How to keep buying properties while brrrring?

[Shauna Drayer]

Hello everyone. My name is Shauna and I am a SF long term home investor and a new real estate agent in NW Florida. 

We currently have two rentals, one in Crestview and one in Niceville. Looking to obtain some additional homes (Goal of 10 in the next 3 years), but when money is Tied up waiting to refinance until after we brrrr we feel a bit stuck.

We do currently operate as Sole Proprietors.

Just curious what current Brrrr investors do strategy wise to keep investing while brrrring.

Thanks :)

[Kenneth Garrett]

@Shauna Drayer

I agree with @Matt "Roar" Gardner. I use private money for my BRRRR projects and refinance after the rehab is done and a tenant is placed in the property. I use commercial financing on the refinance. No DTI and no seasoning requirements. It usually takes me 60-90 days to finish the rehab and a few days to find a tenant. This scenario allows you to scale faster then with traditional residential lending. You will pay a higher interest rate, probably 1% higher, but the upside out-ways the higher mortgage rate. It will need to cash flow. Lenders want to see a DSCR of at least 1.25 or better. I try to hit 1.7 or better.