To BRRRR or go more turnkey for first OOS deal
New to Real Estate 路 CA 路 Member since 2023 路 8 posts 路 16 votes
To BRRRR or go more turnkey for first OOS deal
Most Popular Reply
Remington LymanBusiness Member
Real Estate Agent 路 Columbus, OH 路 Member since 2017 路 6k+ posts 路 7k+ votesQuote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
I would go for something more turnkey and then do a BRRRR on your second deal
I have been buying rental properties in Columbus, Ohio for the past 5 years. Feel free to reach out if you have any questions.
21 Replies
- 3yScott JohnsonBusiness MemberSpecialist 路 Greenville, NC 路 Member since 2019 路 673 posts 路 408 votes
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
You're asking the right questions, but you're a bit ahead of the game with them. Glad to hear you're putting together your team, though!
What I'd ask myself first is, which market should I invest in and why? Then you identify the property you want to invest in, and finally figure out the strategy.
A lot of people attempt to use the strategy as their guide when in fact it's the market, property & circumstance that guide you to which strategy is best.
That said, what markets have you identified and what indicators are enticing you to invest there?
- Real Estate Agent 路 Columbus | Toledo 路 Member since 2019 路 607 posts 路 768 votes3y
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
Sounds like you want to BRRRR! Learn as much about it as possible and do it! Don't overthink it or try too many things. A BRRRR in Columbus is not the easiest to find in the current market, but well worth it when you do. I'm doing a BRRRR in Columbus right now.
- 3yRemington LymanBusiness MemberReal Estate Agent 路 Columbus, OH 路 Member since 2017 路 6k+ posts 路 7k+ votes
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
I would go for something more turnkey and then do a BRRRR on your second deal
I have been buying rental properties in Columbus, Ohio for the past 5 years. Feel free to reach out if you have any questions.
- 3yJaron WallingPro MemberRental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
Agreed with @Remington Lyman on this one. If an investor doesn't have experience, contacts, or other properties in a given market, doing a BRRRR is pretty risky. I'd buy a base-hit, turn-key like property, and then scale up.
- 3yJimmy LieuBusiness MemberReal Estate Agent 路 Columbus, OH 路 Member since 2019 路 3k+ posts 路 2k+ votes
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
Hey Craig, doing BRRRR as a new investor may be too risky, but having the right people in your core 4 team will definitely make your first BRRRR experience smoother. I also recommend that you choose the right market. I personally love Columbus Ohio and as someone who works with a lot of out of state investors - there's so many catalysts for why you should invest here. Specifically, there's job growth (Intel, Honda, Amazon, Nationwide, etc) and the population is growing (unlike Cleveland or Cincy). I really see Columbus Ohio as an extremely safe bet for the next 10-20 years. Plus, there's still so many positive cash flowing and 1% deals here in Columbus Ohio. As a local investor and agent here in Columbus, let me know if you have any questions or want to connect!
Jimmy Lieu, Red 1 Realty4.9120 Reviews - Investor 路 San Diego, CA 路 Member since 2016 路 1k+ posts 路 975 votes3y
@Craig Cecin Great question! I've done out of state BRRRR's and purchased out of state turnkey rentals, and both strategies have their pro's and con's. I've done both of these while active duty Navy stationed in San Diego, as well.
I think the answer lies in your answers to these questions:
How much capital of your own do you have to invest in these deals?
How much would you have in reserves once the deal is done?
How much time do you have (daily and weekly) to dedicate to real estate?
- New to Real Estate 路 CA 路 Member since 2023 路 8 posts 路 16 votes3yThanks for the reply Scott! So I think I've narrowed down the markets to between San Antonio and Columbus. Both seem to have good indicators of population/job growth and rental indicators. My goals are to buy SFH or small multifamily and hold long term. One benefit of San Antonio over Columbus is that I know someone already in that area who could keep and eye on my rehab/properties. I understand BRRRR is inherently more risky but it seems like the best and quickest way to keep my money moving and aquire more properties. Any tips for finding and interviewing team members?
