BRRRR in this Market?

[Courtney Rodes]

I'm reading conflicting information on using the BRRRR method in todays economy (2023). With interest rates higher, is it worth it? Are hard money loans unaffordable now as well? What's the best strategy for real estate investing in a downward market?

[John Chong]

I would focus on finding a good margin deal instead of the rate. They're still out there. 

Keep in mind hard money loans are usually 6-12 month terms with most investors getting out in under 6 months.

When you refi out into the 30 year fixed DSCR loan, go with a lower prepayment option so you can refi again when rates come back down.

Then you'll have a property with great equity and great cash flows.