Buy under market → rehab to force appreciation → lease → cash-out refi at 70–75% of new ARV → deploy proceeds into the next deal. Best when you can force enough value to pull most of your capital back out.
Investing Strategy
BRRRR Method
Buy, Rehab, Rent, Refinance, Repeat — a strategy to recycle capital by pulling equity out of stabilized rentals.
More in Investing Strategy
- Fix and Flip— Buy distressed, renovate, sell within 6–12 months.
- Buy and Hold— Purchase rental property and hold long-term for cash flow, appreciation, and tax benefits.
- Wholesaling— Contract a property below market and assign the contract to an end-buyer for a fee.
- Syndication— A group investment where a sponsor raises capital from passive Limited Partners to acquire…
- LP / GP Split— The waterfall dividing profit between passive Limited Partners (LPs) and the active Genera…
- Preferred Return (Pref)— An LP's first-dollar return threshold — usually 6–9% annually — that must be paid before t…