All Forum Posts by: Lachezar Tomanov

I recently learned about FFIECG.

Estimated Tract Median Family Income might be an indication of area growing or declining. I recently watched a YouTube video on that subject so I personally haven't done any research or applied the statistics into any of my calculations for my deals but it might be something you want to check if you want to :) 

@Jonathan Klemm Good morning Jonathan,

Thank you for finding spare time to give your input. I've been working on a long term plan for few months and my first deal would be a 2 or 3 flat (small MF) to reduce my fixed monthly expenses. Next I'm leaning towards investing in something similar or going just a big bigger into 6-8 unit building. After I purchase my first small MF, I can expand the area. My sights are set even further west of Chicago, closer to Addison IL 

@John Warren John thank you so much for the input. I understand that I’m a bit stuck in my head about numbers and I’ll have to build a good network of people who will bring me better deals as times goes. You telling me that you have purchased few properties in the last few months definitely eases my nerves. I do need help and guidance from people regarding the market trends. I know it just can’t be that simple and it takes a lot of time and few mistakes along the way to get more knowledgeable. I really appreciate your help. One thing I’m sure of, is that creating an account for bigger pockets was the best decision I made so far regarding investing. When I decide to to pull the trigger and make an offer I’ll make sure I’ll run it by all of you guys and from what I see, there are so many people willing to help me reduce the risk by just sharing an opinion. 

Thank you again for your help and I would love to connect with you and if you don’t mind sharing some of the contacts that are helping you find pocket listings, that’s would be great :)

@Andy Nathan Thank you for taking the time to respond Andy. I’m getting more and more convinced that I’m really stuck in my head about numbers. It’s always good to play it safe but at some point I’ll have to make the jump and pull the trigger on something. I’m so pleasantly surprised that so many people actually took the time to give me their input and I’m actually already In touch with couple of investors who are giving me very valuable tips and direction. I can’t express how grateful I am to all of you. I just never imagined that people will open up and jump to help a stranger. I can always use more guidance on understanding the market. Would you consider the rental prices increasing in a certain neighborhood as an indication that it is a stronger market. I spoke with couple of big investors/landlords I rent apartments for and they gave me very simple equation they use before they buy. The rent for the unit should be at lease 1% of the purchase price you acquired it for. Do you have any thoughts on that ? 

@Jonathan Klemm Hey Jonathan, 

Thank you so much for taking the time to respond. I completely agree on the stronger team suggestion. I've been renting apartments for a while now and I'm regularly meeting the owners of the buildings we rent for a quick chat and input on their thoughts on the market. I'm regularly using social media to create a strong network of local lenders, GSs and all other specialist), investors, attorneys, insurance brokers, fellow leasing agents that can help rent units,inspectors, even internet provider networking. 

Areas I'm currently focusing:

Schiller park, Rosemont, Elmwood park, Oak Park, Franklin park, Niles. I can expand the area if the price is right, but again this is something I'm currently lacking experience at. 

Any advice and input will be greatly appreciate. 

Thank you, drive safe and stay warm out there :) 

@Paul De Luca I really appreciate your help and thank you for taking the time to respond to me. As a rookie wanna be investor all kinds of help is extremely helpful. I'm a real estate broker at Landstar Realty Chicago, but I've only done handful of deals. My main income comes from renting apartments. I'm very knowledgeable regarding the rent prices all over Chicago and the close suburbs and this is my main reason my focus is set to invest in those areas currently. As mentioned in the comment above that I responded to @Victor So the areas I'm currently looking at are starving for 1 and 2br apartments to rent. I looked at the MLS for 1br in Schiller park and as of today there's literally only one unit 1br apartment for rent in the entire area that is a reasonable price. Inventory on rentals in the areas close to O'hare is extremely limited and with the expansion of the airport and the entertainment centers, more and more people are flooding the surrounding neighborhoods. The rents 2 to 3 years ago for relatively small 1br we $890-$950 (I know because I still rent a lot of unit in those areas). Now you can hardly find a vacant unit for under $1000.

Again I really appreciate your input and thank you all for taking the time to help a fellow future investor, be safe out there and stay warm :) 

@Crystal Smith Thank you !!! Like many other first time investors I'm running the numbers way too much I guess, I'll just keep looking for something better to hit the market, it will happen eventually, I'm not in a rush to buy but also I don't want to wait too long, I'm afraid that I'll wait forever. Crystal, thank you one more time for the push, stay warm and drive safe, Chicago is covered in snow yet again !!!

Victor, thank you so much for the response:

4744 Rose, Schiller park: 

1. Should I be worried about electric heat?

2. The price seems a bit over, my calculations at least $50K

3. Its only 5 units, is it worth it to pay the interest when you compare it to a 4 door property  ?

8513 N Milwaukee Ave, Niles:

Price ?

10587 Touhy, Rosemont:

Taxes are the deal killer for me 

Good afternoon to all of you amazing people,

I'm looking for an advice regarding investing into a 5+ building in the suburbs near Chicago. I'll be a first time investor and recently joined the BP website. I've been a frequent listener of the podcast for over 2 years now and I finally summoned the courage to create a plan and I'm ready to pull the trigger on something. With all the info I'm collecting I'm convincing myself that it's just not the right time to invest. Am I stuck into analysis paralysis or I'm rightfully waiting for the right deal and the market to correct itself a bit for the property I'm trying to purchase. If any of you ladies and gents are Chicago/Burbs investors, I would gladly use your knowledge and perspective of the current market. Thank you in advance to all of you who took the time to respond to me,

Enjoy the rest of your day and stay warm :)