Jackson Sudderth breaks down the BRRRR method for Section 8 rentals: buy distressed properties at 70% of after-repair value, renovate, place a Section 8 tenant, then refinance at 75% of the new value. He claims this creates infinite returns because the government guarantees the rent.
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This secret strategy is perfect for Section 8 rental properties. Many people call this the Burr method. However, we specifically do this in cheap cash flowing properties. Let me explain. This business model has been lost in the ice ages due to interest rates but it still works to this day. Together we're going to break it down step by step. Step one is we're going to find a distressed piece of property where the seller is motivated and ready to go. Step two is we're going to send offers at 70% ARV minus any repairs needed. And step three we're going to fix the property up, put a renter in it, then go to the bank and ask for 75% refinance. This strategy allows you to buy properties with infinite returns and they're guaranteed by the government if you put them on a section 8 real program. I've created a 100% free course on exactly I can go from $0 over $40,000 per month in real estate DME Blueprint on Instagram and get it for free.