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Updated about 4 years ago on . Most recent reply
Perfect BRRRR Investment - Oklahoma City
Investment Info:
Single-family residence buy & hold investment in Oklahoma City.
Purchase price: $65,000
Cash invested: $115,000
Contributors:
Zac Celli
This was my first BRRRR investement under Flagpole Properties. It was purchased at the beginning of 2020 and the renovation took 2 months. As we began to start advertising the home, it got broken into... twice! After repairing the damage, we were fortunate to find a great tenant that moved in within a month of the completed rehab. All and all it was an educational experience and it created the foundation for our business. Not to mention the property ended up appraising over our projected value!
How did you find this deal and how did you negotiate it?
This was a Veteran Affairs (VA) owned deal. It was listed on the MLS and we had our contractor and realtor walk thre property. We offered $10,000 over asking because we knew it would be a good deal.
How did you finance this deal?
We used private investment money to finance the project.
What was the outcome?
We refinanced the property after 6 months and pulled out all cash invested and walked away with $12,000 in cash. We are also holding the property and generating monthly income. It was a perfect BRRRR.
Most Popular Reply
Hi @Wesley Mullen! I'm up the road from you in Sunny (today) OKC! BRRRR has been a bit of a slog-fest for the past year or so thanks to the popularization of the approach and the combination of it with the Long Distance Real Estate Investing methodology. It's a powerful one, indeed!
The good news for you is that Norman (and surrounding areas) have plenty of BRRRRable properties that will make sense to you based off of acute local knowledge that won't trickle through the ether of wholesalers and marketers to the OOOS folks quite as efficiently. So, dig in deep and learn the nuances of your specific market and work it!
Also, don't be averse to the tried and true buy-and-hold method and house-hacking. Both have made people independently wealthy for many years and are often good with BRRRR is bad.