YouTube episode (Freedom Vlog, Ep. 92) where hosts introduce and explain the BRRRR real-estate strategy: buy, rehab, rent, refinance, repeat. The hosts (including CJ from Freedom Capital Investments) describe buying discounted/value-add properties, rehabbing and renting them, then refinancing—typically up to about 75% loan-to-value—to recover capital and repeat the process. The episode is a practical, conversational overview (not individualized financial advice).
Questions this video answers
Buy, Rehab, Rent, Refinance, Repeat.
About 75% loan-to-value.
Hi guys. Welcome back to another episode on Real Talk and our Freedom Blog. Today I am here with cj. He is primarily in the fci, which is Freedom Capital Investments Company, but he also dabbles in some other real estate personally himself. And today we're going to be talking about the BRRRR method, which he actually just told me he just finished a couple. So this is perfect timing to be doing this.
Yeah. Excited.
Do you want to start with what is the BRRRR method and what does it stand for?
Yeah. So this has gotten really popular, you know, within the last couple years within the biggerpockets community as a way to kind of recycle cash and be able to acquire a large amount of properties with that little amount of cash. So it really just stands for buy, rehab, rent, refinance, and then repeat the process. So what that means is you're going to buy a deal, typically cash, whether that's with your own or private money, hard money, you are going to buy that at a significant discount or something that has a high value add component. So you're then going to go in and do the rehab for that property, then you're going to get it rented to tenants, whether that's long term tenants or Airbnb short term tenants, and then you are going to go and do a refinance. So you're hoping that at that refinance point, they're typically going to do a 75% loan to value and going to be able to give you most of your capital back because hopefully you've forced enough equity to get the majority of your capital back and they will get a loan on that property and you'll have no money left in the deal. And then you're going to go right, repeat the process into another property.
Perfect. So now when you're buying, you kind of touched on this a little bit. You typically want to buy, you know.
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