For years, the BRRRR method (buy, rehab, rent, refinance, repeat) was every real estate investor’s favorite strategy. And it’s easy to see why. Using this simple formula, you can buy an outdated property, fix it up, lock in some solid equity, and then refinance, having the bank pay you back all the money you put into a deal. It sounds foolproof in theory, and up until 2020’s hot housing market, it essentially was.
But things have changed. Home prices are higher than ever, mortgage rates are still double what they were during 2021, and everyone and their grandma now wants to invest in real estate, making more competition for these outdated homes. So, one big question presents itself: Does the BRRRR method still work in 2024? And, if it does, what are some ways to beat the competition and score a seriously good deal, no matter the mortgage rate?
Well, we’ve got the man who literally wrote the BRRRR book on the show—our very own David Greene! David is giving his time-tested insider tips on how to build wealth with BRRRR, create more equity on your next home rehab, which new loans make BRRRR much better in 2024, and why you CAN’T rely on cash flow anymore, but you can rely on something MUCH more beneficial. Ready to get your first (or next) BRRRR done in 2024? This is the episode for you!
David:
This is the BiggerPockets Podcast show 904. What’s going on, everyone? I am David Greene, your host of the BiggerPockets Real Estate Podcast, joined today by my co-host, Rob Abasolo, and if this is your first time listening, well, we are super glad to have you. We’ve got an awesome show in place, and Rob is here to help me bring it to you. Rob, how’s it going over there?
Rob:
It’s good. I’m coming to you from a hotel conference room where I had to kick everyone out. They were running over on the schedule. I was like, “Hey guys, I’m doing a podcast.” And so they’re all standing outside of here and it is very important for this podcast to happen…