Hello BP members!
my girlfriend and I are in the early stages of buying our first home/investment property. We are planning to implement the BRRRR strategy by finding a propety that needs some minor TLC and where we can live in one unit and either Airbnb the other or rent.
I have heard of some investors using a purchase plus improvements mortgage in the past when using the BRRRR strategy on a property. Has anyone used this type of mortgage before? Or has any recommendations on a type of mortgage that would work well with our type of strategy?
I also know that Scotiabank offers this type of mortgage and I stumbled upon True North Mortgages that offer this mortgage with great rates. Has anyone heard of them or used them before?
Thanks in advance for your advice!
Our brokerage offers Purchase Plus improvement mortgages. Typically you will need to live in one of the units and be putting less than 20% down payment. You can get up to 20% of the purchase price to a maximum of $40K towards improvements in your home. An appraisal will be required to get estimates on the costs of the improvements and then one will be done once the work is completed.
Best of luck,