All Forum Posts by: Tim Cooper

Here are two active groups.

Bloomington - http://www.meetup.com/Central-Illinois-REI/

Peoria - http://www.meetup.com/Peoria-Real-Estate-Investors...

Both are good groups I suggest you attend.  

Tim

Your request is not unreasonable.  However, they may request a confidentiality and a financial pre-qualification to make sure you have the ability to buy.  

Since I bought my 1st rental property before the internet, I used the newspaper and a local Tradin' Post classified advertiser.  I also had a sign in the front yard.

Today I pretty much use Craigslist.  Oh, and I still use the yard sign.  

Great topic.  When I was researching this topic a long time ago, I saw a company that used animated characters on it's web site to explain how it works.  Now I can't find it.  Anyone know who that is?

Welcome to BP Joe. I would also like to let you know there is a REI Meet-up group in Bloomington. http://www.meetup.com/Central-Illinois-REI/

@Josh Butler 

You are on the right track, but don't get in a hurry.  I have been looking for close to a year since I got back into the market and have found nothing yet.  This seems to not be a good buyers market at this time in my area too.  It is far better to wait and save up more for down payment and to get more R.E.  education than to rush in and get a bad deal that sets you back.  

Keep on looking.

@Kate Kedenburg That is a great question, but it is impossible to answer.  It is totally up to the quality of the builder and the material they used.  

A perfect example.  I recently looked at two 4-unit buildings.   They were for sale and had been for more than a year at $114,000 each.  They were fairly well taken care of, but cheaply built.  You could just feel it; when you walked on the floors they flexed.  

Soon after nine 4-unit buildings on the same block listed and sold almost immediately for more money, I think $125,000 each.  They sold so quick, I didn't even get a chance to look at them, but I know they were built by a different builder.  I did walk through one of the common halls, and it just seem more solid if you know what I mean.  My intuition just told me "better construction".

They were all built about the same time, in the 1970's and they were all 2/1.  

6 of one, 1/2 doz. of the other.  There are pluses and minuses to either way you go.  

Cottages:  + Might be easier to rent.  + Less problems with neighbors too close. + Easier to separate and sell when you want out.  + or - Might appreciate or depreciate more because of local factors.  - Possible more maintenance (10 roofs instead of one, 10 drive ways, 10 lawns.)  - Because of no real close neighbors, they can be more likely to get destroyed.

Apartment Building:  + or - Appreciation or depreciation will be determined only by rental income, not quite as much on local factors.  + Possible less maintenance.  (1 roof etc.)  + If one tenant is destroying their apt. a neighbor is likely to report it.  - Can be harder to rent if you get one bad tenant.  - Tenants so close can cause problems with each other.  (Noise, smell etc.)

All that being said, with everything being equal; I would buy the apartment building.  But if you can, why not go for both.

@Kate Kedenburg All great advice you have received so far. I have owned both and my experience is that it is usually better to buy built for purpose multi-family buildings. Typically there are more issues with SFH conversions. Eg; One tenant too hot or cold, not enough sound proofing between units, not enough parking, not big enough septic system, etc. However, this is just a general observation I have had with my properties. Of course all of these problems can happen if a MF building if it wasn't properly constructed.

@Abou C. 

 Listen to podcast #78.  @Brie Schmidt talks about why she encourages pets.