All Forum Posts by: Stefanie K.

Sorry, I forgot to add I am looking for someone in the Chicago area!

I own 2 condos in the same building (~$150K value each) in Logan Square, one is financed through a local bank that sold the property as a foreclosure several years ago and the other we paid for through a HELOC on our primary residence. Owner occupancy is not yet to 50%, we are shy a couple of units. The lender I work with can't do the refi until it's at 50%.

The local bank is super annoying to work with and is an ARM that adjusts in 4 more years. We'd like to get them both into a conventional mortgage.

Anyone have leads on a bank/broker who would work with us under this circumstance and still offer competitive rates?  I think commercial loans would be an option but I don't really want to be in the 6%+ area.

@Ann Folan Great info...any gut reaction/experience with Ward 1, Moreno's ward?

@Robert Los @Weston Harding @Ray Harrell

@Brie Schmidt

Thanks for the input so far. My zoning is currently RS-3 which is "Detached single family homes and two-flats." So, does that mean I can rebuild with a 2 flat but if I want to increase to 3 units, I would need a zoning change? In practice, how difficult is this? Developers do it all the time (I get the legal post card notices in the mail and constantly see the "cookie cutter" 3 flat condos going up everywhere SFH used to be) so I know it's possible just not sure timeline, cost and politics to make it happen.

I currently own a pre-fire 3 flat (aka VERY OLD, 100+ years) in a very desirable neighborhood of Chicago and when we purchased it, we purchased it for the land value (tear downs all up and down our block). The house is in good shape for it's age and we did some remodeling to it a year ago and currently live in 1 unit and rent the other 2. Our goal has always been to find a "forever" multi-unit in the city but the more I am thinking about it, the more I am thinking about the possibility of demoing our current 3 flat and building a multiunit, exactly how we want it, on the land.  I don't have any experience working with an architect, financing a deal like this, pricing it out or finding the right contractor to do the work who is also familiar with Chicago building codes, expediting permits, etc.   This wouldn't be something we do for 5-10 years but want to start exploring if this is realistic and the right plan.  

Has anyone gone down this road, specifically in the city of Chicago, who could point me in a direction to start getting some information about what it would really take do to this?    

@James Canoy  As other have said, it gets easier but I ALWAYS, still to this day, am a bit anxious and nervous when I am doing a deal.  I think this is a very healthy emotion...it tells me I have really thought about the deal and understand the risks of the deal.  I think people that don't have a healthy dose of this are probably not being honest with themselves about all the risks and only looking at the upside and rosy side of the deal.  It goes away once you start making some money and understanding the property once you own it :)  Embrace the feeling but still work through it and do some deals!

@Vishal P. I think this is very dependent on your price point...if you are trying to go for more premium rental prices or bump up the rent, I'd wait until it was complete and "putting it's best foot forward"...a lot of people have a hard time seeing past certain things and people will be more discerning.  If you have a low rental price, it's generally a different demo looking at the units and therefore it can probably be rented even if it's not fully complete.

No.  Trade crypto if you want to gamble (I do a little bit, it's fun, but it's not a significant portion of my networth).  Do it if you want but just be real with yourself and understand that you are gambling, not necessarily investing.

Personally, I am a real estate investor for the cash flow...appreciation is simply speculative so any appreciation I receive is the "cherry on top" of my real estate sundae.  All upside if I focus on cash flow, cash flow, cash flow....

I tell people I work with or am close to. It's never, "HEY I OWN RENTALS" it more comes out in normal conversation, "oh what did you do this weekend" "Oh, I had to go to Lowes and buy a couple refrigerators, they went out at my rentals" "didn't know you were a landlord..." yadda yadda yadda.  It sorta just naturally flows from there.  Most often, people are actually interested and want to ask questions.  It's never been weird or awkward.