BRRRR Investment Property Walkthrough & Deal Analysis

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  • Опубликовано: 22 ноя 2024

Комментарии • 351

  • @jambohomeventures
    @jambohomeventures 4 года назад +110

    I love buying and holding instead of flipping. That was a great transformation. I love your work. I just got my first rental property and I made a video about it. I can’t wait to scale up. Thanks for the inspiration

    • @pj0017
      @pj0017 3 года назад +1

      Buying and holding is like buying a dividend stock instead of a growth stock that makes you a 30% return in a year 🤡 selling when you can and buying a new property with more cash in your pocket makes way more sense

    • @juanlee5764
      @juanlee5764 Год назад

      ​@@pj0017 it's called passive income

  • @ionisfoutaka6425
    @ionisfoutaka6425 4 года назад +51

    Great great great video, we need more of these deal analysis scenarios, really helps understanding the whole process.

  • @biggerpockets
    @biggerpockets  4 года назад +51

    What do you think about this BRRRR investment? Let us know below!

    • @jacethornton3923
      @jacethornton3923 4 года назад +2

      I love the down to earth way tarl explains stuff. I love the Brrrr idea as well. Love the fact that you can make 28% on 20k

    • @EddieR181
      @EddieR181 4 года назад +4

      BiggerPockets this was a great video containing a lot of good information. Please consider adding more content like this. Maybe in Florida/Jacksonville area.

    • @BigBoss-qo7yx
      @BigBoss-qo7yx 4 года назад +3

      Do a video on the house design software

    • @ramtinmalek3165
      @ramtinmalek3165 4 года назад +12

      I didn’t see that you had considered for any maintenance cost and any utility cost in your cashflow calculation. In best case, the property will do $250 cashflow. This property will make 8-12% cashflow which is great, but 28% is misleading and I don’t think it is true. Great content though!

    • @LifeCoach44
      @LifeCoach44 4 года назад +2

      I love the transformation, but I am concerned about cashflow being calculated as rent above debt service. There are definitely going to be operating expenses that need to be accounted for.

  • @IsaiahTucker9908
    @IsaiahTucker9908 4 года назад +13

    This video was OUTSTANDING!! He explained everything perfectly and when he used terminologies he explained what they were rather than expecting us to know. I LOVED how he went into detail on everything. Overall an outstanding video!!!

  • @MoneyJourneyWithSonny
    @MoneyJourneyWithSonny 4 года назад +13

    Don't forget, you have to hire someone to manage your property and hold back maintenance cost as well. Unless you are going to manage the property yourself. Here in Texas, it'll cost you 1/2 of the first month rent and 10% monthly management fee. So, your ROI will be reduced by at least 50% of your numbers to include maintenance fund as well.

    • @jeromewilson8817
      @jeromewilson8817 Год назад

      Question: do you own any rental properties in texas anymore?

  • @dawens3199
    @dawens3199 4 года назад +4

    I find these videos to be way more informative and engaging than anything else on Bigger Pockets. Keep them coming, Tarl.

  • @LanceCastillo
    @LanceCastillo 4 года назад +34

    Wow. Such a huge job. I remember watching some of your first videos on this property, Tarl, when I started my first BRRRR project back in March. I was thankfully able to get my rehab done in two months and I just refinanced out at 3.875% on Friday. I've got a paying tenant which gives me a 25% ROI. Could not be happier. Now I'm looking for my next deal. Trying for a duplex or triplex if I can find it.

    • @tarlyarber
      @tarlyarber 4 года назад

      Awesome job! Keep crushing it

    • @farmermike9262
      @farmermike9262 3 года назад

      How did you find your first brrr? And how are you looking for the multi?

  • @Iamstevenyang
    @Iamstevenyang Год назад +1

    I would always add a 2nd bathroom, the resell value in the future is always more and you almost always get more money for rents.

  • @propertypointers
    @propertypointers 4 года назад +18

    Showing us how to do a floor plan would be a great video. Please do make a video of your process and walkthrough of how it's done on the computer program.

  • @xxrdotxx
    @xxrdotxx 3 месяца назад

    Man! It would be nice to see these projects like this more often. More of these BRRRR or flip projects on biggerpockets would be great to see. Kind of like a continuation of the discussions they have now. A series would be great, talking about the issues they had to overcome, some pointers, and then go over the numbers.

