All Forum Posts by: Chris Titcomb

@Martin Neal, a Chicago Title sworn contractors statement form can be found HERE.  Basically, the title company wants to know which tradesmen you hired and whether you've paid them in full for their labor and materials.   If they see that there is a balance due, that's a red flag that a mechanic's lien may be filed, which creates potential for a title claim.   PM me and I'll send you a form that gives instructions for completing this form, as well as instructions for completing lien waivers. 

@Martin Neal, congrats on taking action!  (Most people never get past the idea phase.)  My two cents: remember to get lien waivers from all subs/contractors and get a sworn contractors stmt from your GC.  Many new investors never obtain these docs and invariably run into problems at the closing table with the title company.  I've seen new flippers fail to obtain the proper paperwork and title companies require a holdback of full proceeds until documents are provided!  Staying organized, keeping records, and implementing systems is essential for all flippers, new and seasoned!

@Ashley Pimsner, sounds to me like she's getting greedy.  "If I were a betting man," I'd suspect that as soon as you refuse to pay the "finders fee," she'd figure out a way to get the deal signed.  Considering that she's a dual agent, the old phrase "a bird in the hand is worth two in the bush" applies here: if you pass, the likelihood that she'll be a dual on the second buyer is much lower...and she should realize that.  Her commission should already be fixed via the listing agreement, so I think she's just "trying to squeeze blood from a turnip."

@JayThomas - I've closed 3 HML deals with lending home in the past 2 months and they were horrible, in my opinion. All three deals had delays with loan packets, ordering appraisals, funding authorization, you name it there was a problem and it was far from smooth. I've had better luck representing clients using HM from Renovo and Gold Coast Capital. I was at the NAR event over the weekend and RCN Capital had a booth. Never done a deal with them, but they lend in the chicago market.

Hey @Frank Serrano - Keep me posted on the CAREIA as well.  What type of property are you looking to acquire for your first deal?

We are offering an unpaid mentorship opportunity for you to learn to be a well-rounded real estate investor.  In exchange, you'd help us find and acquire future real estate properties (also known as "birddogging").

I have a general structure in mind that I think could be a win/win.  Basically, me and my team would make time to meet with you to mentor you.  In exchange for this learning opportunity, you'd help us find potential off-market properties.  We would give you a list of properties and you'd literally go door to door to inquire with the owner if he/she has any interest selling while dropping of a flyer to each property.

The benefit to you is that you'd have the opportunity to be mentored by three real estate investors that are active in the industry (i.e., a real estate attorney, a realtor, and a general contractor). It could be a great education for you as you learn more about real estate investing.  You would shadow the attorney at a few closings.  You'd shadow the agent at listing appointments and/or showings.  And you would go to various project sites with the general contractor to get a grasp on the rehab process.

If this sounds interesting to you, please respond to this ad and we can discuss in more detail.

Yes, @Chris Paul, to echo @Brie Schmidt, the Chicago security deposit ordinance is strict liability.  And section 5-02-080(e) of the Chicago Residential Landlord Tenant Ordinance (also known as the RLTO), states that 

"...the successor landlord of such property shall be liable to that tenant for any security deposit, including statutory interest, or prepaid rent which the tenant has paid to the transferor."  

However, if the tenant sues for any violation of the RLTO, section (e) goes on to state that the "well-known company" remains:

"jointly and severally liable with the successor landlord to the tenant for such security deposit or prepaid rent, unless and until such transferor transfers said security deposit or prepaid rent to the successor landlord and provides notice, in writing, to the tenant of such transfer of said security deposit or prepaid rent, specifying the name, business address and business telephone number of the successor landlord or his agent within ten days of said transfer."

I suspect the above notice was never provided, meaning the tenant may sue you and the well known company as a co-defendant for the return of the deposit, or you may have a third party complaint against the well known company, if the well known company is not named as a defendant in the initial lawsuit.  (Collecting and/or suing a dissolved company or its successor is another topic all together.)

Hi @Andrew Harris, for Chicago code violations you can go here: https://www.cityofchicago.org/city/en/depts/bldgs/...

And for Cook County recorded liens, you'll need to type in the PIN and go here: http://cookrecorder.com/ (click on Search Public Records)

Good luck!

Congrats on the investment property goal Steve Kim - there’s certainly a ton of useful info on this blog to help educate you and give you the blueprint for employing the BRRRR strategy. And whenever you’re going to make one of the most important/expensive purchases of your life, it’s nice to know you have a collaborative environment here to ask questions and gain insight.

Steve Franco , I have a number of clients that implement this strategy, mainly due to the low acquisition cost. However, keep in mind that standard title co rate card closing costs of a 30k parking spot in Illinois are basically the same as a $200k condo, so they’re more expensive to buy/sell.