Quote from @Scott Johnson:
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
You're asking the right questions, but you're a bit ahead of the game with them. Glad to hear you're putting together your team, though!
What I'd ask myself first is, which market should I invest in and why? Then you identify the property you want to invest in, and finally figure out the strategy.
A lot of people attempt to use the strategy as their guide when in fact it's the market, property & circumstance that guide you to which strategy is best.
That said, what markets have you identified and what indicators are enticing you to invest there?
- Lender 路 Houston, TX 路 Member since 2023 路 235 posts 路 255 votes3y
Go for the BRRRR if the numbers make sense! If you want to test a market you can always do a turn key then jump into a BRRRR right after
- 3yScott JohnsonBusiness MemberSpecialist 路 Greenville, NC 路 Member since 2019 路 673 posts 路 408 votes
Quote from @Craig Cecin:
Thanks for the reply Scott! So I think I've narrowed down the markets to between San Antonio and Columbus. Both seem to have good indicators of population/job growth and rental indicators. My goals are to buy SFH or small multifamily and hold long term. One benefit of San Antonio over Columbus is that I know someone already in that area who could keep and eye on my rehab/properties. I understand BRRRR is inherently more risky but it seems like the best and quickest way to keep my money moving and aquire more properties. Any tips for finding and interviewing team members?Quote from @Scott Johnson:
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
You're asking the right questions, but you're a bit ahead of the game with them. Glad to hear you're putting together your team, though!
What I'd ask myself first is, which market should I invest in and why? Then you identify the property you want to invest in, and finally figure out the strategy.
A lot of people attempt to use the strategy as their guide when in fact it's the market, property & circumstance that guide you to which strategy is best.
That said, what markets have you identified and what indicators are enticing you to invest there?
I'd still retain my recommendation to choose the strategy based on the property. Find the property first and run the numbers to see which strategy will work best.
On the team building, you'll want to go to the city you're going to invest in. Schedule meetings with 3 property managers, 3 brokers (preferably BP members 馃槈) & City Zoning/Planning. The PM can help you find contractors when you need them, and lenders/insurance brokers can be inter-state.
Hope this helps!
- 3yRemington LymanBusiness MemberReal Estate Agent 路 Columbus, OH 路 Member since 2017 路 6k+ posts 路 7k+ votes
Quote from @Craig Cecin:
Thanks for the reply Scott! So I think I've narrowed down the markets to between San Antonio and Columbus. Both seem to have good indicators of population/job growth and rental indicators. My goals are to buy SFH or small multifamily and hold long term. One benefit of San Antonio over Columbus is that I know someone already in that area who could keep and eye on my rehab/properties. I understand BRRRR is inherently more risky but it seems like the best and quickest way to keep my money moving and aquire more properties. Any tips for finding and interviewing team members?Quote from @Scott Johnson:
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
You're asking the right questions, but you're a bit ahead of the game with them. Glad to hear you're putting together your team, though!
What I'd ask myself first is, which market should I invest in and why? Then you identify the property you want to invest in, and finally figure out the strategy.
A lot of people attempt to use the strategy as their guide when in fact it's the market, property & circumstance that guide you to which strategy is best.
That said, what markets have you identified and what indicators are enticing you to invest there?
I recommend you read this article on OOS investing. It explains the importance of creating your core four. You will need to get a local, rockstar Realtor, contractor, lender, and property manager.
https://www.biggerpockets.com/blog/core-four-real-estate-tea... - 3yNicholas L.Pro MemberFlipper/Rehabber 路 Pittsburgh 路 Member since 2018 路 6k+ posts 路 5k+ votes
you're on the right track with your questions. a few reactions.
1. BRRRR OOS on your first deal is going to be really, really, tough. how do I know this? because I'm doing BRRRRs in my own backyard, and THEY are really, really tough:
-It's tough to find solid, below market deals, in ANY market, 10 miles away or 1000 miles away.
