First time buyer dilemma !!

4 Replies

Hi Guys!

This is my first post so I am sorry if this is not the right place! I am looking for some solid advice on purchasing investment property in Chicago. I currently rent an apartment from my folks and I am thinking about buying a property (2 flat or more if I can afford it). I saved up only $50k so I am not sure if that's enough to purchase a decent rental property. I just started looking in Bridgeport (south Chicago) and there are some properties which cost around $300k (2/3 flat). The only down side is that they are all build prior to 1900s and need some serious remodeling. I have some background in remodeling as I worked for general contractor all through college (4-5 years). Any advice will be greatly appreciated! Also if you have stories about your early days of real estate investing please share!

If you are going to live in the property you could get away with only 5% down and use the other $30k towards rehab costs. 

@Matt Stoch - Depending on location and income, the 5% down is the way to go for your first.  

Feel free to PM me and I will give you my lender.  He has done tons of these types of loans for my clients who are looking to "house hack"

Originally posted by @Chris Puglisi :

If you are going to live in the property you could get away with only 5% down and use the other $30k towards rehab costs. 

 Thank you Chris, I will definitely try to apply for that loan. 

Hi @Matt Stoch - I agree with the concept of buying a property as a "owner occupant" with a low down-payment.  Depending where you buy your properties, you should be able to stretch your $50K into multiple properties over a period of a few short years. If you want to discuss in more detail, send me a pm. Good luck.

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