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How To Rapidly Build A Large Real Estate Portfolio Using Buy Rehab Rent Refinance and Repeat

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How To Rapidly Build A Large Real Estate Portfolio Using Buy, Rehab, Rent, Refinance, and Repeat Strategies

In this article, you will gain a full understanding of how you can rapidly build a large real estate portfolio by using the buy, rehab, rent, refinance and repeat method. This strategy was pioneered by Danill Kleyman of True Vision Analytics, who is one of the best, if not the best real estate expert of all time I ever come across I happened to attend one of his online training and the above strategy simply blew my mind.

Today, I am happy to share my own take and also hope that you can put this method to use as soon as possible.

If you are into the following market category and has been struggling:

  • Property ownership,
  • Buying and selling,
  • Commercial property buying and selling
  • Commercial building for purpose of refinancing or selling
  • House flipping for profit
  • Landlord or homeowner
  • New construction
  • Rehabbers
  • And residential and commercial developments

Then this article will definitely benefit you the most and you can come back and thank me later.

From what I noticed, the strategy works with property owners meaning if you own the property. Then sell and buy more. Commercial property buying and selling will benefit too if your overall objective is to increase your portfolio. Same goes to house flippers and homeowners who want to increase their real estate portfolio.

One great thing about this strategy is that it works in a flat market and it also works in a volatile market as well. The juice behind it is that you only use one fund and then recycle that fund over and over and over until you reached the expected or intend portfolio limit or your target. Now let’s look at what the strategy really is and how to use it.

What Is Buy, Rehab, Rent, Refinance and Repeat Strategy?

The strategy according to Daniil is called BRRRR which stands for:

  • Buying of property which is the initial stage of every homeowner of intending property real estate investors.
  • Rehab means rehabilitating the property toward selling or renting it for profit.
  • Rent. which means renting out for returns on capital investment.
  • Refinance. Which means recycling the finance used on the initial purchases to buy another property as a result of good returns.
  • Repeat. This simply means repeat the process.

Benefits of BRRRR Strategy

  • First, it is the most powerful money building strategies you will ever encounter in real estate building and investment industry.
  • The strategy takes advantage of the concept of “velocity of money” to help you roll over the same cash deal after deal.
  • It enables you to rapidly build your portfolio using private money or a limited amount of cash.
  • It works in a market that is not appreciating
  • The strategy allows you to build a portfolio with little or zero money on your own tied up, yet with at least a 20% equity position as against debt that will protect you in a down market.

How Does BRRRR Strategy Work?

First and the most important rule here is to make sure you don’t get stuck on the first deal before jumping over to the next deal. Yes! I myself I was confused at first when he explained in detail, my jaws dropped, figuratively.

Because these deals when done properly are maths intensive and according to Daniil, the best way to not get your numbers stuck it to make sure your numbers work before buying the next deal.

For the sake of not wasting your time, let me jump right into how this strategy works

Step 1: Buying A Property

This is the first and most important step into the strategy. This shows that you are ready to build your portfolio and you are committed to making it work

You can use a various source to get funding and this include:

  • Your own cash if you have savings
  • Private Lender. Only just make sure they refinance your rehabs as well.
  • Bank loan if you know how to prepare a convincing presentation.
  • A line of credit from members of the family, friend/s, partners, private lenders or even seller financing.
  • To learn more about how to find private money and how to structure private deals that will get lenders begging to invest with you, watch this video.

Step 2: Rehab

Once you have secured financing and bought your first house, you will need to rehab it. Always bear in mind to keep the property with the market tune as you will be renting it out and don’t overdo it.

Aspire to create more the highest property appreciation through bigger rehabs. To achieve this, you have to do this:

  • When you go reappraisal, make sure to indicate to the bank that you have just made major renovations and improvement on the property.
  • Improvements like broken boiler replaced, electricals, HVAC, plumbing, etc, should be mention. These will help increase the property appreciation rapidly.

Make sure you do all your rehab work now so you don’t have any maintenance call for the next 5yrs.

Step 3: Rent The Property

This step requires that you start showing the property to potential tenants before the renovation and improvement finished. You will proceed to step four quicker if you already have a lease in and a tenant to move in soon as renovation is complete.

Step 4: Refinancing The Property

This is a very crucial step in building your portfolio much faster. As much as the lease is in place and the rehab is complete, go to your local community bank for refinancing talks. This is because, your local community banks are often mandated by regulation, to give you a loan to local businesses. And they are going to lend you based on the percentage of the new market value of the property not based on your cost.

Step 5: Repeat

In this final step, you are going to repeat the whole process with the net result of step 4. This means you have paid off your short-term financing and you now have a cash flow asset that brings in money every month with zero cash tied up of your own. With the positive cash flow coming and a 20% equity on paper, your balance sheet looks and you can take to your local bank again for another loan.

Conclusion

These five steps; buy, rehab, rent, refinance and repeat are the steps that makes up BRRRR strategy you can apply from today to change. This is how you can rapidly build a large real estate portfolio. Again according to Daniil, there are a couple of very crucial points to note so as maximize this strategy.