-It's tough to find good contractors do the work - the good ones are booked up.
-Appraisals remain unpredictable.
-DSCR loans, which you'll probably need, have gone WAY up in terms of closing costs and interest rates. they're great, but they're EXPENSIVE.
so - if you can answer all of the above questions about a house you've never seen, in a place you've never been to... then go for it. but the days of the market helping you with your BRRRR, by going up / appreciating during the rehab period, are over.
now, with that said, should you drop 75K on a random turnkey property in Ohio that is going to make you $108 in monthly cash flow, and then need a new roof in 18 months? i'd say no to that too.
just trying to be realistic. i wouldn't rule out investing within a couple hours of where you're based if at all possible. will you be in Southern CA for a while or are you on the verge of a move?
- 3yMichael SmytheBusiness MemberReal Estate Agent 路 Metro Detroit 路 Member since 2023 路 4k+ posts 路 3k+ votes
You want to be careful doing a BRRR from out of state - much can go wrong and lots of opportunities for fraud.
Plan on visiting the property 2-3 times during renovations, also require narrated video walk-thrus before issuing final payments.
Logical Property Management4.9454 Reviews - Investor 路 New Braunfels, TX 路 Member since 2021 路 11 posts 路 8 votes3y
Quote from @Scott Johnson:
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
You're asking the right questions, but you're a bit ahead of the game with them. Glad to hear you're putting together your team, though!
What I'd ask myself first is, which market should I invest in and why? Then you identify the property you want to invest in, and finally figure out the strategy.
A lot of people attempt to use the strategy as their guide when in fact it's the market, property & circumstance that guide you to which strategy is best.
That said, what markets have you identified and what indicators are enticing you to invest there?
So true, you have to let the market dictate. Two months ago I was looking for a 3/2 BRRR in a particular suburb of San Antonio but none of the numbers added up. Since I had specific property search criteria I stumbled into a turnkey that ended up being a home run
- Rental Property Investor 路 San Francisco Bay Area 路 Member since 2022 路 1k+ posts 路 1k+ votes3y
I'm also in California. I've heard good things about San Antonio and know Bay Area investors buying multi-family there. I invest locally and in Indianapolis. I did a local major renovation where I was on site at least once a week. I thought I knew enough about renovation to attempt one out of state...nope. I agree with the above comments on trying to BRRRR or flip OOS, very challenging.
I bought a turnkey (with an agent, not a turnkey company) in Indy 6 months ago since I didn't have team in place. I have a team in place now and have been attempting to do a BRRRR, put in at least 5 offers. Long story I'm finding it very difficult to hit the numbers right. The Hard Money Loan rates and interest payments scare me. I also put in 10% to 20% contingency on top of my numbers to be extra cautious. I'm leaning heavily towards a minor rehab, more cosmetic instead of major rehab - less value add but less risky for me. At this point I'm buying more for tax benefits and property appreciation than cash flow with these interest rates.
On a move-in ready home that's been sitting, you might be able to ask the seller for help with closing costs to do a 2-1 Buy Down on conventional loan (e.g rate is 7.7%, Year 1 it's 5.7%, Year 2 it's 6.7% and Year 3 and remaining term of loan goes back to 7.7% original rate). This is one strategy I'm seeing where I could positive cash flow and raise the rent every year but the 20% down is not a great way for me to scale.
Ask real estate agents if they're investors themselves and what percentage of investors they work with. I've found many agents (locally and OOS) focus mostly on primary home buyers. Some of the questions to ask contractors are about change orders, do these numbers include permits, etc. Some contractors will give you a low estimate to get the job but do lots of change orders which will drive up your cost. Get feedback from local investors about the neighborhood and talk to people who do construction management in your local area. Have multiple people go through your numbers. Also don't give large amounts to a contractor. I've already seen a remote investor lose $20,000 when the shady contractor walked off with the money and now this investor is seeking legal action. I paid my Bay Area contractor $1000 down payment then made many payments as the tasks got done after I inspected them. Vet your contractors.
