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Updated almost 8 years ago on . Most recent reply

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Bill Goodland
  • Rental Property Investor
  • Allentown PA, United States
422
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533
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Rolling the dice to BRRRR?

Bill Goodland
  • Rental Property Investor
  • Allentown PA, United States
Posted

I have heard that finding a lender to refinance your property after buying, rehabbing, and renting it out can be difficult and that this strategy really leaves you at the mercy of the bank. In everyones opinion, does trying to do as much volume as possible to BRRRR SFRs and small multis a viable strategy considering many banks won't let you get more than 4, or 10 loans depending on who you ask. I understand portfolio lenders exist and can be hard to find, but I'm curious if people who rather move to higher price point properties such as commercial buildings to prioritize value per loan, or try your best to bundle multiple properties on one or a handful of loans?

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Brent Coombs
  • Investor
  • Cleveland, OH
2,655
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6,408
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Brent Coombs
  • Investor
  • Cleveland, OH
Replied

"Rolling the dice" CAN be an apt description - if (after proper research) you're not confident whether you've found a deal or not, but you go ahead and buy it anyway!

And FUTURE appraisals are by definition: guesstimates. But should be: CALCULATED ones!

Certainly, your business relationship/s with Lender/s can make or break your scaling desires.

But, no need to get ahead of yourself regarding multiple loans. 

How about: succeed with one first - and gain credibility thereafter as a natural consequence!?...

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