All Forum Posts by: Crystal Smith
Crystal Smith has started 65 posts and replied 2753 times.
Post: MBA, practical to a real estate professional or not?
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Matthew Gentile:
I have long been weighing the option of acquiring an MBA as it seems to be the most practical real world degree for someone developing their business acumen and career. As a real estate agent and investor is this required obviously not, but I wonder if anyone can share success stories in regard to an MBA within the real estate world. Has it made a major difference in your business?
Experience is king I'm well aware but...
Is it worth getting? Is the knowledge helpful in this space, any particular specialization, entrepreneurship focus... etc? Any advice on this topic?
Thank you for sharing!
Here's my opinion which is influenced by my partner. He has an engineering degree with an MBA which he used while working corporate. While I'm not saying an MBA is required for real estate the benefit to our business is focusing on establishing systems & processes to run our business along with metrics to monitor how we are doing. The biggest influence from the MBA program was the increase in financial acumen. This insight allowed him to run a division of a corporation and he has translated that into Real Estate.
Do you need an MBA to increase your financial acumen? No. But if can get it then I say go for it. If the real estate doesn't work out then you can apply what you learn someplace else.
Post: Understanding long-term hold deals on Chicago northside
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Mary Arents:
Hi Bigger Pockets Community,
I live in Lincoln Square and am eager to invest in a multi-family property for a long-term hold - ideally on the northside. We would be putting 20-25% down and using conventional 30-year financing. Depending on the size of the down payment, we could take on a property that needs a bit of work.
I have been using the BiggerPockets calculator to analyze deals though I'm having a hard time finding any that have positive cash flow in the first few years. Is this just a function of low inventory, high interest rates, and high taxes?
I am a newly licensed real estate agent and already have a great lender on my team. If you have experience with long-term holds on the northside and are willing to look at a couple of the deals I've analyzed and share your insights, I'd be very grateful.
In the meantime, I'm starting to think creatively about other strategies - looking for off market deals, pooling funds with friends, etc. I'm also starting to put REI meetups on my calendar - looking forward to connecting that way, too.
Cheers!
Feel free to send me the deals you're analyzing, and I'll share my thoughts. My partner & I are hostiing a cashflow game with realtors on the Northside on 8 January. You could potentially make some new friends that could join your investment pool.
Post: House hacking as a newbie
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Rania Mutumhe:
Hello everyone,
I've been learning a lot about house hacking and I think I'm ready to jump in. I'm single and I bought my 2 bed 2 1/2 bath townhouse as a primary home with no thoughts of REI. Mid last year I came across biggerpockets, have been learning about REI and am thinking house hacking maybe the place to start for me. I'll need to make some renovations like finish my basement so I can make use of that as well and move laundry to a more central and convenient spot so it can be shared. What are some things to keep in mind, how does one do a background check, what are the laws regarding that (I'm in St Louis), any advice, thoughts recommendations etc is greatly appreciated.
Thank you
Since there are different regulations in states and counties regarding background checks I recommend you advertise your property via apartment.com. The site is set up to be compliant with local regulations regarding how and when background checks can be conducted.
Post: Robert Kiyosaki Cash Flow Game Meetup
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
We are thrilled to invite you to our upcoming Cashflow Game Meetup, inspired by Robert Kiyosaki’s This is a fantastic opportunity to network, learn, and have fun while sharpening your financial acumen.
Event Details:
- Date: 8 June 2024
- Time: 10:00 AM CST
- Location: Kale Realty- 2447 N Ashland, Chicago IL]
What to Expect:
- Interactive Gameplay: Dive into the engaging Cashflow game and experience firsthand the strategies and concepts from Kiyosaki’s best-selling book, “Rich Dad Poor Dad.”
- Networking Opportunities: Meet like-minded individuals passionate about financial independence and wealth-building.
- Educational Insights: Gain valuable insights into managing personal finances, investing, and creating passive income streams.
Whether you’re a seasoned investor or just starting on your financial journey, this meetup promises to offer something for everyone. Don’t miss out on this chance to enhance your financial literacy and have a great time with fellow enthusiasts.
How to Prepare:
- Familiarize yourself with the basic rules of the Cashflow game.
- Bring a notebook and pen for taking notes.
- Come with an open mind and a readiness to learn and share.
RSVP Now: Please confirm your attendance by 7 June by emailing us at [email protected]
We look forward to seeing you there and taking another step towards financial freedom together!
P.S. Feel free to invite friends or colleagues who might be interested in joining us for this enriching experience. The more, the merrier!
Post: Where do we start?
