All Forum Posts by: Rick Pinney

I am in Melrose Park and I see opportunity. Stay above lake street. And there are opportunities and it seems some other investors are around I have seen a few places being rehabbed. I think I bought the worst one on the block and am making it better though. Only issue with anything in cook is the evictions. They will take a long time. Other than that, I am at 20th Ave and Thomas and it is walkable to a few shops and there are some amazing bars and places right on division. A few blocks from the metra station. And I am house hacking 10 minutes away from my day job.

https://www.biggerpockets.com/forums/49/topics/194653-anyone-done-business-with-black-onyx-lending There seems to be an older thread on this guy. Due diligence on everything as every one. Trust but verify. Sorry to see this happen, get a lawyer, hope for the best. More importantly hopefully not just you but others learn. How did he get you to bite? A meal, seminar? Cold calling? Online reviews? If you could Elaborate on the situation so I can learn from your lesson, Please.

They have not made any changes. These have been articles I have paid attention too that may bring sweeping reform to the HUD program. Nothing specific, just saying you may want to look to see if you can rent in those areas without resorting to the government to subsidize them. The change from that would take years, could you weather that storm? I am bringing this up because in those areas where I have leased properties, 90% of the calls I get are from people on housing vouchers. We rent to a majority of people there on housing assistance. It is something we are keeping our eyes on closely, as I can easily change our situation with the scribble of a pen.

Ami Soni the 401k loan is great. I used it and got a 5 year repayment from Wells Fargo. The shorter loans are for any kind of loan. They sometimes have 20 year repayment as well for home purchases yet there are more requirements for that. Pros-you are the bank and you pay yourself interest. It does not go against your debt to credit on your credit report either. For the loan application I just had to provide a letter stating where the money came from with proof for underwriting. Cons- will affect your return on your retirement account. If you are let go or change jobs, you will be forced to pay it back immediately or face taxes and penalties. All in All I think this is the greatest loan you can get. Good luck!!

I would look into some of the future plans with section 8 housing. They may end up changing the structure which would require the tenants to pay more and would in the end most likely would require more evictions. The values do not see appreciation like they do a bit more north, yet the price of the home tends to be better. Water issues as well around those areas due to some cities not paying their water bill.

Christopher V. I know there has to be an inspection yearly, which costs money and they will fine you for things like a burnt out lightbulb or other minor things. This is all coming from another landlord so I cannot speak from experience. As for my property it is right by 25th and lake lol. As for the rents once it is rehabbed I should be getting around 1615 a month. It is a two unit, with 3 bed 2 bath. Right now I am doing all the work myself and covering the mortgage myself. My budget is tight but in a year when finished I will make about 160k in equity and one unit will cover mortgage and escrow and such. I definitely bought right. I would prefer any place in dupage county though. Yet you will find much higher prices yet I known there isn’t a 6 month backlog on evictions like cook. Right now, look to find what fits your situation. Then Hone I’m on exactly what you want and find that deal. Even though it is tight in this market, there are still deals, just not all of them are for you and vice versa. This is what works for me though. I would find an agent who focuses on multifamily. Get your POF and start looking at properties. I started with a duplex, since as aforementioned, I can cover them entire property tenant or not. Less exposure and risk on my first property. That is what fits me and may be way to conservative for others.

Christopher V. I got one in sept 2017 in Melrose Park. It work for me as it is a house hack, for a great price, with a lot of value add potential. Also 5 min from both mine and my partners work, close to the metra, and has all the amenities we need. Being said Addison does have some deals but if you are buying to rent out, there are some very specific rules when dealing with Addison which has been a pain for another landlord I know. If you ever want any more info please reach out. -Rick

Mindy Jensen I was listening the the RPOA podcast and they kept mentioning bigger pockets. After listening to one of the podcasts bought the books. And the book recommended.

Would the fire department take it as a donation? You made your money maybe they could train on it and you could possibly get a tax deduction to offset the insurance income. Just because you do have a gain on your adjusted basis and it does not sound like it was your primary residence, and able to avoid any gain. Or are there any new developments in your area? Can you find someone building and try to work out a deal?

Personally I have already had a nightmare in Melrose Park (Cook County) which is on the western side of Chicago. They have whole sections of just multi family. I got mine, needs a lot of work. I am doing it myself and one unit will cover mortgage and escrow. I’m renting a room out too and will cash flow on a duplex. If you can get something at a good price in dupage I would say don’t hesitate. If you are looking for lower price, cash flow heavy properties the south side is full of them, the neighborhoods are hit and miss though. I’d say Joliet and Romeoville May have some good deals, I usually see single family there though.