Advice for those still buying properties

[Nghi Le]

For those still buying value-add deals (either flips or BRRRRs), I implore you to begin with the end in mind, more so now than ever. If your strategy depends on future values and future rents (or even current values and current rents), or if it depends on you being able to get another loan to refinance, you need to have an alternate exit strategy. Nobody knows what an ARV looks like in 3-6 months, and with conventional loans tightening and unemployment rising, your buyer pool is going to shrink.

Just be careful out there. Opportunities will be coming, but you have to weather the storm first. Keep your reserves high. I want to make sure my real estate friends are still my real estate friends in a year :-)