Kansas City BRRRR Inquiry

[Luke Russell]

Hey BP,

I'm looking for my next buy-and-hold property in Kansas City and am realizing that acquiring properties can be a pretty slow process when you don't have a ton of capital to work with. I'm fine with slow accumulation of wealth, but it seems to me like there are quicker options out there - the BRRRR method being one of them, since (if done correctly) you can pull out money during the refinance and use it on your next deal.

My question is if anyone has had success with the BRRRR method in the Kansas City market, and if so, which lenders have you used for the hard money, refinancing portion, contractors for the renovations, etc. or if you've had issues with the BRRRR method, I'd love to hear that too. The process seems to include a lot of moving parts and if I go that route, I'd love to get some recommendations!

Thanks!

[Brett G.]

@Luke Russell What I am finding as I get started is, if you want to fully maximize your BRRRR strategy, you need to understand what a potential property can refinance at, then you can back out all your other numbers and arrive at your offer price.

Start with lenders to find out their terms, holding period, LTV requirements, etc. Then you can figure out what the "B" and the other "R"s in your deal should be.

I think if you can fully understand your finance options, that is a big step in being able to start and grow your business.

Oh, and where were the bass caught?