All Forum Posts by: Rochelle Fernando

Inheriting tenants in two units and one empty unit for owner occupancy.

Hey everyone,

I’m comparing two 3-unit multifamily properties in Chicago and could use some input from local investors or anyone who’s done a house hack recently.

• Option 1 – Pilsen: Asking around $750K, recently updated, with below-market rents. Taxes are about $8,000/year, but it hasn’t been reassessed yet — so I’m concerned they could jump significantly once the sale closes.

• Option 2 – Avondale: Similar price range, but the building is older and needs some updating (kitchen, bath, paint, etc.). Taxes are already around $13,000/year, so they seem more “stabilized” from a reassessment standpoint.

My realtor is recommending Pilsen, citing stronger appreciation potential and rental demand. But my worry is that after reassessment and tax hikes, it may be tough to break even once I move out and rent my own unit in a couple of years.

For those familiar with these neighborhoods or Cook County taxes:

• Have you seen big post-sale tax jumps in Pilsen recently?

• Would you lean toward Avondale for longer-term stability, even if it needs more work upfront?

• Which area makes more sense for a first house hack with plans to refinance or buy another multifamily in 1–2 years?

Appreciate any insights from people who’ve run the numbers or invested in these markets!

My goal is to purchase a 3–4 unit property in a B-class neighborhood in Chicago and house hack. Ideally, I’d like to focus on areas such as Logan Square, Bucktown, or Avondale. The challenge I’m facing is that with current interest rates and only 5% down, it’s been very difficult to find a property in the $800K–$900K range that even breaks even, let alone generates positive cash flow.

I’m concerned that by going with a higher purchase price, I’ll be locking myself into a deal that won’t cash flow for years. For those with experience in Chicago’s multifamily market, what strategies or alternative approaches would you suggest? Should I be broadening my search to other B-class neighborhoods like Pilsen, Ukrainian Village, or Irving Park that might offer better numbers while still providing strong long-term potential?

$800,000 to 900,000 with 3 to 4 units.

 Thank you so much!

 

Thanks for the information. I’m planning to house hack, but since this will be my first property, I’d prefer to avoid renovations. 

 

Thank you so much! I’m looking to choose a neighborhood with low entry prices, strong rental demand, and low eviction rates. Do you have any other suggestions?

Thank you all for the insights. When evaluating properties, what key factors should I focus on? Given current interest rates and my plan to put down the minimum, achieving positive cash flow in Chicago neighborhoods is challenging. I’m considering covering some expenses out of pocket while living in the property, aiming to break even once I move out in a year or two.

I’m looking to purchase a multifamily property in Chicago and want to choose the best month to buy so I can rent out the units quickly. I’m considering December, January, or February—which month typically allows for faster tenant placement?

For neighborhoods, I’m thinking about Logan Square, Bucktown, and Wicker Park, but I’m not interested in the South Side. Are there other areas with high rental yields, low eviction rates, and reasonable starting prices for multifamily homes that you would recommend? Thank you!

 Thank you for that. Don't I have to have a household income below the average to qualify for this DPA program. Can you please share the one with no income limit. Thank you!