New Chicago Home Sites

New Chicago Home Sites

New Chicago Home Sites Available Now!

When you buy a new construction home from a builder in Chicago, more than 7% of the sale price goes towards commissions and closing costs.

When you have a builder build your house for you, you save that 7% right off the top!

Because the builder doesn’t have to tie up their own money or sign for a construction loan, they’ll build it for a smaller profit.

All in, you”ll save 10 to 15% or more on your new house just by having a builder build custom for you.

It’s a win-win. You get an exactly the new house you want. You save money and build wealth in the process.

Right now, we have both standard and wide lot home sites available in some of Chicago’s best North Side neighborhoods.

✅SEE available NEW Home SITES, PLANS and COSTS: https://www.ld2development.com/custom-homes/

If you just want to learn more about the whole building process, grab a copy of my new book on Amazon, it’s called: Don’t Buy a New House! BUILD IT or click the link below to download a free ebook.

✅ Download FREE EBOOK: Don’t Buy a New House! BUILD IT https://www.ld2development.com/custom-homes/

#newbuildhomes #custombuilder #newhomes

Build Your New Home!

Build Your New Home!

Opportunity:

Lincoln Square / East Bowmanville

Rare pre-construction opportunity:

Off Market Site Now Available!

Standard Lot 25′ x 125′ RS3

Zoning allows a new home up to 4200sf

Example Numbers:

Lot cost $400,000

Build Cost ~ $800,000 ~ 3400sf

Total Cost ~ $1,200,000 Custom builder will build your new home. Est.

Finished Value ~ $1,400,000 Comparable new homes nearby $1.3 – $1.6M

Simple one loan Construction-to-Permanent mortgage program with great rates on 5, 7 or 10 year ARM’s!

Contact: Roger Luri – 312.380.9650

[email protected]

 

#newbuildhomes #newhomes #mortgage

✅ Get New Book on Amazon:

Don’t Buy a New House! BUILD IT https://www.amazon.com/gp/product/B09PRTVBMH/

✅ Amazon Author Page: https://www.amazon.com/author/rogerluri

Invest IRA and Retirement Funds into Real Estate – Tax Free!

Invest IRA and Retirement Funds into Real Estate – Tax Free!

I meet a lot of people who would like to invest in real estate, but say all of their funds are tied up in IRA’s or 401k’s.

Most people don’t realize that they can easily transfer an IRA or a 401(k) from a prior employer into a self-directed IRA account and then they’ll have complete control to invest in real estate or any number of other investments you choose.

When investments grow Tax Free it’s really a game changer for how quickly you’re going to compound your wealth.

If you’d like to find out more about how self-directed IRA’s work and see how you can start your own, my email is down below, just shoot me an e mail & I’ll send you a link with more information and contact info for the trust company that I use.

They can tell you all about how it works and get it set up for you in a matter of a couple of weeks.

[email protected]

✅ Get New Book on Amazon: Don’t Buy Multi-Family! BUILD IT https://www.amazon.com/gp/product/B09PSFMC6Z/

✅ Get New Book on Amazon: Don’t Buy a New House! BUILD IT https://www.amazon.com/gp/product/B09PRTVBMH/

✅ Amazon Author Page: https://www.amazon.com/author/rogerluri _________________________

✅ Let’s connect: YouTube: https://bit.ly/LD2YouTube

Linkedin: https://www.linkedin.com/company/ld2-development/

Facebook: https://www.facebook.com/LD2Development/

Instagram: https://www.instagram.com/ld2development/

#1 Tax Loophole for Real Estate Investors Closing Dec 31 !

#1 Tax Loophole for Real Estate Investors Closing Dec 31 !

If you’re in a position where you need tax benefits to offset investment income, You should know about a huge break handed to real estate investors by The Tax Cuts and Jobs Act of 2017.

The window to take advantage of it closes at the end of this year. But it’s not too late for investors to get huge tax breaks right now.

I’m talking about 100% Bonus Depreciation which is a way real estate investors and developers can accelerate huge passive losses on their properties in their first year of operation!

It’s been an incredible benefit, but it expires at the end of 2022 and drops to 80% for 2023 and 60% for 2024.

The good news is that if you are an investor, you can still take advantage of 100% bonus depreciation right now by purchasing an income property that is put in service before the end of this year.

So Let me back up for a minute and explain how Bonus Depreciation works.

Most people are not aware that you have the option to use what’s called Cost Segregation to depreciate certain components of your property faster.

The way it works, you have a cost segregation study done by an engineering company that specializes in Cost Segregation.

