FHA and BRRRR ? Will this work?

[Matthew McManus]

Hi, I’ve been thinking about how to get the real money in my pocket. So here’s the game plan (mindset) without looking into it to much:

1) Find a house using (ARV x .75 - Repairs = MAO). Hopefully a quad-plex.

2) Use a FHA loan with a construction loan packaged into one ;for repairs and financing on the property.

3) Hire the construction out and have a crew fix the place up to par, nothing fancy. Just the basics. 

4) Have the property re-appraised. And do a cash out re-finance.

5) 15 months later use a 1031 exchange and put a down payment on another quad-plex. And fix it up for re-appraisal. 

Question: Can / Will this work the way I’m thinking? Any advice is helpful.

Thanks!