BRRR only works in certain markets?

[Jason Zhang]

Newbie here. I'm been looking for deals that I can implement the BRRR strategy. Correct me if I'm wrong...BRRR will only work in a market where people can buy retail and still cash flow? Because it assumes refinance at the new appraisal value, which is retail price, to get my investment back. That being said, if market retail price is 400k, market rent for that is 2000/month.. I can't really refinance out what I put in..