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Monica Staple:
We are closing soon on a multi use building, we plan to live in the apartment but it needs a complete rehab. Not even sure where to start? I understand we will need a GC since it’s almost a full gut rehab but do they help us get plans together or do I get those and then hire?
These seem like simple questions but google doesn’t seem to have a simple answer.
If it's truly a full gut rehab, I recommend starting with a self-certified architect. You can provide them with your cosmetic ideas for the renovation. The architect will assemble the plans and submit the drawings to the city. In the meantime, they can provide you with a scope of work that you can use to get contractor bids. The architect may even have contractor recommendations.
Post: Asking for help about a deal in Chicago
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Irving Rivera:
I’m looking to buy a multi family property in Chicago, more specific in East Garfield Park 60624. I’m asking for opinions in this area since the crime rate is High and vacancy rate is high as well. The numbers work and seems like I’ll be getting around $500 per door (cash flow) however I’m not familiar with the area and want to make sure is a good investment. I’m a beginner here. I would appreciate your feedback
Adjacent to East Garfield is the West Loop & West Town. Gentrification of the West Loop & West Town is complete so the money is moving west- i.e. East Garfield. Several new builds and some renovations are going on. The closer the project is to Western Avenue, the better.
One of the strategies being deployed in East Garfield is to provide fully furnished rooms with internet and washer/dryers and rent by the room to graduate and medical students as the area is not that far from the Medical district. For this strategy you have to acquire a building within walking distance of the L.
In my opinion- East Garfield is a good bet for investors.
'
Post: Has Anyone Tried This Strategy?
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Jose Jacob:
Quote from @Crystal Smith:
Quote from @Andrew Gavre:
I am targeting homeowners with dilapidated homes that need repair and offering to pay for the rehab and split the profits with them at the end of the project after the sale of the home.
Any idea what this would be called and how to structure it legally? I obviously would want to have control over the property and maybe a pre-determined purchase price?
Thanks in Advance!
We have done this before. It works best if there's no debt on the property. We create a Joint Venture Agreement with the Homeowner and then file a Notice of Interest against the home as our security. The Joint Venture spells out responsibilities and how profits will be distributed. When the home is complete, the Joint Venture Agreement is provided to Title which will also find the notice of interest that has been filed against the property.
Any idea of this working (Filing Notice of Interest) in other States other than IL. ?
We have filed Notice of Interests in Illinois and Arizona. I use the term notice of interest, but it's essentially a lien against the property that is based on how much we essentially lent the homeowner to renovate the home. While no money is exchanged hands the bottom line in the scenario you have laid out you are giving the homeowner a loan that is paid from the sale of the home.
Post: Has Anyone Tried This Strategy?
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Andrew Gavre:
I am targeting homeowners with dilapidated homes that need repair and offering to pay for the rehab and split the profits with them at the end of the project after the sale of the home.
Any idea what this would be called and how to structure it legally? I obviously would want to have control over the property and maybe a pre-determined purchase price?
Thanks in Advance!
We have done this before. It works best if there's no debt on the property. We create a Joint Venture Agreement with the Homeowner and then file a Notice of Interest against the home as our security. The Joint Venture spells out responsibilities and how profits will be distributed. When the home is complete, the Joint Venture Agreement is provided to Title which will also find the notice of interest that has been filed against the property.
Post: Looking for wholesalers in Illinois and indiana
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Dan Delcorio:
Crystal, is your broker open to allowing their agents to perform wholesale transactions?
I'm virtual (TX, real estate agent) and my contractor partner is local to Joliet, Shorewood, Minooka, Channahon and Morris. We are looking to pick up fix and flip opportunities in these areas through direct to seller. Knowing we wont be able to flip every deal, we would need to wholesale some off.
We are open to working with you. May even purchase some ourselves.
Post: Desperate Need For Licensed Contractor/Gc!!!
- Real Estate Broker
- Chicago, IL
- Posts 2,814
- Votes 1,750
Quote from @Jillian S Young:
Good day, from new york ;). I purchased a foreclosed 2 flat in the northern austin area 8/2023...it's now 6 months later and i am having a horrendous time finding legit, reliable and competent contractors. I have of course lost money and time running through contractors who have no time management skills, overwhelmed with other projects and or are just incompetence's ( installing wrong sized toilet and unable to close bathroom door), ( sloppy placement of drywall, botched paint jobs. I am looking a licensed GC, PLUMBER and Electrician who can service the Chicago area. ALL referrals help !! I am an out of state investor , trying to create a go to team. Thank you ; )
I just dropped your a direct message so I can provide you with some referrals.