Highly recommend flying out to the city which is what I did recently - seeing areas and properties in person look much different than photos and videos. Do a Google Map view of the prospective properties but sometimes those are out of date. MLS pictures don't show the busy noisy street, neighbors overgrown lawn, beat up cars or the factory right next to the neighborhood. Good luck!
- New to Real Estate 路 CA 路 Member since 2023 路 8 posts 路 16 votes3yWow, great feedback thank you! A lot to take in, I appreciate the honesty.
Quote from @Becca F.:
I'm also in California. I've heard good things about San Antonio and know Bay Area investors buying multi-family there. I invest locally and in Indianapolis. I did a local major renovation where I was on site at least once a week. I thought I knew enough about renovation to attempt one out of state...nope. I agree with the above comments on trying to BRRRR or flip OOS, very challenging.
I bought a turnkey (with an agent, not a turnkey company) in Indy 6 months ago since I didn't have team in place. I have a team in place now and have been attempting to do a BRRRR, put in at least 5 offers. Long story I'm finding it very difficult to hit the numbers right. The Hard Money Loan rates and interest payments scare me. I also put in 10% to 20% contingency on top of my numbers to be extra cautious. I'm leaning heavily towards a minor rehab, more cosmetic instead of major rehab - less value add but less risky for me. At this point I'm buying more for tax benefits and property appreciation than cash flow with these interest rates.
On a move-in ready home that's been sitting, you might be able to ask the seller for help with closing costs to do a 2-1 Buy Down on conventional loan (e.g rate is 7.7%, Year 1 it's 5.7%, Year 2 it's 6.7% and Year 3 and remaining term of loan goes back to 7.7% original rate). This is one strategy I'm seeing where I could positive cash flow and raise the rent every year but the 20% down is not a great way for me to scale.
Ask real estate agents if they're investors themselves and what percentage of investors they work with. I've found many agents (locally and OOS) focus mostly on primary home buyers. Some of the questions to ask contractors are about change orders, do these numbers include permits, etc. Some contractors will give you a low estimate to get the job but do lots of change orders which will drive up your cost. Get feedback from local investors about the neighborhood and talk to people who do construction management in your local area. Have multiple people go through your numbers. Also don't give large amounts to a contractor. I've already seen a remote investor lose $20,000 when the shady contractor walked off with the money and now this investor is seeking legal action. I paid my Bay Area contractor $1000 down payment then made many payments as the tasks got done after I inspected them. Vet your contractors.
Highly recommend flying out to the city which is what I did recently - seeing areas and properties in person look much different than photos and videos. Do a Google Map view of the prospective properties but sometimes those are out of date. MLS pictures don't show the busy noisy street, neighbors overgrown lawn, beat up cars or the factory right next to the neighborhood. Good luck!
- 3yScott JohnsonBusiness MemberSpecialist 路 Greenville, NC 路 Member since 2019 路 673 posts 路 408 votes
Quote from @Chris Parreira:
Quote from @Scott Johnson:
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
You're asking the right questions, but you're a bit ahead of the game with them. Glad to hear you're putting together your team, though!
What I'd ask myself first is, which market should I invest in and why? Then you identify the property you want to invest in, and finally figure out the strategy.
A lot of people attempt to use the strategy as their guide when in fact it's the market, property & circumstance that guide you to which strategy is best.
That said, what markets have you identified and what indicators are enticing you to invest there?
So true, you have to let the market dictate. Two months ago I was looking for a 3/2 BRRR in a particular suburb of San Antonio but none of the numbers added up. Since I had specific property search criteria I stumbled into a turnkey that ended up being a home run
Congrats, dude! Boom!