  • @thabolebusha357
    @thabolebusha357 3 года назад +2

    realty enjoy Tarl's property walk around. I learn so much every time. i am in South Africa BTW

  • @nikolay.advolodkin
    @nikolay.advolodkin 3 года назад +2

    I love these types of videos! They are so informative. Please keep doing walkthroughs and analysis afterwards.

  • @ryanwood8075
    @ryanwood8075 4 года назад

    Fellow PNW dude here!!! Man let me tell you this is the 1st time stumbling onto your RUclips videos and absolutely think your one of the most detailed and informative guys on RUclips. I am a huge fan of BP as well, but this is the 1st time Ive seen one of your videos. Thank you Tarl and I am too starting to invest in the PNW but over in the Columbia Gorge, you have helped me out a bunch with this man!

  • @JessieOpportunityCostInvesting
    @JessieOpportunityCostInvesting 4 года назад +11

    Using trees to block noise was a great idea! It's also environmentally friendly :)

    • @mahbtiu
      @mahbtiu 4 года назад +1

      Yes and not much costly as other options. I am doing the same for my investment house!

    • @Iliyas505
      @Iliyas505 4 года назад +1

      There are also noise canceling fences fyi

  • @realsoulrealestate7883
    @realsoulrealestate7883 4 года назад +1

    I enjoyed the explanation. Tarl explained how and why he made the decisions he did for this BRRRR. It was very helpful to understand how he calculated his ROI for this project.

  • @tbserrano2
    @tbserrano2 4 года назад +1

    I remember watching the first walkthrough Tarl did of this property! Such an awesome transformation.

  • @KB_theauthentic
    @KB_theauthentic 4 года назад +18

    I'm only 3 minutes in and I'm smiling….good stuff...

    • @afitechnicalities3541
      @afitechnicalities3541 4 года назад +2

      24 years old and just started out just got my 1st now working on my 2nd thank you for all of the knowledge you guys teach me you and Rich Dad poor you guys are changing my life

    • @tarlyarber
      @tarlyarber 4 года назад

      Thanks! This is Tarl

    • @kyleblinkhorn4532
      @kyleblinkhorn4532 4 года назад

      Same rich Dad poor Dad gave a new resolution. I'm working on getting my first deal right now. Will be doing an addition too! I love this shit

  • @carolyngraybeal451
    @carolyngraybeal451 4 года назад +6

    A video on the pro/cons of hiring an architect, draftsman, or using a combo of home design software and contractor would be great. When it is better to hire a professional vs "doing it yourself", when and how to use building professionals (engineers, architects, inspectors) most effectively, etc. Also, when in the design phase do you start estimating building cost? Do you have a budget beforehand you know you want to stay under or do you come up with several floor plans, get cost estimates for each plan and then adjust accordingly? For the project in this video, did you have to submit the floor plan to the county? Maybe this varies from state to state or single family home vs multifamily?

  • @paulnelson9715
    @paulnelson9715 4 года назад +1

    Your videos are amazing, brother. Your real-life examples are incredibly valuable. Thanks so much for sharing what you do. You’re helping a lot of people.

  • @bigperm5027
    @bigperm5027 4 года назад +2

    Excellent, Excellent, Excellent video!!! Really love the format. Show property before and afters then detail though the numbers. Keep up it up.

  • @jwanaplayer4093
    @jwanaplayer4093 4 года назад

    Thanks for sharing! Especially the part about why you didn’t add a second bathroom but instead made sure the one bathroom was large!

  • @SterlingWhiteRealEstate
    @SterlingWhiteRealEstate 3 года назад +1

    An important thing to look at is the value added versus the cost to produce that value. Being able to come up with the best ratio is a factor for resale's and for rental's value.

  • @nappiral
    @nappiral 4 года назад

    That post supporting the roof over the kitchen door is really something. Nice job overall

  • @hendraw1918
    @hendraw1918 Год назад

    Wow, you guys did excellent in explaining the ROI, whether it was a good deal, etc., Thank you!! Subscribed and liked!

  • @CaseyBurnsInvesting
    @CaseyBurnsInvesting 4 года назад +33

    Some serious sweat equity here. Big project

    • @charlesreid5137
      @charlesreid5137 4 года назад

      Landlordism is satanism.

    • @sullivancrowe
      @sullivancrowe 4 года назад +15

      @@charlesreid5137 you're right. They should have just left this place trashed, falling apart, rat infested and overall uninhabitable.