They divide the value of your building components in to 4 buckets:

Land – No Depreciation

Structural Elements – 27.5 year depreciation

Personal Property – 5 years

Land Improvements – 10-15 years

Using 100% bonus depreciation you can take all the items that depreciate in less than 20 years, accelerate their depreciation and claim all of these passive losses in your first year of operation.

The personal property and land improvement items that qualify for accelerated bonus depreciation are commonly about 30% of the building value / cost.

In our example, with total improvements at $1,500,000, 30% = $450,000 in passive losses you can claim year one!!!

if you have substantial passive income from any investment source, this is going to give you huge tax savings.

Whatever you can’t use, you can roll it forward.

Also, if you or your spouse qualifies as a real estate professional, you can use it against any regular income.

There are some great opportunities to pick up qualifying properties right now.

These can be multi-family rentals or even a single family or other smaller rental property.

The Cost Segregation study itself can be done after the 1st of the year, but the property needs to be purchased and in service (ready for occupancy and offered for rent) before the end of the year.

The clock is ticking, but there are still some great opportunities available.

DM or call me to learn more.

[email protected]

312.380.9650

✅ Get New Book on Amazon: Don’t Buy Multi-Family! BUILD IT

https://www.amazon.com/gp/product/B09PSFMC6Z/

✅ Amazon Author Page: https://www.amazon.com/author/rogerluri _______________________

✅ Let’s connect:

YouTube: https://bit.ly/LD2YouTube Linkedin: https://www.linkedin.com/company/ld2-development/ Facebook: https://www.facebook.com/LD2Development/

Instagram: https://www.instagram.com/ld2development/

Incredible low rates on Mortgage Programs for New Construction Homes

Incredible low rates on Mortgage Programs for New Construction Homes

Now If you’ve been looking for a great new construction house here in Chicago and maybe you’re starting to feeling like the market’s got away from you,

you’re going to want to listen to this, beacause I’m going to tell you how you can save a lot of money on a new construction home and you may qualify for a mortgage as low as 5 1/8 to 5 1/2%!

Now my new Book Don’t Buy a New House! BUILD IT Tells you why you should build your new house rather than buying one.

This is especially true now because there are so few new construction houses available and with the current economic crunch, supply is likely be even lower for the foreseeable future.

To me, the biggest thing is that you’ll be putting most of the builder’s profits in your pocket.

When a builder sells you a new house here in Chicago, they pay about 7% in closing costs right off the top. So for example, on a new $1.4M house, that’s almost $100,000 off the top.

Combine that 7% with a bit lower profit for the builder and you can easily be starting out with maybe 15% additional equity from the day you move in, Which is awesome, right?

Right now we have a great new home site available in East Bowmanville, which is a cool little enclave in the Northern part of Lincoln Square just west of Andersonville.

We have a few great plans you choose from.

But here’s the thing I really wanted to share today local lender Wintrust is now offering an incredible mortgage program designed to help make your project simple and affordable.

It’s called a Construction-to-Permanent loan and it allows you to lock in your mortgage rate up front and then your builder draws the funds for construction as the house goes up.

When the house is finished, you move in and your mortgage is already in place! no closing, no closing costs.

But check it out! Today’s (10/18) rates for a construction to permanent loan start at:

Only 5 1/8 % for a 5 year ARM and only 5 1/2% for a 10 year ARM.

Of course this is a borrower needs to qualify for these rates which depends on your credit and financials.

And I want to be clear, I am not a mortgage broker, nor am I affiliated with Wintrust in any way, but this is an incredible program! 

If this sounds attractive to you, just DM or contact me for more info.

[email protected]

312.380.9650

And to learn more about the whole process, make sure you grab a copy of my book on Amazon from the link below:

✅ Get New Book on Amazon:

Don’t Buy a New House! BUILD IT

https://www.amazon.com/gp/product/B09PRTVBMH

__________________________________

✅ Let’s connect:

YouTube: https://bit.ly/LD2YouTube

Linkedin: https://www.linkedin.com/company/ld2-development/

Facebook: https://www.facebook.com/LD2Development/

Instagram: https://www.instagram.com/ld2development/

✅ Amazon Author Page: https://www.amazon.com/author/rogerluri

How Lenders Make Multi Family Deals Work at Higher Rates

How Lenders Make Multi Family Deals Work at Higher Rates

Investors are just coming out of their state of shock over the recent jump in rates, so lets take a look at how the new reality affects multi family investments.

Just a couple months ago (before rates jumped up) I did a video about your lender’s perspective on risk in multi family investments and another where I go into detail on your lender’s view of LTC & LTV.

Here are links for these:
https://youtu.be/Tmr6l4acJmA
https://youtu.be/lap9Jy0-KCY

The way for investors to control risk is through using less leverage which means a lower LTC/LTV.
Now that rates have gone up considerably, we see this playing out in the market in 2 ways.

