The BRRRR Method for Beginners (FULL BRRRR Deal Walkthrough)

The BRRRR method can be taught by no one better than David Greene, author of "Buy, Rehab, Rent, Refinance, Repeat", and adorably dubbed “Sir BRRRR” by co-host Rob Abasolo. While David may be a master of BRRRR budgets, schedules, and rehabs, Rob isn’t as familiar with doing full-on buy, rehab, rent, refinance, and repeat rentals. To not only help out Rob but the BiggerPockets audience as a whole, David does a full walkthrough on his latest BRRRR.

This hillside property situated in David’s native San Francisco Bay Area has huge potential to become a cash-flowing, equity-increasing deal. David is turning this large home into multiple smaller units that will rent out to A-class tenants and should net him a six-figure equity boost simply by doing these cash-flow-first renovations.

David walks through exactly how to find BRRRR properties, telltale signs of a good (or bad) BRRRR deal, how to use the BiggerPockets BRRRR calculator, funding options for your BRRRR (from David's broker!), writing up a contractor scope of work (SOW), and how to build cash flow when there isn’t any to be found. You’ll also hear how David had a surprise run-in with the cops when walking this property. Action, excitement, and lots of equity are all coming up in this episode!

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Sign Up for BiggerPockets Pro with Code “REPOD21”:
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Grab David’s Book “Buy, Rehab, Rent, Refinance, Repeat”:
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Use the BiggerPockets Calculators on Your Next Deal:
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Grab J Scott’s “The Book on Estimating Rehab Costs”:
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Hear Our Interview with David Greene’s Agent Johnny Hoang:
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Connect, Learn, and Finance Your Deal with David:
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Connect with Rob (Roubilt) on Youtube, Instagram, and Tiktok:
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Connect with David and Rob on BiggerPockets:
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Follow David on Instagram:

Episode 598

00:00 Intro
40:13 Financing Your BRRRR Deal
49:50 Commit. Go Pro. Get a Deal
57:01 How Sir BRRRR Funds His Deals

[marvelousmistermaple]

I’m really interested in this method. I’m 26 and newly married. It’s amazing to see free advice without upselling expensive courses. This was great!

[serenacheung]

I love that you provided a practical and detailed walkthrough of an actual deal.

[LaughtersHouse]

About to start the 3rd R on a 4-plex I purchased last year. There's no problem that can't be solved. Key is to buy right.

[dorischow]

This is genius! $5k in an hour? I’m in the wrong career my whole life. Thank you for this phenomenal advice and strategy.

[Sharkdogb]

I don’t listen to podcasts that start with adds. So thanks for keeping them short atleast.

[gabriellemoss]

This video was incredibly helpful. Thank you both for producing quality content!

[mcguire]

I listened on Spotify and then watched again on here. The info you guys give is so helpful. I've been able to close on 5 properties so far this year! Thank you for the great information!

[zigzagluck]

How is David turning a SFH into a 4 to 6-unit property? Is he getting the city to change it a multifamily?
Most areas only allow up to 2 ADUs (normal and junior).

[amgmedia]

My dad is a Contractor..They add the Materials of how much is it..then He muply that by four..if the material is $1k labor and materials will be $4k

[mikeb.]

One aspect I didn’t hear you talk about, is the extra cost to carry the mortgage while rehabbing the house and have no tenant paying rent during that time.

[freerka]

Another great video lads. Thank you for laying out the BRRR model. I just wish you would go deeper into the numbers, especially the rehab numbers. When I complete my BRRRs I an very conservative with the rehab numbers, and timeline, as the projects always run late and above the initial estimate. I think David and the crew should also add a carrying cost estimate to the analysis, as there will be extra costs (monthly utility bills, mortgage bills, brokerage advertising fees, ect...) you have to pay while renovating the project. It would be great if they did a deep dive into these extra costs that can come up during the renovation/ stabilization timeline, but overall a great podcast and I am happy I found you guys :)

[yeswecanfindaway]

I do like the new format with the nuts and bolts on deals and help guard the pitfalls.

[BeDoHave]

37:10 - A 100% "cash out refi' is a home run
59:13 - the various roles, and people playing their position for a flip ⭐

[freedyorozco]

My brrrr didn't appraise as much as I wanted any ideas?
Bought for $52k renovated for $9k appraised for $80k. Bank for refinance will only give $40k.

[jarretmoore]

So I bought my first duplex 2 years ago trying to do the burr I've been trying to get my cash out of the property having a very hard time I put 25% down have had both units rented with a positive cash flow and I don't know what has changed but just can't seem to get a HELOC going to try a total refinance here shortly if the interest rates come down a little more I don't know maybe it's just Michigan

[joseorderas]

I have two options to find my first property down payment of 80k: cash refi on my current home at 4.2% (current mortgage at 3.6%) I have 350k in equity or get the money from my friend at 4.5% with no closings, inspection etc. needed and secure it on a second mortgage on my home.

[peekos]

Please post more videos about this property. would love to see how it turns out!

[DatsDoodoBaby]

What is the process for switching unit counts and getting it rezoned for more? Best way to estimate costs? My area is very hard to get anything in, but I did see a run down duplex with both units being 2-1 above my city listed at 550k, doing the calculations it wouldn’t generate cash for me, unless I converted it to to 4 1-1 units which seemed possible, but I don’t know how to estimate cost of adding bathrooms and cutting the existing units.

[trashprop]

You FIEND! now the DUCKTAILS theme is STUCK IN MY HEAD. Thank you! :)

[victormiguelrodriguezc]

Just to add, that you're my Gurus, all your content is very profitable for all of us, thanks Bigger Pockets !