I'm planning a big move from California to the Lee's Summit area in Missouri with my family. As part of this transition, I'm looking to dive into the BRRRR (Buy, Rehab, Rent, Refinance, Repeat) strategy to build a portfolio of investment properties, and I'd love to get some advice and insights from those of you who are familiar with the area!

A Little About My Situation:

I currently work in EMS in California and will be super commuting, working 10-day stretches in California while spending the rest of my time in Missouri. This setup allows me to maintain my current income while being physically present in Missouri to actively manage our real estate investments.

My BRRRR Strategy:

My goal is to identify single-family homes or small multi-family units that need some rehab work, ideally in neighborhoods with strong rental demand and growth potential. I plan to:

1. Buy: Find properties that are undervalued or in need of renovation.

2. Rehab: Coordinate with local contractors to perform quality, cost-effective renovations to increase property value and rental potential.

3. Rent: Focus on long-term rentals to generate steady cash flow, with an eye on market conditions for any short-term rental opportunities.

4. Refinance: Use the increased equity from the rehab to refinance and pull out capital for future investments.

5. Repeat: Continue to scale the portfolio, leveraging both equity and cash flow from previous projects.

Why I Chose Missouri:

Missouri, particularly the Lee's Summit area, appears to offer a great environment for BRRRR investing. The property prices are more reasonable compared to many other markets, and there seems to be a healthy demand for rental properties. The local economy is stable, and the potential for appreciation seems promising, especially in areas that might benefit from revitalization.

Looking for Advice and Insights:

Since I'm new to the area and the Missouri real estate market, I'd love to hear from fellow investors who have experience with BRRRR deals in this region. Specifically, I'm looking for advice on:

- Neighborhood Recommendations: Which neighborhoods in Lee's Summit or nearby areas have you found to be best for BRRRR opportunities?

- Local Market Conditions: What's the current state of the market for fix-and-flip or BRRRR properties? Are there particular trends or conditions I should be aware of?

- Contractor and Vendor Referrals: Any recommendations for reliable contractors, property managers, or other vendors who are familiar with the BRRRR process?

- Challenges and Tips: What are some common challenges investors face in this area? Are there any local regulations or processes that are particularly tricky to navigate?

- Successful BRRRR Stories: I'd love to hear about any successful BRRRR deals you've done in the area and what made them work.

Thanks for any help you can provide!

Kansas City, Kansas

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River Sava

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#1 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor

Lender
USA

River Sava

Pro Member

#1 BRRRR - Buy, Rehab, Rent, Refinance, Repeat Contributor

Lender
USA

Replied August 26, 2024 05:54

Hey Kevin -

Sounds like you're mapping out a solid plan. As you get started, having a strong team, especially a lender who understands your goals, is crucial. When going through the BRRRR method, it's essential to carefully plan each phase. Finding the right property, coordinating with reliable contractors, securing quality tenants, and refinancing effectively are all key steps.

Since you're new to the area, connecting with local professionals and other investors will provide valuable insights on neighborhoods, market conditions, and potential challenges. I suggest looking into in-person meetup groups. Best of luck with your move and investment journey! Feel free to reach out if you need more advice or connections with BRRRR-focused lenders.

River Sava

[email protected]

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