    • @KayFabe87
      @KayFabe87 3 года назад +4

      Charles Reid : perhaps the government should take over all property ownership and management. Surely that will lead us closer to "utopia". Before you endorse this idea; have a look at government owned and government run residential housing in urban areas, otherwise known as "the projects " and ask yourself if that is a model that you would like to see spread across the country on a larger scale. It would be like the Soviet Union, where everyone has "equal" housing so everyone can be poor and miserable together without having to worry about someone else having a nicer house than they do.

    • @matthewknotts7003
      @matthewknotts7003 3 года назад +1

      @@charlesreid5137 lmao what? Tell me you’re a liberal with out telling me you’re a liberal.

    • @charlesreid5137
      @charlesreid5137 3 года назад

      @@matthewknotts7003 lol

  • @myt1soo320
    @myt1soo320 3 года назад

    Fantastic video on explaining your strategy and I especially appreciate the walk through! Being on site helps immensely

  • @pipe.dreamss
    @pipe.dreamss Год назад

    Please do more videos like this! Great detailed info.

  • @mikefeir
    @mikefeir 4 года назад +11

    Definitely need a video on how to use designer pro

  • @EddieR181
    @EddieR181 4 года назад +2

    Great video. Very informative and detailed. Thank you for sharing. BiggerPockets, please add more content like this.

  • @jeandechoudens3874
    @jeandechoudens3874 4 года назад

    Very good video. Like the way you broke down every detail of the rehab and the financial

  • @Mynameisjoof
    @Mynameisjoof 4 года назад +3

    Amazing content Tarl. Please let us know what it appraises for!

  • @stanleybrown1151
    @stanleybrown1151 4 года назад +1

    Tarl, you always bring the good stuff brother. Thanks, you're one of my favorites.

    • @tarlyarber
      @tarlyarber 4 года назад

      Awe shucks! Thanks Stanley 😊

  • @mikewillinvest8516
    @mikewillinvest8516 3 года назад

    Amazing video! Thorough walkthrough and doing the numbers manually. Keep this content coming! Thank you.

  • @BeauKnowsMultifamily
    @BeauKnowsMultifamily 4 года назад +1

    Nice find, nice rehab. As a multifamily broker in Florida, opportunities are few but a well thought out remodel always pays handsomely.

  • @bros4441
    @bros4441 2 года назад +1

    Hi question here: why are expenses like capex, vacancy, and fixing the property when things break not part of the analysis? I know that isn’t a fixed expense but when I look at deals that is the part that makes them not work for me. I will analyze and leaving that out everything looks amazing but adding them in drops the ROI to low

  • @OlegLozytskyi
    @OlegLozytskyi 4 года назад

    Thanks for motivating me to lear more and make my own content. Great to see your channel grow and read all of these positive comments. Has anyone here was able to take advantage of low interest rates?

  • @taylormeador248
    @taylormeador248 4 года назад +5

    Expenses? 🤷‍♂️
    Rent: $2,500
    Vacancy: 5% - $125
    Management: 5% - $125
    Repairs: 1% - $25
    Cap Ex: 1% - $25
    Expenses = $300
    Bringing cash flow to: $175p/mo / $2,100p/yr. Yielding a 10.5% return.
    I don’t know the market where you are but I feel my percentages are conservative.

  • @jasonstevens6877
    @jasonstevens6877 3 года назад

    This video was very helpful to clarify the entire process. Thank you for producing such great content and being so open with your numbers.

  • @nbme-answers
    @nbme-answers 3 года назад +1

    23:49 High equity? Where is the equity?
    He borrowed for the house, renovation & shelled out on holding/borrowing costs ($327k liability).
    He crosses his fingers and gets a $415k valuation from his appraiser.
    The bank lets him borrow 75 percent of that ($311k) to (partially) pay off his original lenders so now he has $311k liability with BANK#2 and $16k liability with BANK#1 and an asset with unknown valuation producing $475 net cash flow a month.
    What were the terms of the original financing?
    How did he pay for the renovation? Was that out-of-pocket or from the original “hard money" and “private” lenders he mentioned?
    What am I missing here?

  • @FranFdez-rs9gg
    @FranFdez-rs9gg Год назад

    What a great video. No BS, to the point, very informative. Thanks

  • @calebtryhane7139
    @calebtryhane7139 3 года назад +2

    I’m interested in knowing how much of the renovations is done in house by you guys? I am interested in doing my first BRRRR but I am not a great handyman. Wondering if this investment approach is still generally profitable if you rely on majority of contractors to do the work.

