In the ever-shifting Real Estate market, it is essential to know your investment strategies, especially if you’re not “in the business” meaning that you’re not an active Real Estate professional with a direct connection to lucrative investment strategies. One of those strategies, that emerged in the past years is BRRRR (Buy, Rehab, Rent, Refinance, Repeat) strategy. We will look closer into our adaptation of the strategy called BRRRRKey, where we’ve UPGRADED the process for the Investor to be even more hands-off or on auto-pilot. Let’s dive deep into our FlippingCity BRRRRKey Program.
BRRRRKey is an acronym that stands for Buy, Rehab, Rent, Refinance, Repeat, and Key stands for a turnkey solution, meaning WE DO IT ALL FOR YOU! The strategy involves purchasing a discounted and often distressed property with cash, then renovating it to apply improvements to increase its value to “ARV or After Repair Value” also called full fair market value, renting it out to generate monthly cash flow, refinancing the property to pull out equity, and using the proceeds to acquire another property, as soon as possible.
Here’s a closer look at each step of the FlippingCity.com BRRRRKey Program:
- Buy: Investing in Real Estate can be a lucrative way to build long-term and even generational wealth, but it often requires significant upfront capital. This especially applies in the BRRRRKey strategy, where the first step is to find a property, which is specifically catered to by our StraightOffer.com team through a multitude of acquisitions strategies, everything from wholesale deals, direct-to-seller mailer campaigns, cold calling, texting, online listings, local FSBOs, partnerships with Real Estate agents and many, many more. StraightOffer.com identifies and secures a suitable real estate asset that can then be presented to the FlippingCity clients for Cash purchase. We make sure we do all the Due Diligence for the client and provide in-depth financial projections as well as Renovations.
- Rehab: One of the key components of BRRRRKey strategy is to work with strategic partners such as FlippingCity.com who will provide EVERY SINGLE other key partner in the process, to make this project successful, fast, secure while maintaining a high level of quality throughout the transaction. One of our key partners is our sister company EfectoGroup.com, a General Contracting company with extensive experience in complete renovations, specialty work, project management, insurance restorations, and beyond. Visit their website for more information.
- Rent: Probably one of the key components to this whole strategy, as active rent creates an income, a key component to favorable refinancing options, that also covers investors‘ monthly mortgage and operating expenses. We’re a fully vertically integrated group of companies and our sister property management company RentalCityPM.com makes sure to cover all key aspects of rental activities, everything from marketing, inspections, leasing, placements, collections, communication, and beyond.
- Refinance: We’re proud to state that we’ve “cracked the code” when it comes to BRRRRKey refinancing options, where we make sure that our investor “pulls out” equity. How did we do that? By partnering with experienced specialized mortgage brokers that have done this financing instrument hundreds of times and can carry an active and effective communication with all parties involved. Another key component to fast refinancing is by working with our FlippingCity.com team which guides the investor through some important steps that enable the investor to refinance before the “mandatory” six-month seasoning period so this next step (Repeat) can be done again and again and again.
- Repeat: We’re at the finish line and with proceeds secured from the Refinancing, the investor can acquire another property and repeat the FlippingCity.com BRRRRKey process all over again.
One of the key advantages of the BRRRRKey strategy is that it allows an investor to acquire multiple properties without having to come up with significant amounts of capital upfront by leveraging the equity in their existing properties. If an investor is a cash buyer (and we know cash is king), an investor can use the BRRRRKey method to grow their Real Estate portfolio and generate significant returns over time.
In conclusion, the BRRRRKey Program is a creative financing method that can help Real Estate investors maximize their returns and build a robust portfolio of income-generating properties. While there are risks involved, careful planning and execution can help investors achieve significant success using this method. FlippingCity.com and its sister companies and brands can significantly improve your Due Diligence efforts and minimize risks, by providing you, the investor, with all the best modern industry approaches and tools, and most importantly, local market knowledge so you can continue to invest remotely, and semi-passive (we still very much need you to be engaged where needed).
Please reach out to our team at FlippingCity.com by filling out the contact form below or by contacting us at 901-499-3330 or Support@FlippingCity.com
Let’s jump on this BRRRRKey journey together!