Realistic BRRRR expectations

[Tim Bradley]

I currently own 4 SFH's which are all cash flowing nicely and all bought with cash saved up and 20% down. No rehab just ready to rent. I was happy with my slow and steady approach until I heard about the BRRRR method and it got me really excited. I have read the book and listened to several podcasts on it and am ready to take the plunge. I'm done with slow and steady. My only remaining question is what kind of results are people seeing with this method? More specifically are you able to refi out the targeted 100% of your investment? 90, 80? I want to set realistic expectations for myself.

[Deanna O.]

In a the stock market everyone gets rich due to their own brilliance, and they go broke due to bad luck. 

Folks with horror stories tend not to be bragging about them on BP.

That said, there are a few brave, wonderful members willing to tell others about projects that have gone bad. IMHO those few brave "I lost a bundle because I didn't check the (foundation/ sewer/ permitting/etc)" are 10x more valuable to me than "isn't BRRR great" (that's me, personally, because I already know about buying & rehabbing, & I know what debt load I am personally comfortable with at this point, and in this market).

Also note that a significant number of BP members (myself included) didn't purchase until AFTER 2008. We've had the tailwinds of a rising market. We could make mistakes, yet still make $, or at least break even most of the time.  In 2008 you could have done everything perfectly on the rehab but still lost your shirt.