BRRRR Method vs Fix and Flipping in Tampa?

Question

Hello everyone, based on the current market conditions in Florida, specifically Tampa if anyone wants to get granular. Is it better to refinance and rent and still follow BRRRR strategy or fix and flip in 2025? Meaning is it worth it to hold after rehabbing or just flip it. Thank you!

Jorge Vazquez · Answer

Hey Jaime,

Honestly, it all depends on your goals and the market vibe. If you're all about quick cash, flipping could work—especially in a strong seller’s market where inventory is tight. But right now, Tampa’s market feels more like it’s leaning into a buyer’s market, with inventory starting to go up. That could make flipping a bit trickier unless you’re a pro like my buddy Viral, who can handle 18 flips at once and spread the risk.

On the rental side, yeah, insurance and taxes went up last year, but rents are still pretty stable in Tampa. If you’re not looking to go all-in on flips, BRRRR could be a smart play—especially with a rental stress test to make sure the numbers work. I’ve always been more into the long game, and owning 32 properties, a brokerage, and a property management company at 47, I’ve seen firsthand how building wealth over time beats chasing quick wins.

And here’s a tip: You can always hold a rental for a couple of years and then flip it when the market’s right. That way, you avoid capital gains and keep the control in your hands. Let me know if you want to dig deeper into this—happy to chat!

Jorge

Tyler Reed · Answer

Hi Jaime,

Your thinking is in the right place, and the answer is do it all. We coach people to "date the rate, marry the property." You can refinance properties later. As mentioned above, you can also sell properties later on as well. Tampa is about to be flooded with rehabbed properties by owners who do not want the stress of another hurricane. There were no interest rate changes forecasted for this year, until the news of the past week, and now there are three potentially on the horizon. If money becomes cheaper and homes become cheaper, time to start adding to your portfolio. You will learn what is right for you along the way, but action cures fear. Be in action my friend.

Drew Sygit · Answer

A lot of great advice so far.

Will add that it often depends on the property.

Is it something that will make a stable rental or will it be difficult to consistently find tenants?

Is there something unique or odd about the property that will leans one way or the other?

You'll want to know this going in, because you should have two different levels of finishes depending if it will be a rental, that you'll need to refresh between tenants, or if you're flipping it and want maximum appeal.

Obed Calixte · Answer

What are your investment objectives?

Ty Coutts · Answer

Hi Jamie,Given the current market conditions in Tampa, it may be more strategic to fix and flip in 2025, especially if property values are volatile, or higher holding costs (like insurance or taxes) are a concern. If the market is appreciating, holding and renting through the BRRRR strategy could be viable, but you'll want to ensure that rental demand and long-term cash flow align with your investment goals. Keep a close eye on interest rates, rental market trends, and local appreciation forecasts to decide which path makes more financial sense. If you have any more questions, feel free to DM me and we could go through some financing options as well.

Jaren Woeppel · Answer

Great question, Jamie. I often ask the same question for my local market here in St. Augustine, FL. I always end up coming back to asking myself, do I want the lump sum cash now, which will be subject to potentially capital gains tax, or do I want to build equity over time? Sometimes, especially if you have another project in sight that you could roll the proceeds from the flip into a larger deal, maybe that will be the best move for you. Also, it would be hard for me to imagine, in 5-10 years, assuming your BRRRR strategies were all purchased and refinanced at appropriate risk levels for you, that you would not be cash flowing and the value has appreciated substantially.

Either strategy, you will need a good GC or your own subs because that is going to be crucial for either strategy. Question for you would be, what is your long term strategy for investing in the Tampa area? Are you bullish on the long term value in Tampa?

Steve Linn · Answer

I think BRRRR strategy is a great investment strategy as long as the numbers make sense and you debt service. Even if things go down from here on a nationwide scale, people will continue to move to Tampa from up North, because property taxes are 4x lower in Florida than many other states.

BRRRR Method vs Fix and Flipping in Tampa?

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