598: How to "Invest on Repeat" with The BRRRR Strategy

Apr 19, 2022

Guest

Christian Bachelder

Guest

David Greene

David Greene, author of "Buy, Rehab, Rent, Refinance, Repeat," and Christian Bachelter, real estate financing expert, dive into the actionable details of the BRRRR strategy. Greene shares a real-life case of transforming a hillside property into multiple rental units, emphasizing the importance of smart renovations and cash flow. They discuss spotting good BRRRR deals, using the BiggerPockets calculator for analyses, and overcoming common financing hurdles. With humor and real insights, listeners gain a masterclass on navigating real estate investments.

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ADVICE

BiggerPockets Calculators

Use BiggerPockets calculators to analyze deals and determine their viability.
They guide you through necessary questions and data, simplifying real estate math.

ADVICE

Finding BRRRR Properties

Find BRRRR properties by looking for fixer-uppers with good bones that need cosmetic work.
Look for properties where you can add square footage or convert existing space.

INSIGHT

Building Equity in BRRRR

Equity in BRRRR deals comes from market appreciation, buying below market value, or forced appreciation through renovations.
Focus on increasing the After Repair Value (ARV) through these methods.

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The BRRRR method can be taught by no one better than David Greene, author of Buy, Rehab, Rent, Refinance, Repeat, and adorably dubbed “Sir BRRRR” by co-host Rob Abasolo. While David may be a master of BRRRR budgets, schedules, and rehabs, Rob isn’t as familiar with doing full-on buy, rehab, rent, refinance, and repeat rentals. To not only help out Rob but the BiggerPockets audience as a whole, David does a full walkthrough on his latest BRRRR.

This hillside property situated in David’s native San Francisco Bay Area has huge potential to become a cash-flowing, equity-increasing deal. David is turning this large home into multiple smaller units that will rent out to A-class tenants and should net him a six-figure equity boost simply by doing these cash-flow-first renovations.

David walks through exactly how to find BRRRR properties, telltale signs of a good (or bad) BRRRR deal, how to use the BiggerPockets BRRRR calculator, funding options for your BRRRR (from David's broker!), writing up a contractor scope of work (SOW), and how to build cash flow when there isn’t any to be found. You’ll also hear how David had a surprise run-in with the cops when walking this property. Action, excitement, and lots of equity are all coming up in this episode!

In This Episode We Cover:

The first signs that a property may be a great BRRRR deal

Using the BiggerPockets BRRRR calculator to evaluate deals and raise private capital

Financing options you have when funding (and rehabbing) a BRRRR

Contractor bids and BRRRR budgets (even if you don’t have rehab experience)

Before photos and David’s exact conversion plan to turn a single property into a cash-flowing multifamily

The huge wealth-building benefits of getting creative when finding value-add real estate

And So Much More!

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BiggerPockets Youtube Channel

BiggerPockets Calculators