All Forum Posts by: Brie Schmidt

I am looking to house hack a 3-4 unit building on the North Side of Chicago with an owners unit that will offer my family more space than we have now. One option that I am evaluating is buying a 3 flat with a basement and creating an owner's unit by duplexing unit 1 down to the basement. I am wondering if a homestyle loan could cover this. In my current residence we built an ADU in the basement through the cities ADU pilot program. It was extremely expensive because we needed to replace the electrical for the basement, dig down 8 inches, and replace the water service.

Since we would of course be pulling permits in the duplex down scenario, I am wondering if we would potentially need to do all of those major renovations again? It seems like this approach to duplexing down could create a lot of value and make the refinance worth the costly renovations, especially if I could use a renovation loan. Before pulling the trigger I would do market research on the ARV for similar product in that area. Has anyone done this that could share some insights or tips ? Appreciate you!!

Water service and utilities will be required. The dig depends on the ceiling height, if it is already 7 feet after drywall/flooring you don't need to dig. I would budget $150k-$250k to duplex down into an unfinished basement

1 Vote

Chicago, Illinois

@James Huff - I just sent you two referrals depending on what areas

0 Votes

Chicago, Illinois

@James Huff - What suburbs?

0 Votes

Chicago, Illinois

@Naomi Joo - I started off househacking in Chicago almost 15 years ago and have been an investor agent working with house hackers ever since. Chicago can be a complicated market, a lot will depend on your budget and area. I have some property examples I can send over to give you an idea of what to expect. Personally, I would not recommend a property that needs more than a light cosmetic rehab due to our complicated permitting and construction process. Full renovations will run you over $200k here

3 Votes

Dallas, Texas

Quote from @Connor Chatlos:

Hi All,

Looking at some potential BRRRs in some satellite cities of Chicago. Just moved here less than a year ago. Does anyone have or know a place to find some general contractors? Really trying to get a hold of construction costs for certain home fixes.

Also, where is a good place to estimate rehab costs based on a specific property? Want to get better at coming with more accurate numbers.

Thanks!

Honestly, your agent should be able to guide you and provide estimates. Contractors usually won't walk properties until you have it under contract

0 Votes

Chicago, Illinois

Quote from @Kylie Kwon:

Thanks to you both. They looked at the cost of insurance and impact on HOA fees but not the impact on the homeowners ability to sell.

My buyer backed out this morning. One of the board members are trying to communicate with me. The HOA rep didn't care at all and was like you were invited to the meetings.
But there has been no written notices about what this would mean to the homeowners and their property.

Unwarrantable condos/townhomes are difficult to sell and cost more money to buy. I would do your research on the challenges with these types of properties and inform your HOA and neighbors. Maybe put together a letter outlining the impact it will have and deliver it door to door. You get enough pissed off people the HOA will have to respond.

4 Votes

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0 Votes

Join our webinar with real estate expert Brie Schmidt as we dive into the details of the Northwest Side Preservation Ordinance. Brie will discuss how this new regulation affects property owners and investors in Chicago, covering potential impacts on property values and investment strategies.

This session is perfect for anyone looking to stay informed and adapt to the changing landscape of Chicago's real estate market. Make sure to register and secure your spot for this informative session!

2 Votes

Chicago, Illinois

I am terribly sorry to hear this and sending all the positive vibes and strength.

2 Votes

Casper, Wyoming

Quote from @Jennie Berger:

It passed in October! If you go to nboachicago.com/nspo there is a link to message all the alderman. Please share with your network!

1 Vote

Chicago, Illinois

All Forum Posts by: Brie Schmidt

Brie Schmidt has started 266 posts and replied 5884 times.

Post: House Hacking Using 203k or Homestyle Loan to Duplex Down

Post: Friend Looking to Househack

Post: Friend Looking to Househack

Post: Picking a market (Columbus, Dallas, Chicago)

Post: General Contractor Relationships

Post: Help Please. Due to HOA the sale of my home isn’t able to go through.

Post: The bubble is bursting and we're still investing

Post: Webinar : Northwest Side Preservation Ordinance

Post: This is why I invested.

Post: Chicago Investors we have a serious problem : Call to Action

Brie Schmidt has started 266 posts and replied 5884 times.

Rounded Star Post: House Hacking Using 203k or Homestyle Loan to Duplex Down

Rounded Star Post: Friend Looking to Househack

Rounded Star Post: Friend Looking to Househack

Rounded Star Post: Picking a market (Columbus, Dallas, Chicago)

Rounded Star Post: General Contractor Relationships

Rounded Star Post: Help Please. Due to HOA the sale of my home isn’t able to go through.

Rounded Star Post: The bubble is bursting and we're still investing

Rounded Star Post: Webinar : Northwest Side Preservation Ordinance

Rounded Star Post: This is why I invested.

Rounded Star Post: Chicago Investors we have a serious problem : Call to Action

Post: House Hacking Using 203k or Homestyle Loan to Duplex Down

Post: Friend Looking to Househack

Post: Friend Looking to Househack

Post: Picking a market (Columbus, Dallas, Chicago)

Post: General Contractor Relationships

Post: Help Please. Due to HOA the sale of my home isn’t able to go through.

Post: The bubble is bursting and we're still investing

Post: Webinar : Northwest Side Preservation Ordinance

Post: This is why I invested.

Post: Chicago Investors we have a serious problem : Call to Action