Will BRRRR work on Expensive houses

[Brent Raver]

Is anyone out there doing high end BRRRR? Is there a market for it? I am just looking to learn more! I am a carpenter and want to be able to work on expensive houses and have the ability to make the numbers work while still focusing on the craftsmanship

[Kevin Sobilo]

@Brent Raver, do some case studies. I know it sounds complicated and involved, but it isn't.

Go find expensive houses that have sold in the condition you want to rehab them into (something like the end product you envision) and then see what they would rent for. Then see if they would cash-flow decently if you paid that price for them. When you refi at the end of a BRRRR deal, you are taking a loan as if you had purchased at that improved value.

If you find that they can, then look for deals.

I suspect in most areas they will not cash-flow if you are talking about single family homes especially.