First BRRRR, 100k in equity and Finally living for free

4 Replies

In February 2015 my wife and i purchased our first duplex for $255K using an FHA loan at 3.5 down. We rented the second floor out and lived on the first floor(house hacking). As we payed our mortgage(debt reduction) , the house increased in value after 3 years it appraised for $360K. We had made a little over $100k in equity. In January 2018, we did a cash out refinance and received roughly $50k. We used the $50k plus additional savings to look for our next investment.

Now lets get to the numbers and i will explain how we own two homes and Live for free. Below you will see the current mortgages on both homes and what i collect in rent.

First home

Mortgage - $2600

Rent collected - $1600

Second home

Mortgage - $1400

Rent collected - $2950

Total mortgage - $4000

Total rent collected - $4550

= $550 profit each month and an extra $6,600 a year

Whats next?

God willing my wife and i will use the same method in 2019 and continue to add rental real estate to our portfolio.

Happy Investing my friends :)

That's awesome. Congratulations! 

Excellent work! That's the mega goal... to live free and have other people fund ventures ;) 

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here