I've been looking into the BRRRR strategy for quite some time and have a lot of questions about it. But I wonder, can I skip the rehab part and go straight to renting and refinancing? Or is it effective when I follow all five steps, and if so why? I appreciate any information offered on this subject.
Yes, you can skip the rehab part and go straight into refinancing it...asumming you own it free-and-clear and you got the property for a steal.
You should think about how you are going to buy the property if it doesn't need rehab. It looks like you can just buy the property with a mortgage and you will be at your targeted end state for lower cost and with a better rate.
You will probably need to wait at least 6 months after the purchase to refi if you want cash out based on a different appraised value than your sale price. The refi rate will be higher than a purchase mortgage because it is a cash out refi. You will also incur additional closing costs, such as another title insurance.