Updated almost 5 years ago on . Most recent reply
BRRR Financing Question
Hello - I'm a newbie over here trying to get my feet wet into real estate investment. I came across what I think is a good deal that has the potential to be a BRRR or possible flip. It's two properties right next to each other. 160k for both; 300-330k ARV after rehab. I brought a trusted contractor in who quoted me 50k to fix up both properties. So essentially I would be all in for around 210k with ARV value of 300-330k after repairs. Rent comps in area look to be around $1500 per unit so $3000 total for both.
My thought was to refinance these after repairs to get my money back out. Curious how the rest of the group has gone about that? Am I able to combine the two properties into one loan or would I need two different loans; one for each property; for these. In doing so would that cause me to get a higher rate. I've read a little bit about portfolio loans and curious if this would be a good candidate for that.
Appreciate any advice you guys have. Thanks!