John Casmon

What You Need to Know About Rental Registrations with Sean Morrissey, Episode 89

When brokers start telling you to look off-market for deals, you know it’s a hot market. But that’s exactly where Sean Morrissey is finding opportunities and advising clients to do the same. Sean runs a premiere property management firm in the western suburbs of Chicago. He has managed over 200+ properties and holds multiple accreditations from the Institute of Real Estate Management and the National Association of Realtors. On today’s episode, he shares why it’s important to understand the local legislation for rentals and why Chicagoland is still a good investment location.

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Key Market Insights

Purchased first property in Hanover Park in 2003
Owns a real estate brokerage in Aurora
Got license to get access to MLS, not necessarily to become a broker
Focus primarily with investors in the Western Suburbs
Investing Boundaries: 294 Expressway (east), Dekalb (west), Algonquin (north), Joliet (south)
Many villages require you to have an agent/manager if you live 30 miles outside of the village
Aurora has a rental registration and requires an inspection that is stricter than housing authority
Schaumburg, Streamwood, Naperville and others have restrictions
Cities in Arizona and other markets have similar registration requirements
Call the village and understand the rules of engagement
Aurora requires multifamily rental registration as well – 8 or more units is $400 for the year, they need to get in 25% of the units
Chicago is centrally-located; Illinois has more railroad tracks than any other state
Chicago is considerably favorable for yield investing, compared to other markets
Be sensitive to the compression and focus on the long-term yield
Out of market investors still need to visit assets they are acquiring
Best Cash-Flowing Suburbs: Aurora, Elgin, Joliet – all old manufacturing towns on the Fox River