I'm using the BRRR method so the initial loan is a high interest, hard money loan.

I usually use the "1% rule" method by taking monthly rent rate divided by purchase price (per door) - so for my deal we are looking at $600/mo and $37.5k/door,  which would give us a 1.6% ratio under my method and a 19% ratio under your method, which is pretty good in a pretty hot Bham multifamily market.

I chose this method because:1.

I just attended a seminar today and bought a course from the Saen Higgins "Tax Lien Method" group.

I’m reading conflicting information on using the BRRRR method in todays economy (2023).

Lafi are you still doing this method?

See link:http://www.biggerpockets.com/forums/52/topics/77245-best-method-of-renewing-leases?

EVERYTHINGSeveral banks wanted to do this method and I don't want to report to them with everything that I do.

The standard method appraisers use for determining construction costs (and feasibility) is to use Marshal Valuation Service cost manuals, adjust for the multipliers, add estimated development fees, site costs, sales commissions ect.

With many of the more active methods investors are really getting paid for the time, effort, and risk involved, and then using that payment to boost their returns.