All Forum Posts by: Lumi Ispas

Do you want to get started and looking for a game plan and step by step instructions? Do you already own a home and want to take next step towards building wealth? This is for you! 

Information for this Seminar:

Date:     March 24th, 2018

Time:    10:00-12:00

Location: 1161 W. Madison, Chicago, IL 60607

RSVP to Lumi Ispas, [email protected]/ Century 21 SGR/ 773.392.2906

@Tim Coppola , you can let them find the sublets, with the condition that you vet and approve the new tenants and make sure the new tenants meet your specifications. As long as the present tenants are fine with your conditions, go ahead a sign either a 9 or 12-month new lease. Also, build a price increase in the new rent, as those tenants have the rent at the price from 3 years ago.

@Connor O'Brien , you have a 10% built in reserve for the construction loan to use in case you discover other things to be done. Talk to your lender about it.

@Meera Lakhavani , all 203K consultants are in demand now. I just closed on a 203K and have two under contract. The paperwork takes time. Make sure your contractor has all licenses in place and has done 203K before. I just had to have a contractor take a "lead certification" class yesterday as he was not aware the bank will ask for that certification. 

With the right team in place, this is doable. And in negotiations, you can ask to change the amount of earnest money. What's the worse that can happen?

@Meera Lakhavani ask your lender how sure he is the loan will close, ask your real estate broker how sure she is of the after repair value and appraised AS-IS value and ask your contractor if the 185K includes all the upgrades, finishes, etc that you have in mind. I will add another 15% to that bid for safety and if everything checks out, add two-three weeks on top of the time frame the lender gives you to close the lone and if you are comfortable taking the risk - go for it. 

One more thing- have your attorney add a clause that you can request at least one extension and see if the seller will accept $1000, $2,000 pr $3,000 nonrefundable instead of $5,000.

Good luck to you!

@Luke Shaw , in time you will be able to cover more than one neighborhood. In the beginning, you start with one, learn it well and keep moving as your client base grows. I started in those neighborhoods and after 6 years I moved to West Loop and start selling Downtown!  What I learned is that the buyers looked for different products, and I had to learn a lot of new things, which is what we do in Real Estate at all times anyway! Good luck to you!

@Dan Velez , I will message you with a contractor's info!

@Luke Shaw , Congratulations on passing the broker exam!  I believe you are on the right track looking for a brokerage with an awesome training program. As you are getting in full time, you want to work for a company that is centrally located, in a market with a lot of transactions and leads in addition to the training program! 

Are you looking in the city or the suburbs?

@Victoria King , I am glad to see someone so thoughtful. As a number of brokers above mentioned, working with one agent per area is the way to go. All brokers have access to the same properties on the MLS and working with multiple agents in the same areas it won't help you.

A lot of investors are under the impression that just finding a deal takes a little time from a broker. What they don't know is the time and money that broker invested to get to that point in their career, where they can find a deal in 10 minutes on the MLS. Also, loyalty pays off. When I find an awesome deal on the market that doesn't match one of my active buyer's search, I always call my best clients, the ones that have used my services for years and sent me continuous referrals. Loyalty pays both ways!

@Dave Madoch , paying off three properties, getting tax deductions and having the possibility of equity growth through appreciation in 3 properties in addition to cash flow is a GO for me! You are in a great position!

I would say go for it!

@Yuriy Kaunzinger , first of all, Congratulations on you pulling the trigger and buying at such a young age!

In over 15 years I've done over 550 deals for clients and in 18 years, I bought a lot of properties for myself. From my own and my client's experience, I will say that almost everyone gets the jitters! I personally ask myself everytime I buy or sell if I am doing the right thing and make sure I go through the price and reason why I buy or sell with someone that has done even more deals than me.

Buying and selling real estate is a highly emotional transaction, especially for you, which is your first purchase. The numbers that you are relating are fine, and I would say, talk it again through with your Realtor or a mentor and then move on with the purchase knowing all is normal. :)