I want a 3 or 4 unit, but 2 flats are the only thing I see

[Ian Ciborowski]

Chicago mainly has just 2 flats I notice. Correctly me if my thinking is askew but I want a 3 or 4 units as it has the possibility of creating more cash flow. Should I wait until a non-conforming 3rd unit appears on a property or should I go with the two flat? Or keep searching? Any advice, critiques, strategy, or underwriting/math concepts are always welcome. Let's discuss!

[Tj Floros]

Depending on the areas you are looking to invest finding a cash flowing 3/4 unit can be hard especially on the northside. A lot of people try to target 2/3 units with a non conforming unit, lower taxes more rental units but also more risk. If you are looking to find cash flowing deals off the MLS in good areas A/B you might be waiting for a long time. If you are willing to add value to create cash flow year 1+ that is more achievable. I would suggest targeting a 2 flat with a non conforming 3rd unit, something you can add value with like a renovation and expect to cash flow after year 1 or post move out. In the end if you find buildings on the MLS that break even its probably worth looking into and maybe buying, you'll thank yourself in 10 years because its all about getting into the game.