All Forum Posts by: Neil S.

Welcome Heather, and best of luck. I also live in SoCal but invest out of the area as the cap rates aren't the best.

Hey Steve, welcome to BP!

Hello,

Have a 4 unit on 86th and Houston in the South Shore (60617) area of Chicago. Fully rehabbed last year 96k permitted. 2 bedroom 1 bath each unit. One unit occupied $700/month. Market rents are b/w $700-$800, gross rent potential of $2800-$3100 month.

Price = 165k

Bedrooms = 8

Bathrooms = 4

Lot Size = 3049 sq feet

Built = 1904

Recently Appraised for $175k, 10k instant equity.

Not a turnkey property, recommended for someone with experience investing on the south side of Chicago.

See you guys there!

Hello,

I am a Chicago investor looking for partners on buy and holds and flips. If you are doing that sort of thing in the Chicago area and have a good working knowledge of the neighborhoods please reach out and let's chat!

I have never invested with them but know the owner on a personal level and he is a good person. 

With turnkey it's a tradeoff between time and money. You can pay a premium (sometimes significant) for less work or you can get a better return by putting in more work yourself. I've done both, each has it's pros and cons. 

Hey @Michael K. 

@Cliff Mccue  knows what he's talking about. I am an out of state somewhat who bought a 4 flat on the South Side that I've had many problems with. If you aren't familiar with how the court system works you don't want to buy any properties with active cases. My property was tied up in court for 3 months even though I fixed all of the violations in a month. The city inspectors are overworked and there will be delays.  You will also need permits for everything which will add to your bottom line (as Cliff stated).

Once I got it through court I thought I was in the clear. Get 4 Section 8 tenants and my return on my building would be fantastic. 5 months later the property is still vacant. Section 8 renters are very picky on where they rent.

If I had to do it over again I would:

A) Not buy a property with active court.

B) Not buy a property without at least 3 bedrooms.

C) Put in high end finishings in the kitchen and bathroom. I did the minimum for Section 8 thinking if I spent more it would just cost more on the backend when I had to turn it over. That's true but then the units will sit vacant much longer.

Not that you can't succeed doing the opposite, but this has just been my experience.

The numbers can look seductive but be careful out there, if you're gonna start, start small so you get a feel for how things work out there.

I will be there, excited to attend!

I live in Los Angeles but operate in Chicago doing buy and holds and am starting to do flips. 

Hey Anu,

I do out of state investing and live very close in Los Feliz. Shoot me a message maybe we can meet for coffee and discuss things.

Neil

Yes it would be for closer to 150k. I haven't found anyone either who can do that amount but I will keep searching.