Hi Scott, thanks for the very informative video. I will be moving to Hawaii later this year, and I'm interested in leaseholds because of their general affordability. Are leaseholds typically able to be BRRR'd? Would be curious to hear your insight on potentially increasing the value of leasehold properties in the short to mid-term.
Possibly. Keep in mind that in order to do the refi part you’ll need a minimum of 36 years left on the lease to do 30 year financing so the cheaper the property, the fewer the years left on the lease.
And if there are too few years left on the lease then no ability to refinance to get your money out and then you won’t be able to repeat. It becomes BR at that point.
Never ever buy a leasehold in Hawaii
Hi Scott, thanks for the very informative video. I will be moving to Hawaii later this year, and I'm interested in leaseholds because of their general affordability. Are leaseholds typically able to be BRRR'd? Would be curious to hear your insight on potentially increasing the value of leasehold properties in the short to mid-term.
Possibly. Keep in mind that in order to do the refi part you’ll need a minimum of 36 years left on the lease to do 30 year financing so the cheaper the property, the fewer the years left on the lease.
And if there are too few years left on the lease then no ability to refinance to get your money out and then you won’t be able to repeat. It becomes BR at that point.
Hmmm 🤔
Definitely!