To BRRRR or not to BRRRR

[Brian Henderson]

I'm looking to buy my first out of state property and have started building relationships with a team in the ground. I've found an agent, property manager, and home inspector. I feel the property manager seems reliable and could help me through the process fairly well which gives me a little more confidence. I want to BRRRR but am having second thoughts mostly due to Covid and the current state of economy. My biggest fear is that banks will temporarily not do LTV refinancing 6-12 months from now due to Covid. I'm also because prices may drop going forward which would mess up my appraisal. I originally was going to buy with conventional 25% down but was injured at my job and had to go on workers comp. This has made it hard to find a lender that will accept my current income which made me think of doing a BRRRR so I don't need a loan upfront. Just a really overall disappointing situation being in pain and not being able to purchase my first property until I'm at work again. It just seems like my only option is BRRRR since I can't find lenders to accept my current income. Does anyone know of lenders who accept workers comp income? Does anyone have an opinion one why a BRRRR from a distance for first time buyer is good/bad? Is it ok if the numbers make sense? What is your experience with BRRRR from long distance? Thank you and hope to hear from you all!