While I would have built $150,000 in equity, the cash flow simply doesn’t work.Now, let’s compare this to the market conditions when BRRRR was highly promoted (pre-2020).Interest Rate: 4.75%Monthly Payment: $3,057/monthRent: $3,600/monthIn this scenario, I’d be making over $500/month with $23,000 left in the deal, resulting in a gross 26% cash-on-cash return—an excellent deal.As you can see, rates and prices play a critical role in the viability of the BRRRR strategy.

New construction in a saturated market isn’t always the best play if you’re looking for steady returns.A place like Rochester has way better fundamentals—lower buy-in, strong rent-to-price ratios, and stable demand from universities, hospitals, and major employers.

Ask if their handyman is in-house--which I've seen turn into a "charge up to the owner authorization threshold for every single visit". 

Hey Eli, Great question on the 6% and it does play a factor into the cash flow.

You should never let someone into a unit without written evidence that you have authorization to do so from the lessee. 

ALWAYS verify the unit count and Certificate of Occupancy with the AHJ (Authority having Jurisdiction) BEFORE purchase.

@Chris Seveney @Marcos A Miranda - you guys are playing with fire - https://www.biggerpockets.com/search?

You can't just give it to another tenant to run, their leadership and authority will be questioned by your other tenants.  

I recently have connected with investors who are interested in assisted living facilities, with the play of unlocking government funding, not sure if there's similar opportunities with SL facilities.

Now, in 2024, we're seeing $4,000 per month just on the main unit and $1,800 on the other unit of the duplex.Long story short, it's a long term play.