BRRRR - Buy, Rehab, Rent, Refinance, Repeat

User Stats

4
Posts
2
Votes
Ashek Elahi
  • Investor
  • Connecticut
2
Votes |
4
Posts

What is the best marketing strategy to find BRRRR deals

Ashek Elahi
  • Investor
  • Connecticut
Posted May 8 2022, 15:18

I am just starting out my journey as an investor, Used FHA to get my first house which was a triplex.

2 unit is paying my mortgage plus 400$ is cash flow every month. what I want to know is how do I go about finding deals what is the process?

I really love the idea of brrrr but I am having hard time just getting the ropes and starting, not sure if I should cold call or do bandit signs, or how to even find properties with a discount everyone I do call all wants top dollar for their house. 

any information would be very appreciated and Thank you all in advance. 

User Stats

739
Posts
423
Votes
Andrew Garcia
  • Lender
  • Charlotte, NC
423
Votes |
739
Posts
Andrew Garcia
  • Lender
  • Charlotte, NC
Replied May 9 2022, 05:26

Hi @Ashek Elahi, the easiest method is to use wholesalers. They do the bandit signs and cold calling and all those things.

If you want to do those things to get a deeper discount, by all means, go for it. However, if your goal is simply to get started in BRRRRs, I would get on wholesalers' lists in your area.

User Stats

902
Posts
964
Votes
Michael Dumler
  • Real Estate Agent
  • Atlanta, GA
964
Votes |
902
Posts
Michael Dumler
  • Real Estate Agent
  • Atlanta, GA
Replied May 9 2022, 06:13

@Ashek Elahi, how did you go about acquiring the house hack deal? Was the triplex listed on market? You're correct, with current market conditions, sourcing brrrr deals are difficult to come by since sellers know they can receive top dollar. Whatever marketing strategy you decide to implement in your business be consistent in that area. Too many stories are told of individuals giving up after a month of trying only to end up blaming external circumstances. Recognize the fact that it's going to take time to acquire a solid brrrr deal. I would look into a platform called PropStream to help you compile a list of properties to target or go about using a wholesaler as Andrew suggested. Hope this helps! 

User Stats

4
Posts
2
Votes
Ashek Elahi
  • Investor
  • Connecticut
2
Votes |
4
Posts
Ashek Elahi
  • Investor
  • Connecticut
Replied May 9 2022, 10:13
@Andrew Garcia I have reach out to a few wholesalers as well but the market being as is most of the comps doesn't make any sense with the price they ask for, no money to be made. Do you have any recommendation as to how to go about finding a good wholesaler(been using facebook wholesale page). Thank you in advance all advice is appreciated.

User Stats

4
Posts
2
Votes
Ashek Elahi
  • Investor
  • Connecticut
2
Votes |
4
Posts
Ashek Elahi
  • Investor
  • Connecticut
Replied May 9 2022, 10:22

@Michael Dumler the triplex was off market, wholesaler from FB connected me and the seller which was his friend and we were able to make a deal come through. 

I used PropStream awhile back however all the leads I generated via PropStream was all on the market (I am sure I might have pulled the wrong search) I am just searching for the best solution my goal is to acquire 8 unit per year and to do that I have to have a good wholesaler or have to figure out how to find leads on my own. 

Also Thank you for taking the time out and replying, really appreciate it. 

User Stats

739
Posts
423
Votes
Andrew Garcia
  • Lender
  • Charlotte, NC
423
Votes |
739
Posts
Andrew Garcia
  • Lender
  • Charlotte, NC
Replied May 9 2022, 10:28
Quote from @Ashek Elahi:
@Andrew Garcia I have reach out to a few wholesalers as well but the market being as is most of the comps doesn't make any sense with the price they ask for, no money to be made. Do you have any recommendation as to how to go about finding a good wholesaler(been using facebook wholesale page). Thank you in advance all advice is appreciated.

 @Ashek Elahi yes. You can go into the Bigger Pockets wholesalers forum and type in your city. You should be able to connect with a lot of them there. You can also talk to other fix and flippers and BRRRRers in your market to ask who they use. You can also go into Facebook and type in "real estate wholesaling" then type in your city and state and a bunch will pop up. Then, just search the group to connect. Hope this helps!

User Stats

4
Posts
2
Votes
Ashek Elahi
  • Investor
  • Connecticut
2
Votes |
4
Posts
Ashek Elahi
  • Investor
  • Connecticut
Replied May 10 2022, 09:49
Quote from @Andrew Garcia:
Quote from @Ashek Elahi:
@Andrew Garcia I have reach out to a few wholesalers as well but the market being as is most of the comps doesn't make any sense with the price they ask for, no money to be made. Do you have any recommendation as to how to go about finding a good wholesaler(been using facebook wholesale page). Thank you in advance all advice is appreciated.

 @Ashek Elahi yes. You can go into the Bigger Pockets wholesalers forum and type in your city. You should be able to connect with a lot of them there. You can also talk to other fix and flippers and BRRRRers in your market to ask who they use. You can also go into Facebook and type in "real estate wholesaling" then type in your city and state and a bunch will pop up. Then, just search the group to connect. Hope this helps!

@Andrew Garcia Thank you! 

@Andrew Garciaundefined

User Stats

18
Posts
5
Votes
Gil Cohen
  • Investor
  • Detroit, MI
5
Votes |
18
Posts
Gil Cohen
  • Investor
  • Detroit, MI
Replied May 10 2022, 14:22
Quote from @Andrew Garcia:

Hi @Ashek Elahi, the easiest method is to use wholesalers. They do the bandit signs and cold calling and all those things.

