. So start now and continue to learn everything there is to know about real estate. It will pay off for you in the future, while your still very young!

2 bedroom / 1 bath condo with balcony in Jefferson Park (Northwest Chicago). Includes 1 parking space. Rented for $1,250/month. Monthly assessment $245.23 (includes cooking gas, heat, water, building insurance, exterior maintenance). Annual property tax $1,927.22 (2013).

2 bedroom / 2 bath condo with balcony in Mount Prospect (Northwest Suburb). Includes 2 parking spaces. Rented for $1,000/month. Monthly assessment $224.00 (includes water, building insurance, exterior maintenance). Annual property tax $1,627.81 (2013).

Both condos are updated and well maintained and have excellent tenants with leases. Tenants were properly sreened. Never any issues with late or no payment of rent. Well run associations with no special assessments. Condos are in prime locations making it very easy to rent!

Asking $275,000 for both condos.

Please contact me for additional information and details. Thanks!

Welcome to BP! So much you can learn here as well as give your own personal insight and experience!