What would you do if you had the cash?

2 Replies

Question:

Say, hypothetically, that you were starting from scratch and had $400k or $500k and wanted to start buying single family rental properties. Would you deploy the BRRR strategy? And how/when (if at all) would you finance or refinance? How many do you think you could buy with that amount (and a strategy for moving forward)?

No.  I actually have a model I developed based on starting with that exact dollar amount that involves a number of different steps and strategies all put together in a plan.  The difference is, my plan is based on a loan of that amount...not cash.  I'm presenting it to my REIC this month.  Here is the Order of Appearance for the different strategies:

1 - Acquire Original Non-Lienable Debt Loan, and Fund a Cash Reserve to make monthly payments on Original NLD Loan (OL)

2 - Buy Absolute NNN Commercial Property for steady CF that makes OL monthly pmts and deposits for OL Payoff.

3 - Use balance of funds to start flipping SFH

4 - Re-Use original purchase/rehab funds over and over to flip ===> profits

5 - Accumulate profits to expand the # of Flips you can do at a time

6 - Use Accumulated Profits to buy either SFH Rentals, or additional NNN Commercial properties for the Cash Flow

7 - Pay off OL

8 - Collect continuous CF from NNN and/or SFH Rentals

9 - Put on auto-pilot

10- Retire in....(you fill in your chosen destination)  

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