All Forum Posts by: Maria Besbeas

Hi Michael:

I'll PM you with details.

Property in probate. Motivated seller. "Safer" neighborhood. This is further South than I work.

I'm not a wholesaler, but would appreciate a referral fee.

Interested parties: please contact me for further details.

I agree Chicago, like every big city, has its share of issues. I would no more blindly invest in LA or NYC than in Chicago. The state has a lot of issues but for some reason our citizens keep voting in these ridiculous excuses for public servants. Our bad. I think it's best to know your area WHEREVER you're investing -- especially in big cities where crime rates tend to be high, but to argue over these issues and who's statistics are right or wrong is a silly waste of energy. All states have methods of getting funds they need from their residents. California has phenomenally high income tax rates and lower property taxes. Texas has no income tax. Do you think that Texas is not in need of funds? NO. They use a different matrix but still get the funding they need through taxes. Is Illinois worse than most? Perhaps on the surface, yes, but all politicians have a way of kicking the can down the road so it's likely that many states may face similar financial crises in the future. Jobs all over the nation have been dwindling. Does that mean we stop investing in this country? Of course not. Is it tragic that certain areas of the city are being terrorized by thugs? Of course it is. But do you throw out the baby with the bath water because a few blocks in the city are war zones? I don't think so. There is increased crime in the Gold Coast area. Would it stop me from investing in a killer deal there? Nope. I think the original question, however, was about particular South Side neighborhoods and the best advice I've seen here is to find someone very familiar with these neighborhoods, do your due diligence and calculate the risk vs return. Crime rates and taxes simply factor into the analysis but everyone's tolerance for risk is different and it's a personal decision. I still think Illinois has good things to offer and there are opportunities here. There is still a demand for quality properties under good management. For those that think the taxes and crime make investing too risky, don't invest here. Better yet, get active in government and fight to change it. Too often I see we're allowing the state to be defined by its problems but few get off their keister and do anything to fix it. Just my 2 cents.

Amber I think the contents of the unit should be covered by her renter's insurance and are not legally your responsibility. It sounds like she's thinking the best defense is being offensive. If she's lost personal items it's a personal problem. Don't let her noise cloud your judgement. You've offered her more than a generous "settlement". If I were you I'd tell her take it or the deal is off the table. Give her a limited time to agree to the offer in writing (by the end of the day or by xx time today or whatever) and then DO take the deal off the table and stick to your guns. Good luck -- She sounds like a real piece of work!

Marvin Meng I just heard a great podcast that addressed exactly this. It was Old Dawg's REI network with Bill Manassero episode #053. Guest speaker was Clint Coons. Very informative. Hope you enjoy it.

Hi Karl Welcome to BP! I agree with Vincent. You're taking a lot of risk and from what you describe your potential partner has virtually no risk at all. Also, just because someone is a realtor or broker, doesn't necessarily mean they know what it takes to do a flip. Has this person flipped before? Check his track record and if possible talk to the people who have backed him in the past, his contractors etc. Think of this as a business with your money (and credit rating) on the line. In essence you're hiring this guy as your project manager. Certainly if you were hiring him as an employee you'd check his credentials. I'd do the same here. Hope it works well for you!

Is it on the board of an HOA (sorry for those who hate them). In Illinois the HOA can put a super lien on the unit which supersedes even a bank's right to collect in foreclosure. It can lead to eviction (not foreclosure because no note is held by the association) and the association has the right to rent the unit to relieve the debt. Most associations are willing to work out terms with a unit owner to avoid eviction. Perhaps your relative should request a hearing with the board to work out a payment plan (usually with late fees, etc.). If they are only a few months behind it may be a more amicable option than contacting an attorney because the association then has no option than to get their counsel involved. You may find the board very willing to work with the homeowner. If that doesn't work, consulting an attorney may be the next best option.

Correction to my last post. The forum article is called "I went bankrupt wholesaling" by Keith Goodwine. Sobering.

Patrick Philip It may be helpful to read the post by Dale Hensel trending now on forum posts. It's a sobering reality but every aspect of REI is hard work -- just like running any small business. It sounds like you're interested in passively wholesaling. Successful start ups don't happen passively. They take a ton of time, have a HUGE learning curve and most end badly. Homeowners are rarely realistic about the "shape" of their property because they have an emotional attachment to it, and "Good" means different things to different people. It's great that you're getting the phone to ring, but try not to let that modicum of success lead you to thinking about scaling up too fast. A ringing phone is only the first step to a successful deal. Going from there to a solid deal and from a solid deal to a solid buyers' list is tantamount to going from Florida to Alaska on foot! Take your time, learn a valuable skill set along the way and you'll be worth your weight in gold. Going the route you're suggesting seems like you're going the road of disaster. Hope you understand that my frank opinion is an attempt to save you a lot of heartache.

Thanks for the recommendation, Angelica!