All Forum Posts by: Deborah McLeod

Thanks Jody! I appreciate your response. I understand that better now that you broke it down for me. So more net cash if I flip it, but cash out of a refi plus I still own the property helps me more in the long run. I have to work on changing my mindset. Glad I found out about bigger pockets before I started my rental transition! Thank you for your help Jody. 

I found a home in a neighborhood that is increasing in value at 11% per year. The home is renovated recently inside, well done. It's only a 1 bedroom, however, it has unused attic space. the house is 600 sq feet, so I assume the attic useable space is 300 sq feet. If I add 2 small bedrooms, a hallway and stairs, I can rent it as a 3 bedroom home (probably $1,000 or so). Or I could sell it as a 3 bedroom home (median is $124,000), so I could make some cash to move forward with. I am starting my real estate career with $100k. I have flipped 7 homes so I have some experience. Any advice? I thought maybe the BRRRR might help me make more money out of my $100,000. I never knew of that method until this weekend when I joined bigger pockets. I think it sounds like a GREAT way to go. I would appreciate advice.

How do you determine how much cash for "cash for keys"? Is it a proven formula or a unique negotiation every time?