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brrr deal

Leave with a $17k BRRR deal like I did

Word on the street is that there is no BRRR deal right now…

But that’s not what I’m seeing when deals come rolling in hot.

We’ve had quite a few deals come through our Inner Circle community.

One of my most recent BRRRs required a TON of work in order to bring value to the property. It was a no-looker when I first bought it, but it wasn’t an opportunity I was going to pass on.

Chattanooga, TN duplex closed 12/15

  • Purchase price: $118,000
  • Renovation budget: $30,000
  • Market Rents $1450

Estimated ARV $180,000 

brrrr deal

I’ll end up leaving $17k in the deal, and the COC is 16%. 

The actual cash flow is not great, the interest rate hike cost me $100/mo. But the neighborhood is improving so I’ll hold long-term and make it back in rent increases.

Here’s another deal I closed on 12/20.

brrrr deal

Holland, MI 7-unit

  • Purchase price: $775,000 with $15k cash back at close
  • Renovation budget: $37,500 ($7500/unit with seller credit)
  • Market rents: $8575
  • 6.25% cap based on new NOI $1,085,776 

This could have been an 8-12 month BRRR had I used a bridge loan. 

Instead, I went for a 5/30 with a prepay at 3.85% right before the interest rates went up. 

I’ll have to do the math when we achieve market rents and decide if the prepay is worth it, or if I should just wait it out and pull the equity in a few years. Either way, it’s a win. 

I’ve got a few more deals scheduled to close this month. 

The point is – BRRR deals are out there. Don’t let anyone tell you that there aren’t! 

If you’re looking for a strategy on how to find and land these deals, then join the Inner Circle group. 

I wouldn’t have access to these deals if it wasn’t for this community. I’ve been doing these deals for 15 years now, I want to help you land them too. 

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About the Author

Jennifer Beadles

I’m Jennifer Beadles, and together with my family, we are living the day-to-day of a financially independent family thanks to our rental properties.

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