Updated about 6 hours ago on . Most recent reply
Looking to start BRRRR
Hello, I'm looking to get into BRRRR. I recently purchased a rental from my father for 30k. Basically a gift from him. The value of the home (well its actually 2 homes 1 lot) is 260k. I would like to leverage that equity to get started. I am familiar with renting and finding contractor (most my family are contractors) etc..im not familiar with creating wealth or leveraging that. I have been researching foreclosures and trying to learn as much as i can I joined this community for help and guidance and to avoid the mistakes that newbies make. I am ready to go but i'm still not sure how to start. Like what kind of loan do i look for that will leverage the equity in my new rental property? Do i put my current property under an LLC and use that llc to buy all future properties? How do i scale properly? Just want to do this right anything you can provide would be a great help.
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#3 New Member Introductions Contributor
- Realtor
- Columbus, OH
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#3 New Member Introductions Contributor
- Realtor
- Columbus, OH
Hey @Victor Valencia! I would recommend starting by meeting a local lender or small community bank for a cash-out refi or HELOC on the $260k property to unlock equity for the next purchase. Hold off on forming an LLC for now; personal financing usually gets better terms, and a CPA can help decide when to transfer properties later. Look for a property where the after-repair value supports a refinance, and rent easily covers expenses. With contractors already in place, focus on the numbers and repeat the process to scale.
- Kerlous Tadres
- [email protected]
- (614) 490-1163
