I am interested in purchasing a multi-family unit that is <100K and is in a decent area where finding good quality tenants would not be a problem.

Asked by Sanjay, Outside U.S. Wed Jul 11, 2012

I would be paying cash for this property. I have been going on realtor.com but as I am not from the Chicago area, I do not know what areas to avoid. Would someone be able to assist me?

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11
Jose Hernand…, Agent, Chicago, IL
Sat Jul 14, 2012
Sanjay,

It's all about Risk & ROI....There's properties available in Chicago in that price point, but this properties are located in areas not so desirable, this makes it riskier but the return might be better (High Risk, High Return). On the other hand, if you want to invest in something safer the return might be lower but at least your money and real estate is safe.
From my clients and personal experiences, these types of properties require you the landlord to be involved. This may be a challenge if you're outside the country, it's even a challenge for someone in another state at times.
There's other opportunities available out there, give us a call and we can explore some options.


Good luck!

Jose Hernandez
Coldwell Banker Residential
312-788-7079
Jose.Hernandez@CBexchange.com
0 votes
Bill J Delig…, Agent, Naperville, IL
Wed Jul 11, 2012
Don't throw away your money unless you are going to be an active investor. Managing a property from overseas may be difficult, unless you are will to hand over the reigns to a management company who will charge you a monthly fee. Properties for less than $100k do exist ,it is simply a function of your risk tolerance and expected rate of return. I have helped many people purchase multiunits for less than $30k, BUT they are ALL active and hands on investors.
0 votes
Erik Sachs, Agent, Chicago, IL
Wed Jul 11, 2012
Sanjay-

I act as buyers agent for several cash investors on Chicago's South side. I also own and manage over 100 residential units in these same areas. Many of my tenants have a Section 8 subsidy to help with their rent. We are pretty good at finding good tenants with these qualifications. In Chicago, you will get the best return for your money at the price point you mentioned using this equation. I am also a licensed general contractor. I can help you find the property, renovate, rent and manage the property.

Please call or email me and we can talk more about different opportunities. Thanks,

Erik Sachs, CDPE
RpV Realty
esachs@rpvinc.com
773/368-5515
0 votes
Ivan Sagel, Agent, Chicago, IL
Wed Jul 11, 2012
Sanjay,

If you want quality tenants and a quality area, you will need more than $100k in Chicago. Do you have local business partners to help you buy and manage property?

Best of luck,
Ivan Sagel
312-515-7823
IvanSagel@DwellOneRealty.com
0 votes
Matt Laricy, Agent, Chicago, IL
Wed Jul 11, 2012
Get good buyers agent that knows these types of sales.
0 votes
Sarah Ziehr, Agent, Chicago, IL
Wed Jul 11, 2012
Hi Sanjay, I checked the MLS and there are actually two units that meet your criteria right now on the MLS, both in the Austin neighborhood. I'd be happy to send you additional information on these properties. I've also been working in the rental market for the past two years, and I'd be happy to help you find renters if needed. Please get in touch with me if I can help!
0 votes
Joe Schiller, Agent, Chicago, IL
Wed Jul 11, 2012
so am I..where do you live and how did you get so out of touch with reality..I suggest you look in Dekalb county..that is not even close to reality in chicago
0 votes
I don't understand your response and especially the rudeness of your response. There are indeed multi-family units in Chicago that are sub-100K.
Flag Wed Jul 11, 2012
Philip Sencer, Agent, Chicago, IL
Wed Jul 11, 2012
I do not think you can find a multi family building in any areas of Chicago unless it needs work to fix up. Finding quality tenants is always a problem. If you are not from this area how will you manage the building?? Hire a management firm? Sounds like you might be gettting involved in more than you can handle, but let me know if you want to talk about it.
0 votes
Yes, I would hire a property management firm to find and manage tenants. I have 6 properties in Florida that are managed this way and I am now looking at other markets to diversify.
Flag Wed Jul 11, 2012
Michelle Quan, Agent, Chicago, IL
Wed Jul 11, 2012
Sanjay,

I would most definitely be interested in helping you find a multi-family unit. Your best bet is to go and see some different neighborhoods with a Realtor. If you are looking for some Real Estate assistance please call Michelle Quan CNS with Coldwell Banker at 312.953.4650. I look forward to hearing from you.

Best regards,

Michelle Quan CNS
Coldwell Banker Residential Brokerage
Broker
0 votes
Judith Walton, , Chicago, IL
Wed Jul 11, 2012
Are you interested in rehabbing a property or buying one ready to go
0 votes
Either approach would work for me. The CAP rate is what would drive my decision.
Flag Wed Jul 11, 2012
Maria Ascenc…, Agent, SAINT CHARLES, IL
Wed Jul 11, 2012
Sanjay

I can send you properties to your email if you like.

Please feel free to contact me via email
mariarascencio@yahoo.com

Maria Ascencio
RE/MAX Platinum
0 votes
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