What would you do in Chicago market?

[Greg Kusnierz]

Looking at a single family home with an in-law apartment in the basement. We would live in the top floors and Airbnb the basement. 
would need the income of the Airbnb to make it a viable house in the long term. 
it would be our first investment property

The mortgage would be over our budget but with an Airbnb income could make it work. Checks a lot of boxes for our family to move in as far as location. 

Is it wise to move in and be entrepreneurial or is my emotions getting in the way of my judgement?

[Luke Carl]

It’s not likely they’ll approve your mortgage if you can pay it so be careful there. 

I did all sorts of crazy stuff I wouldn’t do now when I was young and had no kids. So the answer is “it depends” but this is not likely a deal I’d want personally. 

[Paul Sandhu]

I'd set up an STR in Robinson Illinois before Chitcago.

[Michael Mahung]

I just met a couple who is doing exactly what you mentioned. It sounds like it's been working well for them so far, but I would caution you against buying a property that isn't a good deal as a strict long term rental.

From what I understand, Chicago is beginning to limit the amount of AirBnbs in a specific area, and AirBnb laws are continuously changing.

Would love to hear opinions from somebody with more experience in this area, just my two cents.

[Greg Kusnierz]

Thanks. Definitely have kids now :)

[Greg Kusnierz]

Quote from @Paul Sandhu:

I'd set up an STR in Robinson Illinois before Chitcago.

Interesting, why?

[Paul De Luca]

@Greg Kusnierz

Are you familiar with the STR regulations in Chicago? Do you have plans for how you would self manage?

Short term rentals come with the additional risk of quickly evolving regulations, so just make sure you're doing everything above board. 

[Greg Kusnierz]

Quote from @Paul De Luca:

@Greg Kusnierz

Are you familiar with the STR regulations in Chicago? Do you have plans for how you would self manage?

Short term rentals come with the additional risk of quickly evolving regulations, so just make sure you're doing everything above board. 

Thanks. 

[Henry Lazerow]

I just made a post on my airbnb results in the chicago forum you should take a look. I would avoid a single family with illegal basement. There are plenty of 2 and 3 units out there if you want more living space look at a 2 unit with a 2 story duplex up owners unit these make great house hacks and rent high when you eventually move out. 

[Michael Baum]

Just remember the movie Pacific Heights...

[Brie Schmidt]

I would join the FB group "airbnb hosts Chicago"

The city is cracking down on the ordinance rules.  If it is a seperate unit it is my understanding you cannot list it without a commissioner's adjustment and would likely need to hire a lawyer to try and get it approved.  Lots of people had rented out another unit in a building they owned and got their listing removed

[Paul Sandhu]

Quote from @Greg Kusnierz:

Quote from @Paul Sandhu:

I'd set up an STR in Robinson Illinois before Chitcago.

Interesting, why?

 There is a refinery in Robinson.  I occasionally get phone calls wanting to know if I have any houses for rent in Robinson.

[Robin Simon]

Quote from @Brie Schmidt:

I would join the FB group "airbnb hosts Chicago"

The city is cracking down on the ordinance rules.  If it is a seperate unit it is my understanding you cannot list it without a commissioner's adjustment and would likely need to hire a lawyer to try and get it approved.  Lots of people had rented out another unit in a building they owned and got their listing removed

I agree with this - its also run by Keep Chicago Livable, a nonprofit thats doing good work defending STR owners and working with the city to help with the needs of investors. I would recommend getting involved in that group and with the org to get educated and stay on top of things. I believe they are having an online conference for hosts/investors soon that should be valuable


http://www.keepchicagolivable.com/




http://www.keepchicagolivable.com/

[Matt Bishop]

@Greg Kusnierz, can you move to a safer place and one with more landlord friendly regulation? And a better climate and a growing population of high income earners?

[John Warren]

@Greg Kusnierz I have never liked basing an entire strategy around Airbnb. It is so susceptible to regulation changes, and I think a lot of owners and long-term residents are justifiably upset about some of the issues that have come with Airbnb. Why not focus on a place that checks your boxes where Airbnb could work, but it could also work as a true rental?

[Crystal Smith]

Quote from @Greg Kusnierz:

Looking at a single family home with an in-law apartment in the basement. We would live in the top floors and Airbnb the basement. 
would need the income of the Airbnb to make it a viable house in the long term. 
it would be our first investment property

The mortgage would be over our budget but with an Airbnb income could make it work. Checks a lot of boxes for our family to move in as far as location. 

Is it wise to move in and be entrepreneurial or is my emotions getting in the way of my judgement?

If you can't afford the property without the AirBnB budget then you should pass.  No matter how successful you are there will be times where the airbnb part of the property is vacant & not producing income.  You have to be able to afford the property without the income.

[Greg Kusnierz]

Quote from @Henry Lazerow:

I just made a post on my airbnb results in the chicago forum you should take a look. I would avoid a single family with illegal basement. There are plenty of 2 and 3 units out there if you want more living space look at a 2 unit with a 2 story duplex up owners unit these make great house hacks and rent high when you eventually move out. 

 thanks, that's a big help!

[Greg Kusnierz]

Quote from @Crystal Smith:

Quote from @Greg Kusnierz:

Looking at a single family home with an in-law apartment in the basement. We would live in the top floors and Airbnb the basement. 
would need the income of the Airbnb to make it a viable house in the long term. 
it would be our first investment property

The mortgage would be over our budget but with an Airbnb income could make it work. Checks a lot of boxes for our family to move in as far as location. 

Is it wise to move in and be entrepreneurial or is my emotions getting in the way of my judgement?

If you can't afford the property without the AirBnB budget then you should pass.  No matter how successful you are there will be times where the airbnb part of the property is vacant & not producing income.  You have to be able to afford the property without the income.

 thanks, that is what I was thinking but really wanted it because it checked a lot of my wife's boxes. You made perfect sense.