BRRRR From Afar

[Mordechai Volpin]

I'm just looking to begin a real estate investment portfolio, and the strategy that has stood out to me as the safest, and most efficient way for me to utilize my capital was BRRRR, particularly in American markets. The issue is that although I am American, I live outside of the states, in Israel. I was wondering whether anyone has any experience or advice as to whether it is feasible to get involved in BRRRR from such a situation, as I am not prepared to make constant flights in and out of America, as it simply would not be compatible with the rest of my life. I absolutely intend to utilize a property manager, but I am wondering more whether the buying, and rehab process would require extensive time spent in the area of the property, versus how much of this could be performed successfully from abroad.

Thanks!

[Chris Seveney]

Quote from @Mordechai Volpin:

I'm just looking to begin a real estate investment portfolio, and the strategy that has stood out to me as the safest, and most efficient way for me to utilize my capital was BRRRR, particularly in American markets. The issue is that although I am American, I live outside of the states, in Israel. I was wondering whether anyone has any experience or advice as to whether it is feasible to get involved in BRRRR from such a situation, as I am not prepared to make constant flights in and out of America, as it simply would not be compatible with the rest of my life. I absolutely intend to utilize a property manager, but I am wondering more whether the buying, and rehab process would require extensive time spent in the area of the property, versus how much of this could be performed successfully from abroad.

Thanks!

It is definitely possible to execute a BRRRR strategy from abroad, but it requires building the right team and setting clear systems from day one. Since you are not planning to travel frequently, you will need to rely heavily on trusted local partners. A strong property manager is key, but just as important are a reliable contractor, a real estate agent who understands investment deals, and possibly a boots on the ground project manager for the rehab phase.

The most challenging part remotely is usually the rehab. That is where things can go sideways without someone overseeing timelines, quality, and budget. If you can find a contractor who communicates well, provides detailed bids and regular updates with photos or video, and has been vetted by investors, you will have a better chance at success.

That said, you may also want to consider a turnkey provider like Rent to Retirement. Many investors underestimate the cost and complexity of renovations, thinking they will save by managing it themselves, but construction is one of the biggest unknowns in real estate and can easily become more expensive than expected. A turnkey approach can simplify your entry and still provide solid returns without the operational headaches.

Plenty of investors live out of state or overseas and manage this well. Just be selective with your market. Some metros have a stronger infrastructure of investor friendly professionals than others. Interview your team thoroughly before you buy anything, and consider starting with a smaller project to test your systems.