  • @Mashcroft88
    @Mashcroft88 4 года назад +4

    I freaking love these videos, keep em coming!

  • @justinyoung3068
    @justinyoung3068 4 года назад +1

    Thank you Tarl and BiggerPockets for sharing this insightful how-to video. I am wondering how does the private money lender and/or hard money lender get paid their full investment since the LTV won't be enough to pull out 100% of the out of pocket costs? Thank you in advance.

  • @plane_dad
    @plane_dad 2 года назад

    Love the video, I have done a far amount of new construction, this has helped to inspire me to get back into real estate. You make it look so easy. I like the analysis. Keep doing that, look forward to watching more vids. The key to doing this is what Dave Ramsey says, "you make money on the purchase". That's vertually impossible here. To many people are buying so the purchase price does not leave the "around" 25% equity left at the end. And the hard money here is 15-20% with points and interest. And I don't have a rich uncle like some people have! 😬That's why I quit. I would like to figure out how to buy like all these very successful real estate go roos!! If you do see this I would like to get some information on that, I really like doing this kind of work.

  • @davidr4523
    @davidr4523 3 года назад

    If you are a new house flipper or new to BRRRR and you have to compete against someone like Tarl Yarber, it will be very difficult to win. His deep experience, inhouse team, connection to financing and wealth will make him a winner in almost house he buys.

  • @noheakealoha9487
    @noheakealoha9487 6 месяцев назад

    I appreciate the breakdown and explanation. Thank you 😊

  • @stormshadow7928
    @stormshadow7928 4 года назад +1

    You are amazing man! You educated me too much. Keep it up. Thanks alot

  • @timjacobs6610
    @timjacobs6610 3 года назад

    Excellent video. You guys should do more like this. I'm positive you'll get more subscribers. Keep up the good work.

  • @HomeOwnersPH
    @HomeOwnersPH 4 года назад +4

    Very educational for a newbie...

  • @vidmikevid
    @vidmikevid 4 года назад

    I love Tarl’s videos. Always great info. Thanks

  • @DL-cn6gs
    @DL-cn6gs 4 года назад

    Awesome job. A lot of creativity for making a great home.

  • @josellaos5676
    @josellaos5676 4 года назад +10

    What kind of loan are you getting on it? Is it a regular conventional loan on your personal name using your own income to qualify? Or is an investor loan with these banks that use rental income to qualify? Thank you. Great video.

    • @farmermike9262
      @farmermike9262 3 года назад

      Sucks you didnt get a reply.good question

    • @josellaos5676
      @josellaos5676 3 года назад +1

      Yeah I thought it was a good question too. What I’ve done so far is refinances with banks that qualify the property with their rentals under my LLC. The rates are 5.5% at 60% LTV, thought they would be lower.

  • @JessieRawji
    @JessieRawji 4 года назад +1

    This was Awesome!! Easy to follow and understand. Thank you!

  • @rojeet3
    @rojeet3 9 месяцев назад

    Great video, you explained everything very well!

  • @johnmcguire6443
    @johnmcguire6443 3 года назад +1

    Hi Tarl. Great video. I am interested in the design program you used. I'm finding one from Chief Architect called 'Home Designer Suite'. I also found one from Virtual Architect called 'Pro Home Design'. Are either of these the one you use? Thank you for your answer.

  • @SeniorSpooky
    @SeniorSpooky 4 года назад +2

    Awesome showing us all the details!

  • @matthewsanders8236
    @matthewsanders8236 2 года назад

    I have two questions. First, why do you use private lenders and hard money lenders to finance the purchase and renovation of your brrrr’s? I’m assuming you have the money to purchase the homes so it makes me wonder if maybe there is an advantage of using hard money and paying what seems to be unnecessary interest instead of using your own cash. Second, if you could go back in time at what point would you start keeping properties for cash flow and equity instead of selling? Would that point be 200k , 500k, 1 million in the bank ?

  • @findingtruth9046
    @findingtruth9046 9 месяцев назад

    How do you analyze what to buy the house for and how much to spend on Reno and what a good deal is?

  • @Deshgrame
    @Deshgrame 3 года назад

    Thanks for the detail. I really got it how equity and other RoI adding up over time and compensating the investment. But I did not see you talking about the other monthly expenses like, 1. vacancy, 2, Mentainance + Cap Ex, 3 Management Cost 4, Selling cost if you sale, . I suppose another 25% to 35% Cost need to have in consideration or be aware of. Thanks for all the effort. Learning everday.

