Cross posted*I am in a unique situation and would like to know what you would do.A little back story- My husband and I were in the beginning stages of building a new primary residence.

I'd think 15% combined with CapEx.With a SFR, the tenant usually pays for all utilities, so you can remove electricity and water/sewer.Add in management (10%), even if you plan to self-manage in the beginning.Confirm your property taxes.

Hi, @Paul C. based on your highest rent ($2200) and lower corresponding ARV ($390k) here are my numbers once it's rented out:$2200: GSR($110): Vacancy - 5%($330): Repairs & CapEx - 15% combined($220): Management - 10%, always include even if self-managing at first($177): Property Taxes($177): Insurance ($1581): Debt Service - $312k mortgage at 4.5%, 30 year= ($395): monthly cash flow3 months to renovate, doing it all yourself?

Given your friend’s apprehension about being the primary investor/lender I would use a combination of your capital (5k), a smaller amount from your friend and hard money.

Let me tell you how hard it is...I put in about 5 minutes and $5 of my time and money fixing both those issues, combined.

If you don't have enough Solo 401k funds to purchase the property as an all-cash deal, you can combine your Solo 401k funds with non-recourse debt to purchase the investment property.

So BRRRR would never work with the example you gave, the ideal BRRRR involves you creating 25% equity in the combination of purchase and rehab.

@Kyle RobichauA commercial lender can combine 5 different properties in to 1 commercial loan, so that shouldn't be an issue, the question is , can you still get a conventional Residential mortgage?

As a result we decided to offer the other existing tenants a one year lease at their current rent they have been paying (roughly $125/month below market rents).Each situation is unique, but hope this helpsBest,Ryan

I'm about to close on my first BRRRR deal with all cash using a combination of a personal loan (Sofi), my own money, and private money.