All Forum Posts by: Victor So

@Austin F. Hey! You should check out Skokie and Niles which are relatively close to Glenview. You’ll find some multi-units areas in those areas. I have a duplex in Niles and I’m meeting with friends in Glenview all the time. I recently helped a client buy a duplex in Skokie and he loves it there due to it being close to downtown Skokie and yellow line. 

If you can afford to look a little more west, Des Plaines is nice and if you look a little south, Norwood Park and Jefferson Park have decent amount of 2-4 flats. I live in Norwood Park and have a rental there and I love the area! Super safe, relatively close to the suburbs, easy access to highways, and great bars/restaurants nearby. 

Originally posted by @Lachezar Tomanov:

Good afternoon to all of you amazing people,

I'm looking for an advice regarding investing into a 5+ building in the suburbs near Chicago. I'll be a first time investor and recently joined the BP website. I've been a frequent listener of the podcast for over 2 years now and I finally summoned the courage to create a plan and I'm ready to pull the trigger on something. With all the info I'm collecting I'm convincing myself that it's just not the right time to invest. Am I stuck into analysis paralysis or I'm rightfully waiting for the right deal and the market to correct itself a bit for the property I'm trying to purchase. If any of you ladies and gents are Chicago/Burbs investors, I would gladly use your knowledge and perspective of the current market. Thank you in advance to all of you who took the time to respond to me,

Enjoy the rest of your day and stay warm :)  

Hey! Which suburb is the property in? And what questions do you have? There will be tons of people soon who will answer any question you might have!

Hi Pema! Honestly, in the Chicago market, you'll most likely have to go with the 540K for the 2 unit since any 3 unit in the Chicagoland area won't pass the self-sufficiency test for FHA. Google "self-sufficiency test" for more info. Many investors, therefore, buy a 2 unit with an in law unit or non-conforming basement unit in order to make the numbers work. DM me if you want to discuss further!

Wow thanks so much for sharing. It takes courage and a good heart for you to share this with others. I’m sure others, especially newer investors, will feel very thankful you shared this because real estate can be challenging at times. 

Just curious, where city is this property in? 

Does anyone know banks that do HELOCs for investment properties? If so, what're the terms? 

@Michael Barbari may be able to provide some insight. 

Hey @Nat Solomon , what area is your two flat in? Have you heard of the new adu ordinance? Is it in the adu zone? If so, you could convert your basement to be a legal unit (given it has 7 ft ceilings, two forms of exit, etc)

Here is the link for reference: https://www.chicago.gov/city/e...

I currently rent out my basement on Airbnb and no, the city didn’t come out to inspect anything. It’s much easier for owner occupants to get licenses. If you don’t live in the property, there are more hurdles.

Here is a link to Airbnb faqs: https://www.airbnb.com/help/ar...

But when in doubt, contact the Department of Business Affairs and Consumer Protection(BACP) directly. 

Hey! This is what I actually do in Chicago. I have extra rooms in my basement that I rent out on Airbnb. I find that this brings in more income than renting the entire unit alone. 

The one thing I would say is, just make sure with the Village or city that Airbnb is allowed. Or, you can do a simple Google search to see if Airbnb is banned in your area. 

Some cities allow it, some don’t, and some don’t provide guidance on it at all. In Chicago, some of the suburbs completely banned Airbnb and some don’t provide any guidance but you can tell they don’t like it. 

As @Kerry Baird mentioned, the key is to do it before you move out because some banks will only do HELOCS for primary residences. 

Hey Carli, congrats on taking your first steps! Soon, you’ll get some great advice from multiple successful real estate investors from Chicago in this thread. 

But to start I would say, start in your own backyard. Figure out where you would feel comfortable living and what kinds of returns you would feel comfortable getting. And then, start running the numbers and see if it makes sense for you.

There are many meetups you can join that @Mark Ainley and @Tom Shallcross can inform you about. 

When I first started, I read Ben Leybovichs and Craig curelops  househacking books. I also listened to every single BP podcast including the rookie one. 

Hope this helps!