All Forum Posts by: Sam T.

I do a non-refundable move in fee. I usually charge half the rent. There is a big headache involved with security deposits in Illinois.

I currently purchased all of my portfolio geared towards cash flow.  I keep reading that its better to buy for appreciation then it is for cash flow only.  The area that I am renting in are c-d neighborhoods and I can pickup a unit and have it ready to rent for about $35000.  Most of the rentals I target are 3 bedrooms and I can usually get $1150-$1200 month rent with the tenants paying utilities.  If I wanted to buy in a a-b neighborhood it would cost me around $125,000-$140,000 per unit but the rent would be higher at around $1300-$1400 per month.  Is someone able to explain to me how buying something almost 4x the cost and almost similar rents is better.  I would like to start to invest in better areas but the numbers aren't making sense to me. 

I do think we are due for some type of correction, but who knows what it will bring but also remember people still need a place to live, so rentals are good to have. My best advice would be to try and keep your monthly payments low, pay off your properties as fast as you can and keep some cash reserves on hand. The people that get hurt during corrections or crashes are the people that are over leveraged. My plan this year is to finish this last property I picked up rent it out and start putting my rents away for the rest of they year and wait and see what happens.

I have been in Real Estate Investing for a while and have some newb questions. Don't laugh at me!!!! Whats BRRRR and whats a house hack? I recently discovered this website and its helped me get interested in Investing again.

I am also looking for a private lender or a portfolio lender if you are able to point me in the right direction.

In the areas that I am renting in the amount ranges anywhere from $150-250 per month per unit.  There are some good section 8 tenants,  you have to look for them just like you do for regular tenants.  

I have been renting to section 8 tenants for the last 13 years. 95% of my units are section 8 and are located in c-d neighborhoods. From time to time you get bad tenants that don't take care of your place and you also get tenants that keep their places spotless. I see it as, it would be worse to get a bad tenant and one that you don't get any rent from. I know with section 8 I will get my money every month. A non section 8 tenant can destroy your unit just as bad and not pay you. I also get a higher rent price for my units then I would otherwise. If you have a prospective tenant, stop by their current home and see how they live. Even if they know you are coming, there is no way they can clean up a place that they have caused damage to. You will be able to tell right away how they live. You do loose a little bit of time due to inspections needed before the tenant moves in but getting a higher rent amount helps. Section 8 does hold their tenants accountable so if they are doing something wrong you can easily motivate them by notifying section 8.