Managing Debt while building wealth

[Benjamin Sampson]

I have been listening to bigger pockets podcast for about a year. I hear lots of great stories about how the BRRRR has helped build wealth and I understand it in theory.

By doing the BRRRR strategy you are creating passive income, growing your net worth, but at the same time growing the amount of money that you owe the banks.

One thing that is still unclear to me is how people doing this strategy are continually able to borrow money from banks when their debt amount increases also. 

Does an investor have to have a ton of equity or capital somewhere else to leverage the increasing debt that comes with building your investment portfolio? 

(I am in the ‘pre investment’ education mode right now, not yet ready to pull the trigger on it...that’s another post🙂)

Thank you!!