All Forum Posts by: Kat Malkowski

@Chris Williamson - I have not yet explored this strategy. Still would be interested one day, but at current, focusing investing in other "traditional" methods. If you end up pursuing horse boarding, I'd love to chat about your experience with it. And of course, I will share the same if I ever do.

I recently had a client I've known for years call me and mention he is looking to fully fund some flips in return for splitting the equity. I'm wondering if anyone can give me an advice (or better yet, an actual sample deal) on what to include and how to prepare/present a deal to him. TIA!

Okay - good to know that some hard money lenders would entertain approving funds for a deal not yet under contract. I just didn't want to be wasting their or my time. I am aware that some of my own money will need to be used in order to secure such a loan, but I definitely would not have the full cash amount of a property sitting in my bank account to show proof of funds for the entire transaction. Thank you.

I've often heard the phrase, "Find the deal and you'll find the money", but how does one get around putting an offer in on a cash only deal when you personally don't have the cash? Especially in the hot market I'm looking in, low price, cash only properties go under contract pretty quickly. I don't have the luxury of having private investors at the ready for whatever deal comes along since I don't have an established track record yet. I am likely looking to use hard money as my source of funding, but since hard money is usually based on the deal itself, I'm assuming you have to secure a deal before even submitting a request for funds - but do you actually have to something under contract to apply for hard money? Can I apply for hard money using the information for a potential deal that I have not yet made an offer to see if I will be approved for the requested amount, or do you have to be already entered into a contract of said property in order to get approved? Additionally, should I even bother submitting an offer on a property without proof of funds being submitted at the same time, or will the seller likely reject the offer without seeing the cash on hand up front? Also, does money in a 401k count as "cash on hand"? Any advice here is helpful. And that advice might simply be: don't go after cash deals and look for ones that offer financing options.

Just looking to get opinions on what would be the preferred route to take for a 1000 sq ft single-family ranch home - one with three small bedrooms and one bathroom (which is the current set up), or converting it to two larger bedrooms with two full baths (specifically, creating a larger master bedroom with a master bath). (Note: There is no basement so no option to add space that way). I am considering either rehabbing and selling, or rehabbing to rent out - is there one set up that would work better for one option versus the other? Obviously every market is different, but if anyone wants to share their personal experiences or preferences!

Thanks for sharing your experiences! As I probably should have done from the start, I finally called up the city to get some guidance on how they handle things. Luckily for me, she said all I need to do is pay $100 and sign a form to acknowledge I'm assuming the property with these violations and must have a clear re-inspection done prior to sale to a homeowner. She said there is a 60-day window to have the work completed upon closing, but that timeframe is pretty much meaningless because you get an additional 6 month extension every time you pull a permit. To be honest, I'd much rather purchase a property with a municipal inspection completed prior - now I know exactly what needs to be done to get the home up to code and can better estimate repairs.

Looking to flip (or possibly BRRRR) a property in the Chicagoland suburbs, but it has failed many things on its municipal inspection (really no surprise - it's a highly distressed property). Here is my question to those who have experience in purchasing a property under these conditions - if a city performs an inspection prior to the house being listed and it fails, is an investor able to buy the property prior to repairs being performed with the understanding that these issues must be repaired so it can pass the inspection before selling it to an actual homeowner? Or do all repairs need to be corrected before any sale of the property, even to a flipper? In my case, there are major issues like roof replacement, siding, mold remediation, etc. and the house is vacant and in very poor shape, so there is no way any of these violations will be taken care by the seller.

This is taking place inside the McDonald's correct?

Are there any disadvantages of being an investor while simultaneously being licensed real estate agent? I subscribe to the notion that being an agent is a great advantage for many reasons, but just seeing if there is any downside.

Welcome to Chicagoland! I've lived my whole life here (in Dupage, Cook, Will and Kane counties). It's a very diverse market - you can find just about anything for any price depending on what town you want to invest in. House hacking is definitely a great way to start! Wish I had known about it years ago. Let me know if you have any questions about the area!