Dear all,I'd like to share a creative finance strategy that I have used to scale to $10.5M of client capital under management and $21M of assets on the books.

But the cynical side of my brain knows the worst flippers out there will find a workaround for it and continue delivering low-quality flips to unsuspecting buyers. 

Myself and a few other investors I know have a handful here but I want to keep getting to know others doing the same thing and share notes about what’s working and not working.

Hey guys, late to the party, but I'm heavily involved in investment real estate as a Broker Associate and investor in Fredericksburg, TX as well as our second home in Natchez, MS.

The way to handle it is to allocate expenses based on the percentage of the home’s square footage used for rental purposes.Here’s how it works:Calculate Rental Percentage: Add up the square footage of both the in-law suite and the rented room, then divide by the total square footage of the house.Apply This Percentage: Use this rental percentage to deduct a proportionate share of expenses like repairs, utilities, and mortgage interest.This post does not create a CPA-Client relationship.

Send an email to "[email protected]" and they will look into it.

Is there any advice specific to Chicago that would be important to know?

After a thorough market analysis, I reached out to the seller directly and negotiated a fair price based on comparable sales and the property's current condition, emphasizing my ability to close quickly.

How do you know they don't plan to move?

BRRR stands for Buy, Rehab, Rent, Refinance, Repeat, and it's one of the most powerful ways to scale your investment portfolio using leverage.