BRRRR Gone SO Right!
BRRRR deal gone so right!
Single Family
4 Bedrooms, 2 Full Bathrooms at purchase
Asking: $75,000
Purchase Price: $42,500 Cash
Rehab: $70,000
Closing & Holding Cost: $5,000
Total Cost: $117,500
Projected Appraisal: $125,000
Cash-Out Refinance LTV: 85% ($106,250) leaving $11,250 in the deal
Appraisal: $142,000
NEW Cash-Out Refinance LTV: 85% ($120,700) taking out all capital invested as well as pocketing $3,200.
5 Bedrooms, 2 Full Baths After renovation
Cash flows $600 per month
This deal turned out to be great thanks to that extra appraisal amount and my conservative ARV I was shooting for. Income approach came in at $144,000!