I have spent the last five years building a real estate portfolio with BRRRR being my primary method for growing. Prices have gone up. Interest rates are climbing again. Worst of all, inflation continues to burn hot. The property I am currently renovating has been a nightmare and set me back significantly in being able to do future deals, but not because it wasn't a great opportunity, but rather the cost and time commitment to renovate the property has changed substantially over the last 12-18 months.

The cost to have a contractors / professionals complete projects has skyrocketed in last year. This has led to quotes of $35k-$50k to rewire one half of a duplex (walls were already open, so no cutting or fishing wires needed). A $15K quote to replace a single duct run in a wall. Finally, my personal favorite, a $13K quote to replace 14 feet of sewage stack from the second floor to an elevated sewage stack in the basement (quote included only $350 in materials).

I ended up completing all of the above for ~$15K combined, but the point is, there are less skilled laborers to complete these tasks, resulting in ridiculous quotes to have work completed.

I don't have a crystal ball, but the market currently seems to be propped up by AI companies that have yet to operate in the black and consumers that are seemingly stretched further than they've been in nearly 20 years.

For those of you that were investing through the 07-08 downturn, how does the current market compare and how are you positioning yourselves for the next 12-24 months?