I have been investing here for years and I focus on the BRRRR strategy.

Our strategy is to buy out of shape properties and rehab them back into shape, so a GC with experience in doing extensive renovations at once would be preferred.

They must satisfy "material participation" test for their STRs to utilize the strategy.

I wouldn't recommend setting up an LLC out of state if you are buying in Tennessee unless your tax advisor is looking to help you on strategy.. but from a numbers standpoint, it really doesn't make sense when you start adding up on all of the annual LLC reporting fees from different states and then it starts cutting into your cashflow.

I am not sure I agree with that strategy.

With this strategy, we knew exactly how each house was operating and we could intervene or change leadership of the house if necessary to assure operations were going as we expected. 

This is what makes the hard money to DSCR combo a great one-two punch for the BRRRR Strategy. 

For those who’ve used it, what strategies or sources have worked best for you when covering the difference between your loan and the total project cost?

It was strategy, patience, and knowing how to find and execute the right deals.

Quote from @Stuart Udis: @Danielle B What data are you relying on that suggests Section 8 leased properties provide for better returns than other investment strategies?