BiggerPockets Real Estate Podcast

BRRRR for Beginners: How to Build Massive Wealth with This “Dead” Strategy

Mar 5, 2025

Leka Devatha, a Seattle-based real estate investor with a decade of experience, dives into the lucrative BRRRR strategy that's turning heads in 2025. She reveals how she can make $600,000 from just one BRRRR property! Discover how to creatively buy, rehab, rent, refinance, and repeat without ever touching your own money. Leka shares insights on the best types of properties to maximize cash flow and equity. Plus, learn about innovative strategies like the 'DADU' to supercharge your investments.

38:28

Episode guests

Leka Devatha

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Episode notes

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Quick takeaways

The BRRRR strategy remains effective in today's market by adapting to challenges such as high interest rates and renovation costs.

Utilizing innovative financing methods, like partnering with private lenders, allows investors to minimize personal capital investment and expand their portfolio.

Deep dives

Understanding the BRRRR Strategy

The BRRRR strategy involves a cycle that includes buying a property, renovating it to increase its value, renting it out, refinancing to recoup your investment, and then repeating the process with additional properties. This approach enables investors to build a rental portfolio while recovering most of their initial capital to reinvest. Although the market has shifted, particularly due to rising interest rates, the core principles of BRRRR remain effective with some adjustments. Investors are now encouraged to think creatively and perhaps leave more capital in a property than previously expected, while still achieving positive cash flow.

Intro

2min

Unlocking Wealth: The BRRRR Strategy

8min

Leveraging Private Money in Real Estate Investments

6min

Real Estate Investment Strategies Uncovered

7min

Innovative Real Estate Strategies

7min

Maximizing Real Estate Opportunities

7min

Navigating Real Estate Opportunities in Uncertain Markets

2min

The BRRRR strategy is arguably the fastest way to build wealth with real estate. Just ask Leka Devatha, a Seattle-based investor. She’s got ONE BRRRR property this year that could make her $600,000 in profit. And that’s ONE home, not an apartment complex. So what is the BRRRR strategy, and why do so many investors write it off instead of trying it in 2025? Are they missing out? Absolutely!

BRRRR stands for buy, rehab, rent, refinance, repeat. The basic formula is this: buy a house that needs some improvement, renovate the home (to a scale you’re comfortable with), rent out the home to tenants now that it’s fixed up, and refinance it. Now that the property is worth more, you may be able to get the bank to pay YOU back your initial down payment and renovation costs due to the increase in equity. Then…repeat until you’re financially free.

How do you pull off a BRRRR in 2025 with high interest rates, high home prices, and rising renovation costs? Dave and Leka are walking through their own BRRRR deals, showing you how to successfully BRRRR and do it without using ANY of your own money (seriously!).

In This Episode We Cover:

The BRRRR strategy explained and whether it still works in 2025

Leka’s BRRRR deals making her up to $600K!

The best property types for BRRRRing to get more cash flow, higher appreciation, and bigger returns

How to use other people’s money (OPM) to fund your BRRRR investments

The “DADU” strategy that could skyrocket your home price with one savvy addition

And So Much More!

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