BRR - The strategy that underpins the wealthy!

The BRR strategy, which stands for Buy, Rehab, Rent, Refinance, is a popular method used in real estate investment. Here's a summary of each step:

1. Buy: This involves purchasing a property, typically below market value, that has the potential for appreciation or increased rental income after renovation.

2. Refurbish: After acquiring the property, investors undertake renovations or improvements to increase its value. This could include repairs, cosmetic upgrades, or even structural changes depending on the property's condition and the investor's goals.

3. Refinance: After the property has been rehabbed and rented, investors can refinance the property based on its new appraised value. This allows them to pull out equity that has been created through the renovations and rental income. The refinanced loan replaces the original mortgage, and the excess funds can be used for other investments or to fund additional properties.
   

The BRR strategy is popular because it allows investors to leverage their capital efficiently, recycle their investment funds, and build a portfolio of income-producing properties over time. However, it requires careful planning, market research, and management skills to execute successfully.

Here's my simple demo of the strategy in play.