All Forum Posts by: Michael Johnson

@Jonathan Klemm long term i'd like to be by the lake so I'd like to venture closer to the Lakeview East area, especially if I do a live-in flip type deal where I'd be living there for at least 2 of the 5 years after purchase. 

@Paul De Luca PITI 11.4k, Gross Income (once I move out) 12.5k

@Jonathan Klemm Plans are to either house hack again, potentially live-in flip or maybe venture into 5+ unit commercial

@Travis Timmons Thank you! I've been pretty fortunate so far in Chicago. I decided to take a lower CoCr for stable, high quality tenants and have zero regrets. Also, to your point, it's easy to realize returns off 35k invested - especially when the principle payment year 1 alone is around 15k. Chicago is a lower appreciation market but with the trends we've been seeing with increased rates of hurricanes on the east coast and fires in the west, I do think long-term we will see some migration to the Midwest. That should provide some nice upside in a historically lower appreciation market. 

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $1,500,000
Cash invested: $35,000

4-Unit building in Wicker Park, Chicago. 3-unit front building with a duplex up and a back brick coach house.

What made you interested in investing in this type of deal?

I wanted a place in a A class neighborhood in Chicago with good tenants

How did you find this deal and how did you negotiate it?

Off market deal from a previous listing a year prior. My agent @Jake Fugman caught wind it was about to be listed again, we got in prior to that happening and made an offer.

How did you finance this deal?

5% down federal loan

How did you add value to the deal?

Utilized a low down payment loan, maxed seller credit, tax proration and closed on the 1st of the month to maximize my cash and acquire this property

What was the outcome?

Closed with no issues, inherited great tenants and have really enjoyed living in this neighborhood

Lessons learned? Challenges?

It is possible to utilize low down payment loans and live in great neighborhoods in Chicago

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Jake Fugman was my agent

@john warre

@John Warren Thanks for the reply, could you please provide your contact? Thank you in advance!

Hello, I need insurance coverage for my 4-unit property in Rodgers park, Chicago. There was a claim 2 years ago due to a tenant during the moratorium who left the unit damaged. All units have now been rehabbed, electric, roof, plumbing all updated. Having trouble finding coverage due to the claim, would appreciate any broker/agents who could provide a quote. Thank you!

Looking to get a homeowners policy for my 4-unit in Rodgers Park. Quick turnaround needed, thank you in advance!

 Hi Brendan, I used a owner occupancy portfolio loan that was 10% down, 30-year fixed an I paid a point.