These are;

  • You can find such deals like that in almost any market.
  • Investment Vs appraisal is what matters the most.
  • This strategy can work on a 50k deal, 100k, deal or even 500k deal.
  • Make sure you use short-term financing and a reliable refinancing.
  • You can also use private lenders for refinancing but make sure they have a steady flow of money or a steady job that provides income.
  • Always make sure that you can get a refinancing before you buy the deal. To avoid getting stuck.
  • Avoid buying in an area you will have difficulties renting it out. Without a rent lease, you won’t be able to get refinancing from your local bank.
  • The tradeoff to be watchful of is to avoid spending too much on the renovation. As this could slow down your “velocity of money”.
  • Always read the small prints on the loan, get a Lawyer to go over it just to make sure there no sudden foreclosure clause buried within.
  • Know your numbers first before you even go into any deal

This is how to rapidly build a large real estate portfolio using buy, rehab, rent, refinance and repeat the strategy. The most important point again is to know your numbers before you go into any deal. And your ability to get short-term finance and a take-out financing. Which is getting a funding upon the net profit of your first deal. You can use Rehab Valuator free software to calculate and master your numbers within a few minutes. Please leave your comment or any question below and I will get back to you immediately.

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Famous Futuristic George Gilder Weighs BSV Over BTC at Summit

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Bitcoin (BTC) Prices Hold Steady After a Severe Turmoil
  • The Summit is held annually to help investors discover new market trends.
  • Gilder highlighted the advantages of BSV over BTC to the current issues.

As per renowned futuristic George Gilder, a “dynamic Bitcoin” that has “really created a miracle in recent months,” BSV is on the verge of becoming the de facto standard for all global currency in the next five to ten years. The Famous futurist gave an online “Six Predictions Summit” presentation to a group of financial experts, highlighting the advantages of BSV over BTC as the answer to the current economic and technical issues.

Framework for New World Order Required

According to Gilder, “immutable, unhackable” Bitcoin and the blockchain have produced freedom from political control currency. “Dual hacking crises” (technology hacking and economic hacking) affect today’s globe. Still, they may be addressed by establishing a new global economy and laying a framework for new world order.

The Six Predictions Summit is held annually to help investors discover new market trends. Due to current travel and other constraints, this year’s event was hosted online instead of in person. Renowned investing trend spotters Jim Rickards, James Altucher, Ray Blanco, Zach Scheidt, and Alan Knuckman joined hosts Doug Hill and Matt Insley on the show.

George Gilder has referenced Bitcoin’s “digital gold” myth at several points. Aside from noting that “the original Bitcoin, BTC” and Bitcoin Satoshi’s Vision or BSV are distinct, he reaffirmed gold’s usefulness as a long-term store of wealth.

Gilder said:

“Bitcoin Satoshi Vision has really created a miracle in recent months, rather than the static Bitcoin, which people hold on for dear life. It’s a dynamic Bitcoin that moves with the advance of technology.”

Despite the fact he called BTC “Bitcoin”, “the original Bitcoin” was not the answer he was talking about. The asset was regarded by him as being of no use to anybody except speculators, terming it as static.

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Is the Future of Real Estate in the Metaverse?

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Is the Future of Real Estate in the Metaverse?

Although the metaverse is not a new concept, it has recently gained much more attention. Many are now becoming familiar with the idea, and are looking into what its future offers and how they can be a part of it. The metaverse will completely transform the current way of life for the average individual, affecting work, trade, entertainment, leisure, exercise, social interactions, and everything in between.

Apart from the retail players, big tech companies are also getting into the space. Facebook, the world’s most popular social media platform as of 2021, has recently rebranded to “Meta”, showing its commitment to this new space. According to an official announcement, rebranding was necessary because the company is shifting its focus to bring the metaverse to life. Footwear and apparel giant Nike is also preparing for the metaverse and has signified interest in creating its own space, as well as Adidas, another powerhouse brand.

The metaverse will transform many aspects of life by improving interpersonal interactions, establishing communities, and helping businesses grow. The climate required to create and operate a successful business will also change considerably. Firstly, the metaverse will allow businesses, regardless of size, to establish digital stores for their goods and services. A significant advantage of these capabilities for the average company is that opening a physical store is no longer necessary. This could significantly reduce overhead costs without having to sacrifice customer reach. In a virtual world, a company can tap into wider audiences beyond the physical boundaries imposed in a real-life setting.

There are also multiple metaverse use cases for the entertainment sector. For example, entertainment brands could use metaverse locations to preview music to excite virtual fans, holding mega concerts to listeners around the world. Furthermore, fans may also get the chance to meet and interact with their favorite celebrities, an opportunity rarely possible in the real world.

Additionally, people can gather for leisure activities in virtual parks to play or bond over shared interests and ideas. These locations could replicate attractions available in the real world, engaging all different types of users in the process. For instance, people can build teams based on varying activities, including everything from traveling, virtual combat, or playing chess. The metaverse will offer a slew of new opportunities for individuals and brands alike.

