How to BRRRR without hurting Credit?

[Holly Groseth]

My husband and I noticed our credit scores dropped significantly because we have "too many new accounts open" (i.e. too many recent mortgages) and "too many inquiries" within the last 6 months. But every time you BRRRR a property the preferred exit strategy is to cash out refinance it. So my question is how can you refi over and over without hurting your credit? And how will lenders be able to lend to us now that our credit scores have dropped? I know there are a ton of buy and hold investors out there...how are you all doing this part?

[Cameron Tope]

@Holly Groseth I experienced the same issue! 

BRRRRing never hurt my credit bad enough to become a problem but how I managed it was refinancing quickly after purchasing, usually 30-60 days. There's a rule (not sure what it's called) but multiple pulls on your credit within a 30-45 day window (not 100% sure on the time frame) can count as one credit pull instead of multiple. Similar to shopping for a car, if you go to several dealers and they each do a credit pull then it will count as one pull, as long as its within the time frame. 

I would call your credit agency and see if they can count it as one pull instead of separate pulls. But @Joe Norman is correct, as the loans get more "seasoned" your credit score will rise. 

Best of luck!