Newbie Looking to invest in Chicago

8 Replies

Hi,

I'm a newbie investor that's been presented some potential opportunities in Cook County, Washington Heights, Fernwood, Englewood area for rental.  Can anyone help me understand these areas?  


I've also heard that property taxes has been on the rise in exponential percentages, is that true?

@Kitty Louie Where are you located? The areas you mentioned all have great potential but also contain areas of overwhelming risk. You need to assemble a team to give you the information you need to make informed decisions. One block can have great potential and the next block could be a disaster. 

Originally posted by @Kitty Louie:

Hi,

I'm a newbie investor that's been presented some potential opportunities in Cook County, Washington Heights, Fernwood, Englewood area for rental.  Can anyone help me understand these areas?  


I've also heard that property taxes has been on the rise in exponential percentages, is that true?

 I suggest researching crime statistics for those areas.  El Salvador leads the world in murders at 83 per 100k people and Englewood has 95 per 100k people

Originally posted by @Kitty Louie:

Hi,

I'm a newbie investor that's been presented some potential opportunities in Cook County, Washington Heights, Fernwood, Englewood area for rental.  Can anyone help me understand these areas?  


I've also heard that property taxes has been on the rise in exponential percentages, is that true?

 Newbie investor + out of state + hasn't been to south side chicago = money in flames.

There is no substitute for a visit in person to the neighborhood. It is imperative before investing. Saying "area" is your first issue. Acceptable vs unacceptable area to invest in is a block by block proposition in these areas. You cannot make a decision based on Washington Heights, let alone the area of Washington Heights. Its a block by block decision partly depending on which gang controls the block.

Property taxes will only go up, the increases are not exponential. 

Originally posted by @Kitty Lee :

Hi,

I'm a newbie investor that's been presented some potential opportunities in Cook County, Washington Heights, Fernwood, Englewood area for rental.  Can anyone help me understand these areas?  


I've also heard that property taxes has been on the rise in exponential percentages, is that true?

 While a lot of money can be made investing in those areas, it is with significant risk and the sort of place where you really have to know what you're doing, or at least be partnered with someone who knows what they're doing, to survive.  

Its kind of like with the show The Deadliest Catch and you're basically saying "hey, I'm gonna buy an aluminum boat, move to Alaska, and go out and catch some King Crab."  

From Chicago born and raised here.  Just be careful as many have already said.  Even a great neighborhood can have bad blocks here in the city.  So unless you do your research as well as have someone you trust with boots on the ground here be very careful with investing.  Also think of what type of tenants you will service, and how high the rents are nearby.  Otherwise you may not cashflow either.

@Kitty Lee

What is your strategy with buying real estate in Cook County?

Are you looking to move in Chicago and use the purchased property as a primary residence or are we talking about an investment property ? Are you maybe looking for a multi unit for hold and rent?  Or fix-and flip?

There are 77 neighborhoods in the Chicago metropolitan area, and there are many subdivisions within those neighborhoods. It is complex. So you would have to be precise with what you are looking for.

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here