One of the less obvious but very promising advantages of the metaverse is the opportunity to capitalize on virtual real estate. Regardless of sector or industry, the shift to the metaverse still requires individuals and businesses to establish a presence on the metaverse; this is where virtual real estate comes in and plays its part.

All metaverse offerings, including commerce, healthcare, entertainment, and other sectors, must set up shop somewhere in the metaverse to reach their desired base. Individuals can also invest in virtual properties for various reasons, In parallel to the traditional real estate market, Investors can earn profit by purchasing properties and leasing them to businesses and other franchises. Investors can also simply buy virtual properties, hold them into the future, and later flip them for a potential profit. With 500 million dollars sold just in real estate in the metaverse, last year projections state that it will double this year!

The key to making the best out of a real estate investment is getting in early. As with everything else, early buyers catch on quicker and are in a better position to make a profit if and when the value increases. Investors are able to pick their property at floor price in a strategic approach that will allow the potential for a larger profit as well as an easier sale just as investors do in the traditional real estate setting. Users looking to get into digital real estate in the metaverse can start their virtual portfolio and begin with Ethereum Towers.

Ethereum Towers

Ethereum Towers is a community-centric vertical megastructure set in the Ethereum Worlds metaverse. Consisting of 4,388 separate apartments, Ethereum Worlds is a major player in the space available to investors interested in taking an early chunk of the metaverse real estate market as it grows. The apartments in the structure are in two identical towers, each with 101 stories. Each apartment is an NFT on the Ethereum network and is available as an ERC-721 token.

All owners in the Ethereum Towers can use their apartments however they please. Each owner can personalize their space how they wish, giving them full autonomy over their digital real estate asset. For this, the Ethereum Towers offers a marketplace with a wide range of accessories, furnishings, and ornaments that owners can purchase and set as preferred. Since each apartment is available on the Ethereum blockchain as an NFT, ownership is guaranteed and easily verifiable.

Due to the deliberate design, Ethereum Towers apartment owners and guests can explore the social benefits of a large community with similar interests. All residents partake in a virtual social experience supported by meaningful interpersonal interactions. Each tower possesses communal areas where owners can meet and interact, regardless of any preconceived boundaries that would limit interaction in the physical world. Through these interactions, users can build a strong sense of belonging and establish friendships along the way.

Perhaps the most significant advantage to Ethereum Towers is the investment opportunity it offers. In the metaverse, unlike in the real world, digital property assets usually have a much lower entry barrier, making it much easier for interested investors to get involved before the masses. The value of the apartments are projected to increase over time as meta living becomes more popular, providing early adopters a chance to capitalize on being first movers.

Getting In Early

Investors that have been able to identify ideas that dramatically impact the functionality of the future have always prospered. Those who understand the impact and utility around the metaverse too will have a major headstart within the benefits that this realm will offer. With Facebook being one of the largest and most successful companies taking action to rebrand itself as “Meta,” this should give investors a clear idea that a new significant era is on the horizon.

 

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Popular Analyst Predicts Major Breakout for Ethereum (ETH) on the Cards

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Ethereum To Reach $20 Trillion by 2030 as per Ark Invest CEO Cathie Wood
  • Ethereum’s price has rebounded from a two-month decline in the last week.
  • Partisans are bullish on ETH 2.0 and are targeting a price of $8,000 shortly.

Since its January lows, the price of Ethereum has risen almost 50%. The Ethereum blockchains native token, Ether, has recently shown indications of resurgence. The altcoin is benefiting from several fundamental factors.

ETH/USDT: Source: TradingVIew

Ethereum’s price has rebounded from a two-month decline in the last week and has already reached the $3,000 mark. Cryptocurrency analyst Benjamin Cowen predicted a significant breakout for Ethereum (ETH) this week. According to him, the ETH price range between $2,000 and $4,000 represents a major re-accumulation zone for a medium-term runway of higher prices.

Upcoming ETH 2.0 Crucial

It’s also predicted that the network’s different offerings would show greener candles. Additionally, Partisans are bullish on ETH 2.0 and are targeting a price of $8,000 shortly. As the price of ETH continues to rise steadily, the fear and greed index for Ethereum weighs more heavily on the greed side of things.

Every obstacle on its path to the $3,200 mark on the daily chart has been overcome by Ethereum. Bulls are fully expecting the next price drop to be taken out by them. Aiming for the $3,600 level, investors have successfully crossed the 50 SMA and the bearish sloping line.

More than 45 percent of Ethereum’s value has been wiped off since its all-time high on November 10. Since its November high, Bitcoin, the world’s most valuable digital currency, has fallen by more than half. However, prices reversed their downward trend in February.

However, if pricing fails to hold above $2,800 in the next few trading days, we might witness a further decline below $2,400. According to CoinMarketCap, the Ethereum price today is $3,195.23 USD with a 24-hour trading volume of $13,485,593,739 USD. Ethereum has been up 3.84% in the last 24 hours.

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