BRRRR Strategy (Buy, Rehab, Rent, Refinance, Repeat)

Definition:

BRRRR its cold in here. There must be some Toros in the atmosphere!! :) The BRRRR Strategy is a real estate investment approach that involves buying a distressed property, rehabbing it to increase its value, renting it out to generate income, refinancing the property to recoup the initial investment, and then repeating the process with new properties. This strategy allows investors to build a portfolio of rental properties with minimal initial capital.

🙌 You can create customized BRRR strategies from your Picket account!

🔍 Did You Know?
The BRRRR Strategy is popular among investors who want to build long-term wealth and cash flow through real estate, while recycling their initial investment capital.

Examples:

Example 1:
An investor buys a distressed property for $150,000, spends $50,000 on renovations, and then rents it out for $2,000 a month. After refinancing, the investor recoups $200,000, which can then be used to purchase another property.

Example 2:
A real estate investor follows the BRRRR Strategy by purchasing a single-family home for $100,000, rehabbing it for $25,000, and then refinancing after securing tenants. They repeat the process to build a portfolio of five rental properties in two years.

Why It’s Important:

The BRRRR Strategy allows investors to leverage their capital effectively, building a portfolio of rental properties while continuously recycling their initial investment. It’s particularly effective for investors focused on long-term cash flow and equity growth.

Who Should Care:

• Real estate investors looking to scale their portfolios with limited initial capital.
• Lenders evaluating financing options for investors following the BRRRR Strategy.
• Property managers who oversee the rehabbing and renting of properties.
• Fans of Bring it On

The Open Real Estate Company

Picket is on a mission to make real estate open, efficient, and fun for all

Try Picket

Picket Help Center

Picket Help Center Get practical, step-by-step answers to using Picket Quick start guide Create new account Add existing investments Invite team to collaborate Learn to use Picket Explore properties Buy & sell Analyze investments Research markets Team & Vendor Collaboration Create custom strategies More tutorials & content Picket Web ServicesOpen API Use Picket’

PicketPicket Team

Create Your Picket Account

Open {pricing} API

Already have your own system? No problem. Try Picket's API instead.

Developer Docs

Learn to use Picket

Explore properties

Buy & sell

Analyze investments

Research markets

Team & Vendor Collaboration

Create custom strategies