All Forum Posts by: Forrest Williams

I was looking at Old Second National Bank, they seemed good. I've heard good things about Schwab too. I just want a bank that's near where I live (Bolingbrook).

Marquette lost a wire transfer worth several thousand dollars. While I was there one of the staff bankers was rude and started explaining to me how a credit card worked rather than answering my questions. He couldn't pull up my account info when I asked him to. Their mobile app can't cash the rent checks I get from CEDA. They eliminated a rewards program I liked. When I look for mortgage quotes theirs never measure up. I used to like them but they've really gone downhill. Mostly it's losing the wire transfer that sunk them for me. I'm sure it'll work out, but right now it's been a serious pain for something so simple.

One of the best ways to get into investing is to house hack. You buy and live in a house that needs some work, and fix it up while you do. When it's at a satisfactory level, you sell it and repeat, or rent it out and repeat. That's how I got my start. It's a great way to get your feet wet and learn some important skills. 

But how do you know what house is a deal? Talk to local real estate agents, lenders, and other investors. There are local meetups you can likely go to and people will be more than happy to share their thoughts and opinions. Read books on real estate investing. Read threads on BP.

As for specific things to learn- How much do items like cabinets and flooring cost in my area? What are my local covenants and requirements for electrical/plumbing/structural work? What rates do local banks offer and what loan is best for me?

And the most important question - what are your investing goals? Cash flow? Appreciation? That will help you narrow down what type of asset you want and where. Feel free to DM me with any questions. Welcome to BP!

I'm looking to change banks. Does someone have recommendations for good options in the Chicago area, especially in the burbs? I would like to avoid a big chain like Wells Fargo and use something like a credit union. Switching from Marquette. Maybe you hate your bank, I wouldn't mind knowing that too. Thanks to any responses.

There are lots of areas that match these requirements. Real estate (in general) appreciates over time, unless you're buying in REALLY terrible neighborhoods. I work primarily in the Chicago suburbs, have a two flat in one of them, and it cash flows incredibly well and appreciated about 30k in the last year. Whereabouts are you looking to invest?

If you can house hack the MFR, that's the way to go. Rent out the other units to randos and live with your soldier buddies in one unit. But if that's out of your budget, I would do the regular house hack. It's the best way to get started, in my opinion. I've done it several times. It teaches you so much about owning a house as well as managing tenants, what to fix and how, and the basics of investing you can't learn in a book or on forums.

Good call with the VA loan too, that's the best option possible!

You should be able to take responsibility for your tenants and be the one on the lease. I would advise you put everyone on the lease though. Otherwise legally the others could trash the place and you'd be on the hook if they vanished in the night. It would be easiest to all apply together in my opinion. What are you going to do if the landlord says no, you can't add new tenants?

I would not be keen to lease to someone who's going to let two unscreened tenants live with them. Yes, you may have screened them, but as a landlord I have no proof of that. And I'm not sure what your standards are, maybe you're fine with a 550 credit score for example. If you only want a student to live with you and screen out everyone else, that potentially puts ME at risk for a fair housing violation. Unlikely, but an unnecessary risk.

If you were fine sharing an apartment I would potentially consider letting by the room and putting my own tenants in the other rooms, however that is much more of a headache than renting out the unit as a whole. The best proposal you could make would be to have your roommates ready when you apply. If you make over 200k, you shouldn't have much of a problem qualifying, even if your other tenants aren't great.

What market are you in Daniel? If it has a local BP forum, post in there and you'll find some bites. And put it on your BP profile too.

Try to find some local real estate meetups where you can meet other investors. Do some research, get to know them, and you can make the right decision about who to invest with. The market is pretty competitive right now. If you feel like taking on some risk, there are still deals to be had but they aren't going to be in A neighborhoods.

Hi, welcome to BP! I would look into being a silent partner as part of a syndication, or expanding your range. Have you thought about out of state investing?

You can't BRRRR that well with only 30k, but you may be able to put a down payment on a smaller single family home in an up and coming NYC suburb. I am not that familiar with NYC's market, so that may not be a solution. A conventional loan would be the way to go if you pursue that. I wouldn't recommend private money for your first deal. Good luck with your journey, and say hi if you're in the Chicago area!