Help me with Downsides to BRRRR

[David Derus]

Hi all,

I'm just starting out. I read Greene's Long Distance Real Estate Investing and I am currently about half way through BRRRR. My question is this, what are the down sides to BRRRR? I'd love to hear critiques of the method. Just to help me think more critically as I engage in this text. It seems pretty good and I'm going to try it once I get the capital. I just want to go in with eyes wide open as possible.

Thank you. 

[Nicholas L.]

@David Derus

as @Andrew Syrios said very little downside if you hit a home run

the better question is "what are the challenges" and there are many - especially in today's environment:

-it's very, very tough to find good deals.  everyone is looking for them.  off-market sellers are getting multiple offers.

-contractors are booked months or years out.

-materials are expensive.

-interest rates are high.

all of this puts pressure on the deal.