All Forum Posts by: Aaron Port

Hey Kyle! So, there are a few options you can pursue here. If you don't have the cash reserves yourself to finance the purchase, you could look to either hard money lenders to fund all or some of the purchase, or look at finding some family or friends who trust and believe in you and would be willing to go in on the deal with you as private investors. Sometimes, when sellers are selling as "cash only," there can be problems with the property that they know about that would prevent the property from qualifying for any type of mortgage, so just be careful there and make sure to do your due diligence and have an inspection done if possible. 

As far as hard money goes, BP has a great list of possible lenders who are open to financing purchases for first time investors, you may just be paying a premium in points and interest rates due to the risk of being a first time investor. 

Hope this helps some! Best of luck and I hope it works out for you on this one! 

@Kevin Romines Thanks so much for the response! I thought it would be something along those lines but wasn't positive, so thanks for clarifying! 

I am going to be relocating my family for a new job to a new state and I’m thinking through what will need to happen to be able to purchase a house without proof of income yet in the new state. Written letter from new employer to bank as proof or is there another way around this? I do have funds for downpayment, I just know banks don’t like to see job switching while trying to get approved for financing. Going to purchase small multi family or residence with in-law suite to house hack. Thanks for the thoughts and advice.

Should I already have my Property Manager and Contractors set up before I even buy a property in a long distance BRRRR, or is that okay to set up after I purchase a property? Because then I'm vetting the manager and contractors based on a property that isn't actually a reality yet, or does that not matter in this case? Thanks for the information!

@Kenneth Garrett awesome! Thanks, that's what I was looking for. So you're not always walking away with enough money at the beginning to go and full on purchase another property, but you are generating profit that, after a few times of doing it with private investors, you have the money to do it yourself without them if you wanted. Thanks for the info!

@Michael G. thanks for the response! Can you give me a good explanation on how to pay my private investors back and still have money to move on to the next house? I think i understand the BRRRR process as a whole pretty well, I'm just caught up on that part.

Trying to learn all I can on the BRRRR method. Can someone explain to me the process of using private money from investors in the BRRRR method and how I then pay them back and then still have enough money to move on to the next deal just off of the refi?

It will be my first deal. And I know some say not to use this method on the first deal, but I know it works and it’s repeatable if you have the systems in place so I would like to use it.

Thanks for the knowledge!

When doing a BRRRR with private investors, I understand that they typically get paid when you cash out refi, but can someone explain to me how that part of the process works in a way that I still have money to go on to the next property after paying back my investors? Thanks for the help!

@Josue Vargas thanks for the encouragement! I’m definitely not giving up!

@Travis Watson awesome, I’ll definitely look into doing that! Thanks, Travis.