If you want to do those things to get a deeper discount, by all means, go for it. However, if your goal is simply to get started in BRRRRs, I would get on wholesalers' lists in your area.


 Use those hard-working wholesalers to your benefit whenever possible. They already doing all the cold calling and leg work, and want your business. A win-win for all parties.

User Stats

2,206
Posts
2,275
Votes
Corby Goade
  • Investor
  • Boise, ID
2,275
Votes |
2,206
Posts
Corby Goade
  • Investor
  • Boise, ID
Replied May 10 2022, 14:49

Sounds like you already found yourself a pretty good deal, just do that again!

I agree- wholesalers are a good source, though the quality of what you'll see will be mostly garbage, so it's important to have a really good handle on your market. 

Don't dismiss the MLS, I know tons of people still making a killing with flips and BRRRR on the MLS, there are always deals to be had if you have your eyes open.

Good luck!

User Stats

18
Posts
13
Votes
Joe Almeida
  • Real Estate Broker
  • Bridgeport, CT
13
Votes |
18
Posts
Joe Almeida
  • Real Estate Broker
  • Bridgeport, CT
Replied May 26 2022, 15:02

Good recommendation on using wholesalers, but please don't rule out the MLS and a good investor agent. I know the market is tough when trying to get something off the MLS. But there are ways of finding deals such as going after properties that have been on the market for more than 30 days. If a property doesn't take a deposit in less than 30 days, most likely it's overpriced. If the seller is motivated, and the listing agent as well, a reasonable lower offer may get the ball moving. Try it and good luck!

User Stats

26
Posts
7
Votes
Dustin Rosenberg
  • Lender
  • El Segundo
7
Votes |
26
Posts
Dustin Rosenberg
  • Lender
  • El Segundo
Replied May 26 2022, 15:54

Cold calling and door knocking still work. All the big dogs still do it. 

User Stats

10
Posts
11
Votes
Michael Lyons
  • Investor
  • Washington, DC
11
Votes |
10
Posts
Michael Lyons
  • Investor
  • Washington, DC
Replied May 26 2022, 16:19

I'd recommend all of the above, at once! Get yourself setup with a good, flexible excel model (message me if you need assistance, or a starting place, I can send you mine!) that can be used to underwrite deals quickly using conservative numbers.

The more deals you see, you'll get a better understanding of what's available, and what is feasible in terms of an investment. So, get on all the wholesaler lists, connect with a solid investor-friendly agent in all the markets you're interested in, and search redfin, Zillow, foreclosure sites, and even local tax sales, and keep running the numbers.

I'm also new, and looking for my first property, but this has been effective for me in sourcing plenty of opportunities... now just time to execute (find a GC or CM)! 

User Stats

4
Posts
0
Votes
Replied Nov 22 2022, 04:55

I like the idea of using the BRRRR strategy because it allows you to progress gradually. However, due to its riskiness, I wouldn't use it for a business that I run myself. At the initial stage, I would definitely attract someone who already has experience with BRRRR. I think such people understand the value of galls law in work. Perhaps such a move would be able to minimize the risk a little. When you have enough experience, you can do it yourself. But this is just my opinion because I'm a very careful investor :)

User Stats

6,079
Posts
3,005
Votes
Eliott Elias#2 All Forums Contributor
  • Investor
  • Austin, TX
3,005
Votes |
6,079
Posts
Eliott Elias#2 All Forums Contributor
  • Investor
  • Austin, TX
Replied Nov 22 2022, 07:14

Finding the deal is a true hustle. There are a million and one ways to go about it, I cold call, door knock, and network my butt off 

User Stats

338
Posts
372
Votes
Jack Mawer
  • Lender
372
Votes |
338
Posts
Jack Mawer
  • Lender
Replied Dec 19 2022, 17:33

Congrats on acquiring a cash flowing asset! I think it would be beneficial to connect with local realtors as well as wholesalers who will be a good source for locating off market distressed properties - talking with lenders and investors in your community is always helpful as well

User Stats

2,323
Posts
1,959
Votes
Joe S.
  • Investor
  • San Antonio
1,959
Votes |
2,323
Posts
Joe S.
  • Investor
  • San Antonio
Replied Dec 19 2022, 18:56
Quote from @Andrew Garcia:

Hi @Ashek Elahi, the easiest method is to use wholesalers. They do the bandit signs and cold calling and all those things.

If you want to do those things to get a deeper discount, by all means, go for it. However, if your goal is simply to get started in BRRRRs, I would get on wholesalers' lists in your area.


 Have you ever used a Wholeseller? Personally, I get contacted by Whole Sellers quite often and what they are trying to sell is not usually avwholesale price ….a lot of them are trying to sell trash properties for top dollar. 

User Stats

8
Posts
1
Votes
Jody Sheehan
  • Investor
  • Zion, IL
1
Votes |
8
Posts
Jody Sheehan
  • Investor
  • Zion, IL
Replied Dec 27 2022, 14:38
Quote from @Joe S.:
Quote from @Andrew Garcia:

Hi @Ashek Elahi, the easiest method is to use wholesalers. They do the bandit signs and cold calling and all those things.

If you want to do those things to get a deeper discount, by all means, go for it. However, if your goal is simply to get started in BRRRRs, I would get on wholesalers' lists in your area.


 Have you ever used a Wholeseller? Personally, I get contacted by Whole Sellers quite often and what they are trying to sell is not usually avwholesale price ….a lot of them are trying to sell trash properties for top dollar. 


 never hurts to make an offer that works for you, especially one with repair costs laid out..makes it tough to dispute