BRRRR property. Purchased at auction. Completed mostly cosmetic rehab in 30 days. Rented for $1000/month. In the process of refinancing with the expectation that I will be able to cash out 100% of my cash investment. Very excited about this first BRRRR property.

What made you interested in investing in this type of deal?

BRRRR generally makes sense to me. I love the idea of recycling my capital to accelerate growth.

How did you find this deal and how did you negotiate it?

I found this deal on auction.com; I bid an amount just greater than the reserve amount on the property.

How did you finance this deal?

I paid for the property and rehab with cash. I'm in the process of completing a cash-out refinance and expect that I will be able to pull out 100% of the cash invested.

How did you add value to the deal?

I undertook a pretty thorough cosmetic rehab of the property, which included new floors on the main level; fresh paint on all walls, trim, windows, and doors; new countertop and sink in kitchen; new stainless steel appliances; new tub and surround and painted/updated bathroom; and epoxy paint to floor of basement.

What was the outcome?

Very pleased with the outcome. We completed the rehab in 30 days; the house was leased within two weeks following completion of rehab; and we are now in the process of completing a cash-out refinance.

Lessons learned? Challenges?

I spent a lot of time educating myself about the BRRRR process for months leading up to this first purchase. Through that education, which included reading articles, books, and listening to dozens of podcasts, I was able to avoid many of the potential pitfalls that I may have otherwise hit. Do your educational due diligence before you dive in. That education will give you the confidence that you need to complete the project in a timely manner at a cost that you can adequately estimate.

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Just completed first BRRRR

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