All Forum Posts by: Mike Nelson

Experienced investors are always looking for wise, intelligent, honest, and hard working beginning investors, so they would not want to miss out on such an opportunity.

I hope this works out for you @Nick Feliciano.  It is more of upscale market than I am used to, with higher end finishes.  It appears to understanding the finishes and amenities the newer condos have as a way to understand the market and meet the need.  It includes things like kitchen cabinets, flooring, wall tile, fixtures, appliances, color, etc.

There is an article in today's Crain's Chicago Business about investors flipping condos in downtown Chicago.  In on example, an investor buys a 1960 sf condo in Olympia Center, a 30-year old upscale high rise in a great location.  Purchase price $725,000, estimated selling price $1.4 million.  There is no information about renovation, holding, sales, etc. cost.  The idea is that the property's interior looks dated, and a buyer likely would be turned off by such an interior-they want it to look like 2015.  There is apparently a shortage of nicer condos in this desirable area.  It was also stated renovation in such a building may present challenges such as access to freight elevators, etc.  Does anyone agree there can be opportunities in this sector?

Something to be really proud of.  Looks like the costs were contained well, given the amount of work.  How was the Juliet balcony designed?  It really looks good, but In Chicago, they would be built either big enough to accommodate a small table and chair, or built almost flush to the wall.  This one might fit a house cat.

Good question, responses.  I will just add I have had prospective tenants drive up in a brand new Mercedes to look at a section 8 apartment in Chicago, and was not impressed.

How did this get resolved?

I have a six unit.  I have a large company supply the washer and dryer, located in the basement.  They pay me about half of the change they take in, and take care of they maintenance.  I make a little bit, but am more concerned about providing a basic service to tenants.  I have considered placing machines inside the unit but in my case have found no place to put the machines.

I just want to add be careful however it is handled that children or pets cannot be poisoned - or make false claims as such.  20-years ago my tenant who served as a "handyman" placed mouse poison under a fixture of a tenant, who claimed their child ate the poison, though there was no evidence as such.  As I recall, insurance dealt with it, and it was discovered the story was fabricated.  It taught me not to be put in that situation again.  Perhaps having a professional do the work is a solution, no legal advice given.

Good question.  Hiring the right management company is a key move, and hiring the right one is critical.  I look for one with a track record of managing your type of property.  Get referrals when possible and check references.  Interview them at length.  You should feel comfortable speaking with them, they should show interest in a mutual success.  They need to perform a list all the management functions you need to have done.  Walk properties they manage and speak with tenants.

I self-manage my six units a few miles from where I live. I may consider hiring a management firm and pay them so much a month to mange.  The key is HIRING THE RIGHT MANAGER.  This is not typically easy.  The time taken to get referrals, references, etc. is critical and time well spent.  The management firm needs to be honest, experienced, smart enough and willing to get the job done.  If I decide to hire a management firm, I need a checklist of all the tasks they will perform in some detail, and what functions they do not do etc.  In my mind, most managers I am not the RIGHT MANAGER.  Internally, they need to have sound systems with capable people executing the systems so it is win/win.  I would manage my management company to be sure systems are followed over time.