In this case, since they are borrowing their payments, these would get added to the principal balance each month, and interest would be calculated on that.If, for example, the interest rate on the note were 10%, they would implicitly be borrowing their payments at that rate.

These modifications are carefully crafted to incorporate ADUs seamlessly, aiming for a delicate balance between increased urban density and sustained neighborhood character.

Equity Created: $550,000 ARV - $409,000 loan balance = $141,000 in equity.Cash Flow: The property rents for $2,950/month, covering all expenses and generating slight positive cash flow.HELOC Potential: Post-refi, I can secure a HELOC up to $86,000 (90% LTV) to fund future investments.

On balance I have made way, way more money from appreciation that I ever did from cash flow.To me the most important consideration is to always have money or access to money, never be forced to sell.

@Nicholas Dilloncongratulations on your success so far. a few comments.1. is BRRRR still achievable in 2025? 

You'll achieve a higher ROI.

What’s the current loan balance and terms with the hard money lender?

The market will naturally balance itself. 

This reminds me of how Alex Hormozie describes "the value equation"; Experience in this case is the factor that determines the likelihood of achievement. 1,000%Alex Hormozie is one of the greatest marketers not just alive, but ever. 

Very difficult to be successful with this program when buying in these lower tier markets unless you are hands on as you say and yes, scale is necessary to achieve efficiencies.