BRRR TECHNIQUE?

[Jessica Roman]

I was learning about the BRRRR technique and I had a question based on the R for refinancing. I was wondering if after refinancing the property, would the monthly mortgage increase?

[Jayson Edwards]

@Perry Ivy 

Curious as to why you advise against this technique? 

If one were to implement every step of it successfully, and upon refinancing were able to pull out all the initial capital they had invested, and reapply it to another property, what's not to like about that? 

The property stands a good chance of cash flowing, the tenant is amortizing your loan, you receive tax breaks, and you even have the possibility of appreciation. Meanwhile, since you have $0 cash out of pocket invested in the property, your returns are infinite. 

Even if GREAT deals are hard to come by and you have to leave some money in the property, say $5 - 10k, it still appears to be a very sound investment to me.