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Updated over 6 years ago,
Strategy for a BRRRR from equity of existing rental ?
I have 4 existing properties and I would like to learn how to use leverage to buy more BRRRR Properties.
Property 1). 5 Acres of land in the country, with mobile home, primary residence. Worth $25,000 (Land Only) PAID OFF
Property 2). 1.5 Acres of land in the city, Worth $20,000. PAID OFF - Renting $200 a month
Property 3). .5 Acres of land with 3 Bed/2Bath brick house, Small Bank Business Loan. Worth $115,000, Owe $42,000 - Renting $750 a month
Property 4). .5 Acres of Land with 3 Bed/2Bath brick house, Conventional Loan, Worth $115,000 Owe $92,000 - Renting $750 a month
I would like to buy another property but I don't currently have the 20% needed. I would like to buy more property to hold. I am also worried about the debt to ratio issue.
I was thinking about starting an LLC and refinancing Property 3., Thinking they will not look at my personal credit.
On my Personal credit side, I have about a 680, with about $3 in savings.
Just looking for advice on how I could fund some flips for Fix Up Rentals for a positive cash flow.
Thanks in advance.