All Forum Posts by: Luis Peguero

Hey man, I'm curious as to what'd you end up doing? Did you move? If so, how is it?

Awesome and congrats!

@Joseph Weisenbloom Now I understand it! I get it now. Thank you!

@Nicholas Lohr and @ Natalie Thanks for answering but my question is a hypothetical. In this scenario, I don't have much money to put down, thats why I went to the PML. My basic question is how do I do the whole process, where I know exactly how much I'll end up putting myself for the lender... points wise to then the DP for the refinance. Basically I just don't understand the BRRRR strategy.

@Natalie C.

So I'm a 21 years old learning the dynamics of real estate property holding and investing. I'm having a hard time understanding the BRRRR method and how your PML gets paid back.

OK so for example...

Let's say I need 100K loan from a PML for 12 months, interest at 10% with 2 points. From my understanding 2 points means I have to give 2K upfront. So where I'm partly confused is now during the rehab am I only paying the 10% percent interest only? Or the whole loan of 100K plus the 10K of interest for a monthly total? Next is after I refinance for the 70% appraisal value, do I get a big check from the bank of 70K? And if I did how would I pay back the PML because that still wouldn't be enough to cover my original 100K Loan. Help I'm so lost lol. Thank you!