By leveraging the tax-exempt market, states and cities can offer lower mortgage rates to middle- and low-income individuals than traditional banking methods.

@Matthew PorcaroI can certainly understand your point of view and advocation for 203(k) loans, however...In my opinion, and feel free to correct me again, a 203(k) loan is not ideal when utilizing the BRRRR method for the following reasons...- It's against FHA rules to use a 203K loan for an investment property, unless it's a 2-4 unit multi family and you will live on site.- 203(k) Loans are for Owner-Occupants- You can't use a 203(k) loan, legally, if you're planning to rehab/rent(not live in) the property.- The Cash Out Refi Seasoning Period is 12 Months.

In an ideal world you would keep it and then scale up over time (stacking method).

This is the BRRRR method that investors use to be able to scale while using the least amount of their own money out of pocket. 

There are methods and processes to make this easier.

Hi, I’m an active investor in SFH and small multi Family in the Bay Area using the BRRRR method. 

In my situation, a professional clean up crew repaired everything and also didn't find any mold inside of walls before starting the cleanup and new flooring and dry walls were installed and it was over ten years ago.

The BRRRR method is a great way to get into real estate! 

This is one method of helping to build a 10 year plan for yourself.

I understand how HELOCS work, I've used this method many times.