  • @freddyboss7
    @freddyboss7 Год назад

    Seattle is crazy expensive. That house originally would’ve cost maybe 40-50k here in OKC. But the ARV probably would be only between 150-170k depending on what area of the city.

  • @bitterpiglet
    @bitterpiglet 4 года назад +2

    I’m assuming your PITI #’s don’t include any vacancy and property management? Fantastic ROI either way.

  • @AvidFilms
    @AvidFilms 4 года назад +14

    this guy reminds me of Stu off of the hangover lol

    • @gmandub1486
      @gmandub1486 3 года назад +1

      😂😂😂nah vlad tv

  • @LaRhondaTurner
    @LaRhondaTurner 4 года назад +1

    I thoroughly enjoyed this video especially the end running the numbers! Thank you!!

  • @brandonboogren8660
    @brandonboogren8660 3 года назад +2

    Great video! Question: do you include expenses (maintenance, cap ex, etc) in your PITI?
    It looked like when you were running the number you only subtracted the financing from the income (I didn’t see a line item for operating expenses). Any insight on this would be great. Thanks again for the video!

    • @brandonboogren8660
      @brandonboogren8660 3 года назад +1

      Never mind you answered my question later in the video 😅

  • @AmericanBorn86
    @AmericanBorn86 3 года назад +2

    You did not account for expenses (vacancy, management, Capex, utilities, etc) in your cash flow?? Seems super tight!

    • @nobjob11
      @nobjob11 3 года назад

      He mentions that since everything is new that he does not factor in Cap Ex. Vacancy is also mentioned as a cost in his rehab - not sure how they factored that in tough. I agree though, seems a bit tight.

  • @christopherandersen7327
    @christopherandersen7327 2 года назад

    I loved this video. Thanks Tarl

  • @emilelefebvre3315
    @emilelefebvre3315 4 года назад

    Love this type of video !!! Keep going ! Thanks you for sharing all the explanations, trics, ...

  • @1.5Koreans0.5American
    @1.5Koreans0.5American 4 года назад +3

    Cool content. Thank you for sharing 🙌 BRRRRRR!

  • @dariosoto6919
    @dariosoto6919 4 года назад +1

    If you have a team . How do you do a partnership. What’s the cut for everyone ?

  • @badgerd327
    @badgerd327 3 года назад

    It seems like adding a bathroom might not pay off in the near future but would pay off hugely in the long run, and quicker rentals and maybe a little bit higher rents. No?

  • @Ginger_Dad
    @Ginger_Dad 3 года назад +1

    saying $475 in cash flow but not setting aside any reserves for vacancy, repairs, or cap x?

  • @mikesmith1702
    @mikesmith1702 4 года назад

    great video...clearly one on the most important elements is the re-hab cost. How can you get that amount of work done for $85K? Can you break down what you are paying for all the work? I'm in Phoenix and contractors would likely charge double what you paid.

  • @mgm2008
    @mgm2008 4 года назад +1

    Thank you! I always learn things from you, Tarl!

  • @MYKECHEXX
    @MYKECHEXX 4 года назад +2

    Great content Tarl, this was super informative!

  • @ThedudeMMXlll
    @ThedudeMMXlll 3 года назад

    Such a gold nugget info. Thnkz appreciate. You sharing your experience. 👍💯🙏

  • @Charles-uc3hb
    @Charles-uc3hb 4 года назад +14

    "Vertically challenged" 🤣

  • @robertsullivan887
    @robertsullivan887 3 года назад

    What is the relationship of your private lender to the property? Is his or her loan secured by the property? Co-owner? Other?

  • @mauricestechtalk1531
    @mauricestechtalk1531 4 месяца назад

    Gen
    Genuine question: Would it be crazy expensive to raise the ceiling/roof of the addition?

  • @bkd-newyork2256
    @bkd-newyork2256 Год назад

    BRRRR made simple. Excellent...

  • @aaronwhite1426
    @aaronwhite1426 3 года назад

    My question is: What does your entire team consist of as far as positions/responsibilities? You've mentioned general contractor but you've also mentioned other small jobs that get handled by other folks off screen (like building floor plans). I am trying to put a team together and I want to make sure I cover all my bases and don't overwhelm myself. Thanks.

  • @GordosLyfe
    @GordosLyfe 4 года назад

    Awesome content once again!! These videos are so packed with useful information.. Thanks again BP!

  • @Mrcool12684
    @Mrcool12684 3 года назад

    Another great vid man! What company do you get your kitchen cabinetry from? They look awesome!

