My goal is to purchase a 3–4 unit property in a B-class neighborhood in Chicago and house hack. Ideally, I’d like to focus on areas such as Logan Square, Bucktown, or Avondale. The challenge I’m facing is that with current interest rates and only 5% down, it’s been very difficult to find a property in the $800K–$900K range that even breaks even, let alone generates positive cash flow.

I’m concerned that by going with a higher purchase price, I’ll be locking myself into a deal that won’t cash flow for years. For those with experience in Chicago’s multifamily market, what strategies or alternative approaches would you suggest? Should I be broadening my search to other B-class neighborhoods like Pilsen, Ukrainian Village, or Irving Park that might offer better numbers while still providing strong long-term potential?