Newbie BRRRR Enthusiast Looking For Clarification

[Daniel Booth]

Hi everyone!

I'm very new to the BRRRR method (I'm actually still reading the BRRRR bible) so I have a few questions that I've not yet seen addressed within the book. Or, maybe it has, and I just can't seem to find it again.

I'll use this as an example:

When buying a run-down property (let's say it's listed as $80k), but I only have about $50k to throw at this deal but I'd like to make an all-cash offer. For time's sake, let's assume the numbers all make sense, I have cash-flow every month, and every other aspect of this deal goes flawlessly, including rehab, correctly estimated ARV, and refinancing. The main question I have regarding this example property is this: If I only have $50k and would like to make an all-cash offer to try and beat out any competition, is this where a private lender would come in? Or would it be possible to take out a loan for $30k, and then just repay this over time, or pay this back when it comes time to pull equity out of the property?

Any information helps me out so much, so thank you in advance for any of those willing to respond to this scenario!

[Gretchen Guarino]

Responding to Hamp's post. If the After Renovation Value makes sense, you could certainly leverage "other people's money" and use a private or hard money lender. My point was that you can NOT present that as an all cash offer.