  • @blasdelagarza5292
    @blasdelagarza5292 3 года назад

    Awesome video, appreciate the real world example!

  • @traviskaley9174
    @traviskaley9174 4 года назад

    Great video 👍🏼. At what point do you funnel your own capital in to cover all the lending? After the refinance you pay the hard money and private capital off out of pocket?

  • @fliporhold
    @fliporhold 4 года назад +1

    What would the cost and value been for the second bathroom?

  • @dontbabilly9956
    @dontbabilly9956 4 года назад

    Thank You for the insight. Would it make any sense to do an all cash process. Bank fees and loan cost are a lot. I am 66 and don't have a 25 year time horizon. New to real estate investing.

  • @kenziecashflow
    @kenziecashflow Год назад

    can you do the BRRRR method using a partners money for a downpayment instead? How would refinancing work in that case?

  • @satishiyer4867
    @satishiyer4867 4 года назад

    Who's paying the utilities, is it us or the renter? Have to factor them into the PITI or the rent...

  • @ChrisCDXX
    @ChrisCDXX 4 года назад +4

    15:40 where the numbers start.

  • @oDahaka
    @oDahaka 4 года назад +5

    6:00 "It's like HGTV but real!" You clownin them hahaha

  • @cmetarheel
    @cmetarheel 4 года назад

    Love these walkthrough analysis. VERY helpful. One question, how long do you plan to keep the property and what will you return look like at the end?

  • @chawk2251
    @chawk2251 4 года назад +3

    This was inspiring! I’m new to investing and just got my first property cash flowing $600. I was shocked when he said he spent $85k on the rehab. Is that normal? How can you be certain you will make the rehab money back in equity or when property is sold?

    • @brandonlifefamily8331
      @brandonlifefamily8331 4 года назад +1

      MLS previously sold houses. Gives you a benchmark on prices...b

    • @farmermike9262
      @farmermike9262 3 года назад

      @@brandonlifefamily8331 what does MLS stand for?

    • @logangensens1289
      @logangensens1289 2 года назад

      @@farmermike9262 multiple listing service

  • @theredbaron057
    @theredbaron057 2 года назад

    Very helpful, thank you for sharing your knowledge

  • @jonathanf4030
    @jonathanf4030 3 года назад

    What are the holding cost? There are fees attached to the loans?

  • @Maturelyme
    @Maturelyme 4 года назад +3

    Hey! Great video. What was the location??

    • @christopheredmunds2230
      @christopheredmunds2230 4 года назад

      This looks a lot like the 3/1s I see here in Denver, especially with that 415k appraisal he mentioned! Buying my first property in this market, and trust me it is crazy out here.

    • @christopheredmunds2230
      @christopheredmunds2230 4 года назад +1

      Just got to the part where he said this house was in Seattle. Cheers!

    • @Maturelyme
      @Maturelyme 4 года назад

      Christopher Edmunds oh i missed that, thanks!

    • @Maturelyme
      @Maturelyme 4 года назад

      Christopher Edmunds Seattle is so expensive compared to where I live lol because 415k ARV is great lol

    • @tarlyarber
      @tarlyarber 4 года назад

      It's technically just outside of Seattle in a city called Renton

  • @nanaernesto2891
    @nanaernesto2891 3 года назад

    Great video but something I don’t understand, when you refinanced that house how much money do you get back ? 311k right ?

  • @benchpress200
    @benchpress200 4 года назад

    Let me know if this is incorrect: I think the effective ROI is even higher, as a significant portion of the mortgage is principle, which goes into your portion of the equity.

    • @CoolBig2
      @CoolBig2 4 года назад +1

      You are correct, however, he is talking about cash on cash return. Equity isn't necessary liquid cash yet.

    • @benchpress200
      @benchpress200 4 года назад

      @@CoolBig2 Thanks!

  • @luisesquijarosa9968
    @luisesquijarosa9968 5 месяцев назад

    Very cool project. Congrats

  • @DirtSickle1
    @DirtSickle1 3 года назад

    How much harder does the remodel become once you start tearing walls down? As far as permits

  • @leverageearnings8387
    @leverageearnings8387 4 года назад +2

    That’s okay.. still not including vacancy and maintenance that need to be accounted for. Sure its 30% coc but its still 5k a year.

    • @chesswhite5055
      @chesswhite5055 4 года назад

      Yeah but you got 10 properties like that, thats 50k