Nick and I are hoping to build a sustainable business by partnering with motivated and like minded realtors, property management, and contractors.

The double digit appreciation rate can not sustain as home prices have stabilized last couple months.

It actually works out better for them (you get better deals when paying in cash), but they have a good primary source of income to sustain that type of investing. 

I am speculating it will sustain some growth in the future with the addition of the Navy Special Warfare compound, but is anyone else investing in IB right now? 

I don't see these larger MF valuations as being sustainable by any stretch, especially given that 500 additional units are in various stages of development and we aren't silicon valley cranking out IPO insta-millionaires.

By putting each house in its own LLC, you create a ceiling of losses that you can sustain in a given circumstance.

And your DTI is impacted by the 2nd lien you've maxed out to purchase real estate...it's not a really sustainable scenario. 

Hi Wei Jie,The strategy can work as long as you have positive cash flow and deep reserves to sustain you through different cycles of the market.

Typing it out now and thinking more about it, it would make sense that a conventional lender would still have to either see a steady profit/income of the business to be able to do something like that or just run the credentials of the person who owns the small business to make sure they could lend to that person/business anyway so it would have to show a history of profits to be able to sustain the property during times of vacancy with a track record of on-time payments.

If you want less out of pocket and have cash reserves to sustain the maintenance on a BRRRR property, then go that route.