All Forum Posts by: Raj Patel

Investment Info:

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

Purchase price: $335,000
Cash invested: $11,865

This is a 4 unit place in Little Village Chicago, IL. I am house hacking the place. The rents from the other three cover the PITI, and utilities. There is only a little left over after for repairs but not enough to cover all expenses. When, I move out it will cash flow nicely covering CAPEX and Maintenance.

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

I invested in this deal to cover my housing expenses.

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

I found it using Redfin

How did you finance this deal?

FHA Loan

How did you add value to the deal?

I am in the process of removing all the violations which scared away a lot of the other buyers.

What was the outcome?

Still holding

Lessons learned? Challenges?

I should always ask what I feel is right. There some issues with the place which I should have asked for a reduction in price but I factored it in my investment and the numbers still worked so I didn't. The worst thing the seller could have said was no and I could have still moved forward.

Hi Jesse, 

Good luck, I am starting my real estate journey soon too. I am reading and listening to podcasts all the time too.

@Brooke Andrea this would be my first investment so I want to stay close to it.

@John Warren thank you, are there any in Chicago that you recommend?

@Sathish Sekar hello, I was planning on living in one to house hack.

@John Warren thank you for your help. Why do you think I should stay away from 203k loans? Also, what would you recommend I do to get more familiar and learn? I currently live in chinatown but used to live in Lincoln Park.

Hello, my name is Raj Patel. I am 20 years old. I live in Chicago. All the properties here are very expensive. I have 30 thousand to invest. I have thought about buying a quad with 203k loan so I can wrap my rehab into the loan and still only pay 3.5%. Another thought was buying late in the year so, I would get the property tax from the previous owner. This would help eliminate some costs. I was wondering what you would recommend. I don't want to invest long distance since this would be my first investment. Thank you for all your help.