- 3yTyler LingleBusiness MemberReal Estate Consultant 路 Indianapolis, IN 路 Member since 2021 路 440 posts 路 292 votes
Quote from @Becca F.:
I'm also in California. I've heard good things about San Antonio and know Bay Area investors buying multi-family there. I invest locally and in Indianapolis. I did a local major renovation where I was on site at least once a week. I thought I knew enough about renovation to attempt one out of state...nope. I agree with the above comments on trying to BRRRR or flip OOS, very challenging.
I bought a turnkey (with an agent, not a turnkey company) in Indy 6 months ago since I didn't have team in place. I have a team in place now and have been attempting to do a BRRRR, put in at least 5 offers. Long story I'm finding it very difficult to hit the numbers right. The Hard Money Loan rates and interest payments scare me. I also put in 10% to 20% contingency on top of my numbers to be extra cautious. I'm leaning heavily towards a minor rehab, more cosmetic instead of major rehab - less value add but less risky for me. At this point I'm buying more for tax benefits and property appreciation than cash flow with these interest rates.
On a move-in ready home that's been sitting, you might be able to ask the seller for help with closing costs to do a 2-1 Buy Down on conventional loan (e.g rate is 7.7%, Year 1 it's 5.7%, Year 2 it's 6.7% and Year 3 and remaining term of loan goes back to 7.7% original rate). This is one strategy I'm seeing where I could positive cash flow and raise the rent every year but the 20% down is not a great way for me to scale.
Ask real estate agents if they're investors themselves and what percentage of investors they work with. I've found many agents (locally and OOS) focus mostly on primary home buyers. Some of the questions to ask contractors are about change orders, do these numbers include permits, etc. Some contractors will give you a low estimate to get the job but do lots of change orders which will drive up your cost. Get feedback from local investors about the neighborhood and talk to people who do construction management in your local area. Have multiple people go through your numbers. Also don't give large amounts to a contractor. I've already seen a remote investor lose $20,000 when the shady contractor walked off with the money and now this investor is seeking legal action. I paid my Bay Area contractor $1000 down payment then made many payments as the tasks got done after I inspected them. Vet your contractors.
Highly recommend flying out to the city which is what I did recently - seeing areas and properties in person look much different than photos and videos. Do a Google Map view of the prospective properties but sometimes those are out of date. MLS pictures don't show the busy noisy street, neighbors overgrown lawn, beat up cars or the factory right next to the neighborhood. Good luck!
This is great info and right on the money.
Buying a BRRRR on market is going to be tough.
I used a wholesaler connection to buy my first off market, got a solid deal there.Much riskier to buy off market in my experience (lack of due diligence protections, problematic information, all cash, non-refundable deposits - if you're using a wholesaler that is).
Roots Realty Co. 562 Reviews - Real Estate Agent 路 Carmel, IN 路 Member since 2016 路 24 posts 路 9 votes3y
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
Building the right team is going to be the key to making this profitable and less stressful. If you are looking to invest in the Indianapolis market, feel free to reach out. I can help or point you in the right direction with almost all things from construction management, broker, off-market deals, etc.
- Real Estate Agent 路 Carmel, IN 路 Member since 2016 路 24 posts 路 9 votes3y
Quote from @Craig Cecin:
Hi everyone,
I am new to REI and have been doing as much studying and research as I can before diving in. I am looking to invest out of state because I am in the military and move around making any market eventually long distance, also live in southern CA which is expensive. I am looking at markets like San Antonio or Columbus at the moment.
My questions are, should I look to really nail down my core 4 team members and go for a BRRRR deal utilizing hard money for the purchase or should I look for something more or less rent ready (and less risky) and use my own money and a conventional loan right off the bat? As a new investor a BRRRR seems like a significant undertaking but also a terrific way to get my money back and reinvest it in a more efficient manner than saving up again for a 20% down payment for a more traditional buy.
Thanks in advanced!
Building the right team is going to be the key to making this profitable and less stressful. If you are looking to invest in the Indianapolis market, feel free to reach out. I can help or point you in the right direction with almost all things from construction management, broker, off-market deals, etc.
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