BRRRR with ~400k Capital

[Thomas Farrell]

Hello all,

I am new real estate investor that has yet to purchase his first property. Due to a very high entry level in my home state (Long Island, New York), I have turned to look at out of state markets, particularly Augusta, Georgia.

I understand the BRRRR method is not all that it used to be in the past years, but given that I have a lot of capital to play with, I figured that I would still be able to find ways to make it applicable.

Does anybody have any suggestions/tips for me? Am I wrong to assume this? Are there better strategies for the capital I will have?

Currently, my number one goal is to scale rapidly. Secondly, a would like to produce a good stream of cash flow to help me scale (as I'm assuming most are looking for).

Thank you all in advance!

[River Sava]

Hey Thomas,

BRRRR is still a strong strategy, especially with solid capital. If scaling quickly is your goal, DSCR loans are a great tool for the refi portion since there's no 12 month seasoning requirement like conventional loans, and DTI isn't a factor.

I suggest focusing on building your "Core 4" team—agent, lender (one who can finance both the purchase/rehab and refinance is ideal), contractor, and property manager. Happy to connect if you want to dive deeper!