All Forum Posts by: Patrick Fraire

Originally posted by @Lincoln James:

@Patrick Fraire

Chicago is a big city with lots of different neighborhoods. Take the south side alone, is buying in Chatham a good idea?-no. Probably not. But buying adjacent to Jackson Park, home of the Columbian Exposition and soon to be place of the Obama library, might be a great idea! The two neighborhoods are only a couple miles apart.

In this city, there are neighborhoods and possibilities that will explode faster than nearly anywhere in the nation. So, it’s a bit of a cop out and fallacy to generalize the whole city as ‘low growth’.

Also, for your own personal safety I would watch out with Chicago. This city’s citizens have an amazing amount of hubris, and as much as we love to beat on it sometimes, it’s an absolutely gorgeous city and we don’t take kindly to people from CA beating on it for us ;).

My apologies if my comment rubbed you the wrong way. Again I love Chicago and I’m not hating on it, just comparing it’s real estate trends to other cities. Maybe you are right, you have to look at each neighborhood separately. The south side might skew the data. But I mean if you look at data for Los Angeles, it includes Compton.  

I won’t beat on your hubris but first you gotta tell me something...what’s a hubris?

@Andrew Harrell

Also, increasing the value of a metro based on a speculative article on where HQ2 might land is risky. All the data points toward Atlanta for HQ2. That’s what originally got me interested in Atlanta metros actually. I forgot what the source of the data was, but it said HQ2 would increase property value by .25%. I was pretty disappointed by that as I figured I’d hit the jackpot if I guessed it right. Anyways, don’t bring up HQ2 when you are trying to sell Chicago to investors. 

@Andrew Harrell

Before we get into it, I want to mention, Chicago is my favorite city in the US. It’s ammentities are great. I had a blast in Chicago. I fell in love with the city when I took the architecture tour on the river. I told my girlfriend wow I have to buy real estate here. After that trip I was amazed at how cheap the properties were. I dove deep man. Met investors the whole 9 yards. Look at appreciation in Chi town. It’s slow growth man. Not only that, your property management fees look like 10% instead of the typical 8%. You don’t mention the crime. That cannot be ignored. The historical real estate trends are consistent. Chicago is slow growth my man. There is pretty much no debate amongst objective real estate investors. It’s improtant for you to realize you are an an agent in Chicago. No matter how you slice the pie,...your opinion is biased. Again, I love Chicago man. I was soooooooo close to pulling the trigger on a duplex but I just couldn’t go against the data. 

@Andrew Harrell

Show me the data and I will learn. One of my mentors currently owns multi family in Chicago and is trying to sell. 

@Steve Sun Every response you receive on BP includes humor error. If you are serious and have the down payment ready to go, now is the best time to deploy. We are entering the winter months and the next 3 months is your best time to find a deal. I like paying for actual data mining companies to dissect metros. There are a ton out there. Core logic, localmarketmonitor, to name a few... Basically, get some professional analysis done on those metros. You are going to get nothing but amatuer responses by from The BP community. You are losing about $200-300/month in opportunity cost the longer you wait. Just my 2cents...but pay $150 for a professional analysis and don’t look back.

@Andrew Harrell Chicago is not undervalued. It is one of the most predictable markets in the U.S. #slowgrowth

@Caleb Heimsoth The reason you don’t see Memphis is probably for good reason.

@Steve Sun Atlanta, GA subjective opinion here

@Robert Arroyo This is the best resource I’ve found for analyzing out of state markets. You have to pay for specifIc data, however even the pubic data Is helpful. I like using a lot of data sources so if anyone else on here has any to share, please feel free. https://www.localmarketmonitor.com Good luck in your out of state endeavors!

@Calus Glispie Maybe this is just in CA...but EMD of $5,000 is normal. I’ve done $8,000 to give myself a slight edge over other offers. I just recently fell out of escrow on a property and I got my full EMD back after several weeks. Very surprised to hear even a $1,000 EMD is normal in some places.