First, the good news (for landlords, not for tenants):
Rents are at all time highs and all indications are that they will continue to rise.
So with rents at highs and going higher, it’s still a great time to invest in multi-family, but here’s where we run into trouble.

With higher rates, debt service (mortgage payments) will be higher and this will reduce (or even wipe out) cash flow.
Given a fixed amount of rent income and expenses, the only variable that can reduce mortgage payments is a lower loan amount.
There are only two ways to achieve a lower loan amount. One would be a lower purchase price and the other is a lower LTC/LTV which means the investor needs to put more equity into the deal.
Demand for multifamily properties has been very strong which has kept prices high and pushed cap rates to historically low levels.
We are starting to see some pressure in certain markets, but overall, sale prices have remained strong.
In order to make cash flow and risk profile numbers work, lenders are beginning to offer smaller loans (Lower LTC/LTV). Some lenders who were lending 75% LTC or 70% LTC may now be willing to lend only 65% or 60%.
This means that Investors need to put up more equity and use a bit less leverage in their investments.
Because many smaller investors are a bit less flush with cash now that their stock market positions have dropped, they will naturally be less willing and able to do that, which we’d expect would mean less buyers in the market and eventually lower prices for multifamily properties. But with rents at all time highs and pushing higher demand is still very strong, so a drop in prices may never materialize.
The bottom line is that if you are in a position to invest, it’s a great time to do it.
Using a little less leverage may lower your returns slightly, but returns are still very attractive and you have less risk!
Commercial mortgages are always adjustable anyway, so it makes less difference in the long term than with a 30 year fixed residential mortgage.
✅ Get New Book on Amazon: Don’t Buy Multi-Family! BUILD IT https://www.amazon.com/gp/product/B09PSFMC6Z/
✅ Amazon Author Page: https://www.amazon.com/author/rogerluri
✅ Download FREE BOOK: https://www.ld2development.com/comm-mf-mixed/
_________________________
✅ Let’s connect: YouTube: https://bit.ly/LD2YouTube
Linkedin: https://www.linkedin.com/company/ld2-development/
Facebook: https://www.facebook.com/LD2Development/
Instagram: https://www.instagram.com/ld2development/

Paying Cash for a House? Dave Ramsey Says Time to Build New (Like he is)!

Paying Cash for a House? Dave Ramsey Says Time to Build New (Like he is)!

About 4 months ago, I did a video questioning the wisdom of paying cash for your house purchase.

https://youtu.be/46Kgn48KMc4
At the time, there were very few homes on the market and with multiple offer situations, many people were buying homes with cash.
If you instead took out a big mortgage at a sub 4% rate, congratulations!
But if you’re still thinking of paying cash, now is the best time to build your own new home.
With builder’s now pulling back, you can save a ton of money by having a builder build for you.
Yesterday, I shared Dave Ramsey’s advice to a caller on his show where he not only advised the caller to go ahead and build their new home, but he said he’s about to do the same!
My Book “Don’t Buy a New House! BUILD IT” shows you how you can too,
You can see some of the numbers in my prior video Here:
https://youtu.be/46Kgn48KMc4

But better yet read my book, there is a link below!

✅ Get Print Book on Amazon: Don’t Buy a New House! BUILD IT
https://www.amazon.com/gp/product/B09PRTVBMH/
✅ Amazon Author Page:
https://www.amazon.com/author/rogerluri
✅ Download FREE eBook:
https://www.ld2development.com/custom-homes/
_________________________

✅ Let’s connect:
YouTube: https://bit.ly/LD2YouTube
Linkedin: https://www.linkedin.com/company/ld2-development/
Facebook: https://www.facebook.com/LD2Development/
Instagram: https://www.instagram.com/ld2development/gram: https://www.instagram.com/ld2development/

How Higher Rates Affect Multi-Family Deals

How Higher Rates Affect Multi-Family Deals

Several months ago before rates jumped higher, I did a video (link below) talking about controlling risk where I discuss the concepts of “Loan to Cost” vs “Loan to Value”.

https://youtu.be/Tmr6l4acJmA
https://youtu.be/lap9Jy0-KCY

With today’s higher rates and prices not really dropping (yet), lenders are improving the risk profile and viability of their deals by reducing loan amounts.
For example, if a lender was willing to lend 75% of value on a multi family acquisition loan before, they may now only be willing to lend say 65%.
This makes sense since rates have gone up substantially, the smaller loan amount may have a payment similar to the payment for larger loan amount at lower rates.
Assuming the same rental income numbers, if the mortgage payments and expenses are still the same, the cash flow from the deal would be the same.
The only other way to keep cash flow in an ecceptable range would be to lower the loan amount by lowering the sale price of the property.
In most markets, there has been so much demand that we just haven’t seen prices dropping.
So higher rates may mean that multifamily investors will need to put more equity into their deals to make the numbers work. This means less leverage and a bit lower returns. But It also means less risk for you in your deal, which is why I was recommending this in my prior video several months ago even though rates were much lower at that time.
With a lower loan amount and a bit more equity in your deal, returns are reduced a bit, but still attractive (especially compared to the stock market right now), so with rents at all time highs and with all indications still pushing higher, these deals still are in big demand!

