First BRRRR under contract!

[Paul Herrmann]

This will be our second rental property. Bought a townhouse as a primary in 2016 and converted to a rental in 2019. I stumbled upon BiggerPockets in January. Immediately bought the BRRRR book and negotiating real estate. Reached out to my realtor started looking at houses two weeks ago, negotiated a contract on a house last Saturday, very excited to get started!

House was on the market for around 90 days, list price was 158 and negotiated to 148. Around 1800 sq ft in Pittsburgh PA. Rental income will be 1300. Closing date April 17th. I have a renter already lined up that was interested in moving to the area. I am going to flip the kitchen and the full bathroom. First floor is carpet with original hardwood underneath. Depending on the condition I will repair or replace with a vinyl plank. Second floor bedrooms need some plaster repair and carpet. ARV between 170-180.

I have been working with Better mortgage so far because they have no lender fees and a couple other local lenders on the table, I have the capability of putting down 25% but obviously would much rather put down 20% so if anyone has some suggestions for lenders especially ones that don’t have a 6 month seasoning period for a cash out refi I would greatly appreciate the referral.

If anyone has some tips to share for a newbie, looking forward to it!