Cash Out Refinance For Beginners | BRRRR Method Deep Dive
youtu.be
Real estate investor Sam shares his expertise on using the BRRRR method to build wealth through rental properties without using any of your own money. The BRRRR method involves buying a distressed property using someone else's money, fixing it up, and getting it rented. The refinance step is the most important part of the process, and it involves getting an 80% cash-out refinance from small local banks that will lend you up to 80% of the property's value. Sam provides three tips to ensure that you get all your money back during the refinance step, including running conservative numbers, using a local appraiser, and using a local bank that understands the BRRRR method.
Sam emphasizes the importance of going to small local banks for financing instead of big box banks like Bank of America or Wells Fargo. Small local banks are community-focused and have more flexibility in their lending rules and regulations. They also hold their mortgages in-house, so they have more flipping flexibility. Sam recommends meeting the appraiser at the property to increase the chances of getting the loan you need to pay off your initial lenders.
Overall, Sam's video provides valuable insights into using the BRRRR method to build wealth through rental properties without using any of your own money. By following his tips and advice, viewers can increase their chances of success in this lucrative field.
Real estate investor Sam shares his expertise on using the BRRRR method to build wealth through rent