All Forum Posts by: Ibn Abney

@Robert Richardson considering the drive from Chicago, I believe Milwaukee and/or Indy to be better markets for long term value.

@Account Closed I totally understand where you are coming from and believe your intentions were good!

I wouldn't start long distance flipping personally, however I do believe it is possible with the internet and technology to flip long distance. I work full-time and spend little time in physical properties. I am starting to feel more comfortable investing long distance if and when I find boots locally. Which is of course the biggest hurdle. 

Acting as a hard money/private lender is a form of long distance flipping to a certain degree. Partnering, crowdfunding, syndication, or buying a plane ticket and flying out to the unit, etc.

Also, my assumption is if you want to invest in the US from an international home base you have some $$$ saved because traditional loans are much tougher.

One of the best threads of 2018... LOL... seriously hilarious stuff...  :-)

We can all agree that no one investor is the same and there are multiple ways to handle this issue.

@Shachar Hess I think disregarding entire states, especially where the majority of the US population resides, is a mistake. Every market, especially large metro markets like Chicago, New York, and California have several sub-markets and not all sub markets are the same.

Also, the term "overpriced" is relatively to different investors.

The true goal of a flip is to move it as quickly as possible and the large markets make it easier to do so. Also, finding quality contractors and skill workers are easier, especially if you are long distance.

BP is a great place to find all contacts needed. I would look for large metro cities, with large populations for a long distance flip. Look for a good school district, low crime, and a robust local economy. 

Good Luck!

@Corby Goade Very well said!!!

@Yan B. Did you hear the Elon Musk announcement yesterday!!??

Forget the burbs.. the City if Chicago is the place to be IMO!!

https://www.reuters.com/article/us-musk-tunnel/elo...

@Francis Rusnak South Side Chicago!!! South of 14th st but north of 51st street.

I am very Curious to hear from others on where they see higher cash flows (on avg) 

- Suburbs rentals vs. City rentals?

@Andrey Y. I think the Coast(NYC and Cali) more specifically are seeing a re-balancing of population (High-income/Median Income/Lower Income). 

As lower income folks leave, due to housing costs, higher income folks enter the state (retirement folks, CEOs, wealthy foreigners etc.) hence the cost of housing is increasing. A true decrease, in my mind, should cause prices to dip as well.

This is a recent article regarding millennial's movement. 

http://www.businessinsider.com/where-are-millennia...

@Mark Kovacs Does the Cleveland unit cash flow if you raise the rents? If so, I would just give the tenants proper notice and raise the rents. This is a business. If they move, they will have to pay higher/market rents anyway. Or offer to sell them the property.

Going forward, I think there is a lot of opportunity in the city of Chicago. There are a ton of good areas and being local is always a benefit when scaling. 

Lastly. I like the series LLC structure and I would set up sooner than later, but get at least 2-3 rentals first, IMO.

Good Luck!

@Conrad Kostrzewa IMO i wouldn't buy a west loop condo for 1 yr. We both know you wont cash flow as a rental (maybe via airbnb/STR, but those HOA fees in the loop are a deal breaker) and too much new inventory is being built. Also, I dont see you making much money flipping a condo in a 1yr (unless you really do find a good BRRR deal).

If you want to rent a condo in chicago, I would go further North. Uptown, Edgewater, Rodgers park. Area is safe and you can get $100-$300 bare minimum as a rental. More if you BRRRR.

But if you have the budget for a West loop condo, why not just buy a 2-3 flat with 5% down?  

Best of luck!