All Forum Posts by: Crystal Smith

Kumar: search for "chicago meetup" and you'll find one local group. There's almost least 3 or 4 REI groups that have monthly meetings.

Emma:  Everything is the posts above is right on.  

1. What neighborhoods/zip codes are good and safe for rentals?- Chicago has 77 communities, each with different personalities.  You can utilize tools like Trulia that include a crime map, to determine if a neighborhood is safe.  But... the map won't tell you where major investments are being made by the city, major companies... gentrification is alive & well.  Regarding Chatham- Great area for flipping or buy and hold.  

2. Any recommendations for good local property managers, wholesalers and conventional loan broker?  We have a preferred list.  Send me a PM & we'll provide some references.

3. What's average price(range) for a 3br/2ba SFR? and what's rent$ for the house?

In & around the Chatham area you should be able to get in & out of a property; (purchase price & renovation for ~$100K. (Give or take a few thousand) This is if you're plan is to purchase & flip the property.  If you plan is to hold the property, you may be able to get away w/ a lower cost renovation.  Market Rents for 3/2 will be ~$850-$900.  Section 8 or Voucher will actually be higher- ~1K.  

4. Is small multifamily(2-6 units) easy to be rented out comparing to SFR?

Much depends on the size of the units in the multifamily.  This is a metropolitan area where people are accustomed to living in apartments or condos.  The more bedrooms & the larger the size of the rooms the easier it is to rent.  Honestly I think there may actually be much better opportunties to cash flow in the multifamily area than SFRs.

5. Any other suggestions/tips about investing in the market?

It's all about your team here;  attorney, realtor/property finder, inspectors & General contractor/handymen; Title company.  One area of caution- General Contractors & the building department.  We've gone thru multiple GCs.  They always start out good then something happens.  So we are constantly adding to our list of GCS and monitoring home many jobs they may be on.   

I would not communicate directly w/ this seller again.  Communication should come from the attorney to the seller referencing your compliance with the contract & his non-compliance, if any.  As long as you've complied w/ your portion of the contract the seller is in a weak position. 

Love reading this thread. I have nothing more to add other than find a REI group that plays the Robert Kiyosaki cash flow game on a regular basis. In a safe environment you'll start to learn the real objective of this business; i.e. build a passive cash flow that from real estate, paying down debt, buying businesses...... Play the game on the board then come play it for real. In town, out of town. Use the forums on BP & other sources to analyze the opportunities then dive in.

Give us a call.  We have several deals in Chicago that may be a good fit for your investors.

Your business decision should not be based on helping out unless your a charity.  Run the numbers and consider your profits.  If you can't make the numbers work you have to be willing to walk away.

Lots of ways to get involved in investing with only $20K.  Much depends on your short & long term Return on Investment goal.  Things we've done in the past.  

• Leverage Hard Money- There are some legitimate sources in Chicagoland for hard money. The costs of money is expensive but your ROI will be high because your'e using Other people's $. The challenge is making sure you have multiple exit strategies. Even with a quick renovation days on market in the Chicago winter can eat in to your profits.
• Partner with someone- This could be as a passive investor or an active investor. It could be your deal or someone else who's looking for a partner. I recently attended an REI meeting in Chicago & there were 1/2 dozen or more people who were looking for partners.
• Crowd Funding- Lots of rules associated with using this strategy but it works if you have the right deal & mechanisms in place.

Please add Pontifex Global Real Estate to the meetup.  Our address is [email protected].  

Thanks