Hello BP members. I am a real estate newbie in the western Chicago land suburbs looking for buy and hold long term rentals that will turn positive cash flow and be a good long term investment. There is so much info out there (SFH, townhomes, condos, duplex, fourplex, etc...) and although we have been analyzing deals, we are looking for feedback and opinions on how to enter the investment world in this area.
Wanted to see if anyone was willing to provide feedback on the best opportunity areas. (Schaumburg, Streamwood, Bartlett, St. Charles, Elgin, South Elgin, Geneva etc....). Any feedback would be much appreciated. Also, what type of positive cash flow are people looking for on a 100K investment)?
Hello and welcome @Rockne Brubaker ! I would start small and build a property portfolio and not take on any debt. With little $ you can get a website going (to sell what you buy), find motivated sellers, and start flipping property. Vacant land is a great place, no big issues, and you can buy and sell all over the country fairly easily. Best way is through a direct mail campaign, targeting the exact type of properties that meet your criteria, and let the "ready" sellers reach out to you! Great time of year to be doing this. There is more to it, but that is the overall idea. Good luck and holler if I can help!
Welcome to BP! Agree with Anthony that DM is the way to go with your budget. You do need to do more research on your areas and you can chat with your fellow investors at your local REIA to determine which areas you should look at. Just know that competition is very fierce in certain areas and DM doesn't work as well when an area is saturated.
Run some numbers first on the areas because with $100k, you might need to do some flips to generate cash first if you choose a higher priced area, or BARRRR it if you choose a lower priced area.
I would say Elgin will be easy to start!
@Yulia Klimantova - I'm an investor in Elgin and can't believe we haven't met yet.....
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