All Forum Posts by: Dooreuhn Cee

Raise 10M to buy 100 units over 2018.

In my experience, these are usually seedy prospects having trouble getting any attention. 

Why would anyone with business sense pay a year up front, for a new rental to a stranger.  There is no telling whether the landlord will be savory, if the rental will burn down, or get foreclosed.  Its likely desperation, IMO.

They are legit. Have closed multiple LLC loans with them. Good product selection. Can be slow at times.

I have worked with them and have never heard about any subscription fee.

This guy is still at it, posting on Facebook investment pages.  Just talked to him and he sounded suspicious rushing me to an application without much info or asking me questions.  Bye Felicia.

I LOVE BIGGER POCKETS!!!

I also invest buy and hold in Chicago and live in California.   Before settling on Chicago, I searched nationwide and tried Texas, Indiana, and other areas.  

My conclusion is that south side Chicago offers one of the highest rental income rates in the country -- in the right areas! Its hard to go to Texas and move in a renter into a SFH for 75k while collecting 1.5k monthly --- yes 2%. Our tenants include school teachers, firemen, MBA degree holders, etc. on blocks without multi units, board ups or unkept vacant lots.

I have had great success with auction.com properties, probably purchased 10-15 over the years.  Some have even been occupied which lead to the best adventures.  

As far as the "process" inquired about, like Ebay no bids really matter until the last few minutes, so no sense in driving up the price.  You are bidding blind because there is no official access to the property provided.  Once you win the bid, you have about 24 to 48 hours to sign the contract and wire earnest money.  Check the deal terms as many put all of the closing costs on the buyer, even outstanding water bills can be added.  Often they do not provide title insurance so I usually lawyer up to make sure all is clean.  After close, you break into your new house.

Can you explain what you mean?  A rental nowadays is in the 0.5% area and that barely makes a mortgage payment before other expenses.  I have cash flow in San Jose on a property but it was purchased almost 15 years ago.

Maybe I misunderstood. 

OIC.  Well if you put 300k down on 6 2-flats, you would end up with cash flow from 12 rents.   $200/unit would get you 2.4k/mo, almost 25% of your goal. 

Great thread here!  As an out of state investor in the south side of Chicago, I find the PM discussions to be of great use.  We self-manage and although it appears that you have some issue with PM, it sounds like a great experience overall.  Tenant management can be extremely taxing in the area, especially when dealing with section 8 procedures and mutli-units have a different tenant base.  IMO, the initial buy in price is too high for the area, so it would be very difficult to sell the property at cost, but cash flow over the years should make up for it.