All Forum Posts by: John Morgan

@donaldshaver Donald, Thanks also for your replies!! So the key here is using your own hard money down? My next question is... once you would "refinance" from the lender would you then owe that money back to them?

Jon Holdman Jon, Thanks for your reply! So if I am understanding and hearing you correctly in order to utilize the BRRRR method I would need to put my own hard money down AND THEN refinance the property based on the ARV? Would I be expected to mention to the lenders that I am rehabbing and flipping? Again I'm trying to gain as much insight to this method as possible so please excuse me if my questions are a little confusing

Hello BP!! I'm currently reading "The book on rental property investing" and just finished the section speaking on the "BRRRR" strategy and how this is beneficial. I've also heard and seen other people mention this strategy multiple times. Im trying to grasp this fully because it sounds like something that I'd like to utilize also but I'm having a hard time fully understanding what the refinance section means. In the book it states that a purchase of a property would be 105k on a home with an ARV of 150k and that a lender would "typically" lend 70% of the "loan to value" which would equal out to be 105K, and we could get back 100% of our capital. My question is, if we refinance the home wouldn't we still have to pay back this loan that the lender gives us? Is it possible to do the "BRRRR" method without buying the property outright? Hopefully I posed the question correctly so I am understood clearly. PLEASE HELP!!!

Joshua Thompson Josh thanks for feedback. My goals are definitely surrounded around establishing myself in this business to create passive income. My issue right now is, that I DO have the capital to fund other deals, but my current rental property is in the process of being rehabbed so It's just costing me money at this point so I believe this is where my anxiousness is coming from. It sounds like you are also recommending that I establish the current property first prior to starting anything else? Is this correct?

Alex Deacon Alex, Thanks for the feedback my friend! This sounds pretty synonymous with what I've been hearing from people close to me. Just wanted to hear a second opinion from the BP community. Thank you!

Hello BP!!! I am currently conflicted on a current situation. I am in the process of rehabbing a rental property and although this situation is currently moving along smoothly, I am at a dilemma if I should focus all of my energy in the rental property or should I also be looking for other deals? Many people have suggested that "doing one thing at a time" is the wisest move, but I can't help think that I am losing out on deals and opportunities to make money while waiting. I am looking for more opinions from the BP community in what decision they believe is best. PLEASE HELP!!! Thank you

Billy Smith Billy this is great feedback, this sounds very similar with some of the advice that I've been receiving from people close to me! Thanks

Thomas S. Thanks Thomas! This was helpful. If I am interpreting your advice correctly, it even sounds as if you suggest establishing yourself with rental properties as opposed to rehabbing with flipping? Am I correct?

Matthew Paul Thanks for the reply Matt!

Hello BP!!! I am currently conflicted on a current situation. I am in the process of rehabbing a rental property and although this situation is currently moving along smoothly, I am at a dilemma if I should focus all of my energy in the rental property or should I also be looking for other deals? Many people have suggested that "doing one thing at a time" is the wisest move, but I can't help think that I am losing out on deals and opportunities to make money while waiting. I am looking for more opinions from the BP community in what decision they believe is best. PLEASE HELP!!! Thank you