✅ Get New Book on Amazon: Don’t Buy Multi-Family! BUILD IT https://www.amazon.com/gp/product/B09PSFMC6Z/
✅ Amazon Author Page: https://www.amazon.com/author/rogerluri
✅ Download FREE BOOK: https://www.ld2development.com/comm-mf-mixed/ _________________________
✅ Let’s connect: YouTube: https://bit.ly/LD2YouTube
Linkedin: https://www.linkedin.com/company/ld2-development/
Facebook: https://www.facebook.com/LD2Development/
Instagram: https://www.instagram.com/ld2development/
Does Your Home Need More than Just Staging!

Does Your Home Need More than Just Staging!

Recently I noticed that a home that we built in Old Town in 1997 or 1998 sold for just over $1M.

The reason I was struck by this was that the person who sold it had purchased the house 2004 for just over $1.5M!

Now when he bought it in 2004, the house was then only a few years old and the finishes were all stylish and new.
But when he sold it 15+ years later, the finishes were old and dated. The level of finishes was just not on par with new houses that had gone up in the neighborhood which were now selling for well over $2M.
With the new construction homes nearby priced higher, his house was being presented as a “fixer upper”.
His house has great “bones” (it’s a full masonry house, 3 story + basement).
If he would have put maybe $150-$200k into some updates and to address some deferred maintenance, the house would have compared favorably to the new houses in the neighborhood and would have easily sold for $1.8 – 1.9M.
Instead of losing money, he would have been able to easily put another $500-700k in his pocket.
Most homeowners don’t spend a lot of time thinking about updating and improving the condition of their home on a year by year basis, so it’s not unusual for a home 10 or 20 years old to be in need of some updating before hitting the market.
If like this gentleman, you suddenly find that it’s time for you to move, you may not be prepared. Still, even if he wanted to move right away, the house could have easily been updated and put on the market after he left town.
I felt bad that he didn’t get out of his house what he should have. I wish he had talked to me before he put his house on the market, but unfortunately he did not.
The good news is that the people who bought the house got a great bargain. They did an extensive rehab and the house is now beautiful and compares favorably with new $2M+ homes nearby.
The new owners will do really well on it when they sell!
Bottom line is: Before you think of putting your home on the market, Make sure go through it’s condition and marketability with a professional who can help you to maximize your return on investment!
✅ Get Print Book on Amazon: Don’t Buy a New House! BUILD IT https://www.amazon.com/gp/product/B09PRTVBMH/
✅ Amazon Author Page: https://www.amazon.com/author/rogerluri
✅ Download FREE eBook: https://www.ld2development.com/custom-homes/
_________________________
✅ Let’s connect: YouTube: https://bit.ly/LD2YouTube
Linkedin: https://www.linkedin.com/company/ld2-development/
Facebook: https://www.facebook.com/LD2Developmen/
Instagram: https://www.instagram.com/ld2developmen/
Dave Ramsey Says Build Your Own New House Now!

Dave Ramsey Says Build Your Own New House Now!

Yesterday, I shared Dave Ramsey’s advice to a caller on his show where he not only advised the caller to go ahead and build their new home, but he said he’s about to do the same!

My Book: “Don’t Buy a New House! BUILD IT” shows you how you can too,
You can see some of the numbers in my prior video Here: https://youtu.be/46Kgn48KMc4
But better yet read my book, there is a link below!
✅ Get Print Book on Amazon: Don’t Buy a New House! BUILD IT https://www.amazon.com/gp/product/B09PRTVBMH/
✅ Amazon Author Page: https://www.amazon.com/author/rogerluri
✅ Download FREE eBook: https://www.ld2development.com/custom-homes/ _________________________
✅ Let’s connect:
YouTube: https://bit.ly/LD2YouTube
Linkedin: https://www.linkedin.com/company/ld2-development/
Facebook: https://www.facebook.com/LD2Development/
Instagram: https://www.instagram.com/ld2development/

Dave Ramsey: https://youtu.be/Vgbny3M6VOo