Intro and investment summary so far (5 of 5)

[Lars Hasseler]

Besides my 11 SFRs, I joined an LLC with three guys who specialize in BRRRRs. Extremely low inventories may force us to pivot to buy and holds, whether SFRs or multifamilies, but we have done a few successful flips. It is interesting to compare this return (big but only once or twice a year) vs. the return on SFRs buy and n holds (initially two years has been negative cash flow total due to much high than expected repair costs). I spent just shy of $50,000 in repairs this year on 11 SFRs. So obviously that is not sustainable. I've owned each for between 10 and 21 months, so some repair cost is to be expected, especially in high return areas. So I'll count it as lessons learned and move forward.

I managed to refinance four loans into one using a hard money lender for a terrible rate. It got me back below 10 Fannie Mae loans so I can buy another personal residence and rent out the current one. That will total 12 SFRs and one primary residence. So the business is positioned to take off in 2021. We shall see.