Everyone knows the BRRRR method - Buy, Rehab, Rent, Refinance, Repeat.It’s built on the idea that leverage lets you grow faster.That worked great when money was cheap and banks were eager.But in today’s market, the same leverage that once fueled growth can quietly eat away at returns.Here’s an alternative I’ve been studying - something I call the Reverse BRRRR.It keeps the real estate, the cash flow, and the repeatability… but removes the debt treadmill.Here’s the basic structure:Buy homes in livable condition at a discount.

We’re in Thousand Oaks, CA, where ADU rents for a new 2-bed unit are extremely strong.

But that being said, don't worry about your 7-10 year plan just yet - don't get me wrong having vision is extremely important, but getting into your first property is more important now.

You're going to run into this in most of the major STR markets because within the last 2 years we have seen a massive spike in available inventory.In order to compete with the competition now, hosts/owners/operators need to step up their game and be willing to invest in good quality furniture, memory foam mattresses, high quality linens, professional seasonal photography, etc.In the high desert, most visitors are looking for peace, quiet, privacy, and amazing scenery so this means stay away from purchasing homes in residential neighborhoods with neighbors on all sides.

Have never received a distribution and It’s extremely difficult to get communication and financials. 

Great place to build buyers lists quickly.Off-market deals perform extremely well here.Absentee owners, preforeclosures, and tired landlords are common lead sources, and spreads tend to be healthier than in the Sunbelt right now.If you end up wanting turnkey or pre-stabilized rentals, Ohio’s one of the most proven states.Lots of investors build their first 5–10 doors here because the math actually works.You’re going to do great in this market - it fits your experience perfectly.

Biggest warningLease options become a nightmare only when investors:Don’t screen hardDon’t verify incomeDon’t use an attorneyTreat it like an “easy sale” instead of a hybrid rentalIf someone can’t hit a mortgage in 24–36 months, they shouldn’t be in a lease-option.Bottom lineLease options still work extremely well if you’re structured, screened, and attorney-backed.And for filling vacancies, this niche brings in very grateful, long-term applicants.

It has been pretty quiet in Oct. and Nov. and I will close it down after Jan. until April. 

If you need one who is familiar with house hack investing in your target area(s), click here and BP will recommend one.You may already be doing this with your existing investment properties but for house hacking, I'd recommend having clear house rules related to visitors, vehicles, quiet hours, apartment walkthrough access, etc.All the best to you and your family during the transition!

That’s why most experienced investors use private or hard money to acquire, then refinance later.And here’s something extremely important that people often overlook:The most important thing you can do is work with a mortgage broker who understands your real estate investment goals and knows how to structure financing that supports your overall strategy.