All Forum Posts by: Mark Rustin

Hi @Matthew Olszak and @Art Maydan,

I want to also ask about carriers coming into a building foyer. The building I'm managing has a locked front door, and then the apartment doors beyond that. I want to mount the locking mailbox inside the foyer so the boxes aren't outside. Is this something the USPS would work with? Could I provide them with a key to open the front door and access the mailboxes?

I've seen it a few times but the front door has always been unlocked.

Thanks!!

Hey Everyone,

Hundreds of properties in Chicago get bought and sold every year with illegal units. 

Are they safe investments? 

Should we as investors purchase property with illegal units?

Has anyone gotten burned by the city requiring de-conversion of an illegal unit? 

Has anyone had trouble selling their property because of an illegal unit?

Is the city doing anything about the clear issues with "illegal" units and an outdated zoning map that costs thousands to apply for adjustments?

Chicago has a unique position with this matter, the rules of other cities don't seem to apply the same way here. Please share your advice and experiences!

Happy Monday Everyone!

I've been hunting with a realtor for my first multi-family investment for about two months now, and I've searched through the Chicago forums to find peoples opinions on what areas are the best to invest in. However, often this depends hugely upon what you can afford or how you plan to pay for your investments. I was hoping this thread could become a living document of places people recommend for investing, or don't, and the reasons why.

I'll go first: I've lived in Bridgeport for 3 years now and if there is a place that I would say "buy, buy buy!" it would be here. Great bars, great food, Sox stadium, walkability, bike-ability, and that rare suburban in the city feel, plus proximity to Orange, Green and the Red line. I've been able to walk through a few properties here but I'm mostly already priced out of my favorite neighborhood.

As a result I've been looking at Canaryville, McKinley Park, Pilsen (also pretty heavily priced out of) and Brighton Park for investments. Any opinions on these neighborhoods? Besides their proximity to an improving area I'm not sure if they're good places to look or not.

What are your favorite (or not) Chicago neighborhoods for investing right now?

@Senthil N. @Matthew Porcaro @JD Martin @Evelyn Roper

Thank you all so much for the really useful advice. I'm so antsy to see my first property, I've looked at hundreds online. So close i can taste it. I am a practicing architect, so I think I have at least the flavor of what I'm looking for in the MEP systems, even though I've never done residential work.

I contacted my old landlord, who is a very active real estate investor and asked him if he knew any contractors or inspectors who would be willing to walk the property with me on a first viewing. He gave me a few names and numbers.

Also I found out one of the properties is corporate owned, which from what I read means they'll probably be more willing to move forward with a 203k loan.

I'll keep everyone updated on my progress!

Hello all!

I've been doing research and saving money for months now, and a chance encounter with a Real Estate agent lit a fire under me. I now have an MLS search set up and a loan broker. My prequal is done, and I'm about to go see two different homes. Strategy is buy and hold multi family. I've done rental analysis on both properties and they both look promising. House-hacking, using FHA loans to finance the property. Both properties clearly need rehab (so potentially 203k), so my question is what am I looking for when I see the property?

This is what I know I'll do:

Take tons of pictures

Test faucets, lights

See the attic and basement/ crawl space

Take pictures of any floor damage, wall damage, or ceiling damage

The owners are selling as-is. Does this mean I can't ask them questions about potential big-ticket issues? Am I missing anything? How many people should I bring along? Do I need a contractor with me?

Any advice would be amazing. I'm very excited!

@Ryan Canfield

Thanks for the advice, I'll put Portage Park on my radar as well. It would be great to connect with you sometime!

@Paul Timmins

Thanks for dropping in! This advice is awesome, and I will definitely be seeking out Chicago's REIA club's now. I have the beginners guide printed out and I'm highlighting and taking notes

@Bhekizwe M. @Steven Gesis @Scot Howat

Thanks for the welcome to the site!!

@Dale Stevens @Nick Patterson

Thank you for the very inspiring and motivating advice. It means a lot to have local investors stopping in to say hello and grant some wisdom. I would love to connect! The camaraderie that I've witnessed between real estate investors is intense, like a big group of people that are taking back their time through investing and sharing.  

@Mark Hafeli 

@KC Zhang @Milad Keshavarz @Joel Gabelman

I am very encouraged by that advice because that's exactly what I was thinking. Looking at 3 and 4 unit buildings in some target neighborhoods in Chicago (Bridgeport, Canaryville, Tri Taylor, Pilsen, Marquette Park, Bronzeville). I think the FHA loan in a building that I'll live in is the best approach because it's hands on learning through and through, but not an unwieldy amount of units. Then, the only way is up!

What's interesting is that thinking is first what got me started. I thought "if I pay 1000 for rent each month, and the mortgage on a two unit building is 1000 month, couldn't I live rent free renting out 1 unit and start building equity?" Now, after months of reading and learning I know the process is more complicated, but that is the idea that keeps me excited every day for the steps I'm taking.