Development or BRRRR

[Joseph Banko]

I may finally have a big breakthrough in my flailing little, mostly unsuccessful REI career, and am seeking advice. (I currently only have one long-distance rental and am also doing a live-in flip). Through the power of spoken word, I'm starting to gain some traction and find like minded people who share the same interests in real estate. One of those people is the founder and part owner of the small commercial construction company I work for. Said company has a CASH SURPLUS problem and potentially wants to lend to us for RE investing. We are in the very hot/competitive Seattle/Tacoma market. With a housing shortage and appraisals still very high, would developing small multi-family with the goal of cash out re-financing be a smart play? Or would BRRRR be better? I love the idea of BRRRR but "buying right" seems to be very difficult here. I don't want to spend all my residual time marketing, researching foreclosures and auctions, cold calling, and competing. It seems like if the numbers work, developing could be the better move.