A Case Study for Buy and Hold and the BRRRR Method

Diversification and growth allow women real estate investors to build wealth through real estate investment. Securing funding is a major challenge for new investors. In many cases, you find financing for one rental property but aren’t sure how to grow from there. The BRRRR Method allows investors to use a current buy and hold property to expand your investing portfolio.

Creative strategies, like BRRRR, allow women real estate investors to build a sustainable real estate investing business. At Real Estate Investing Women, REIW, we come alongside women investors to help you learn and grow.

What is the BRRRR Method?
The acronym BRRRR stands for Buy – Renovate – Rent – Refinance – Repeat. This process creates a pathway to use the equity from current buy and hold properties to invest in additional properties. This smart strategy is what allows investors to grow from a few rental properties to a full fledge real estate investing business.

Buy – The goal with rental properties is to locate and buy undervalued properties. Look for properties that work well as rentals but may need some work. This positions you to add equity quickly.

Renovate or Rehab – Undervalued properties most likely need updates or repairs. Look for the best options to give the property a facelift without breaking your budget.

Rent – Depending on the type of property and location, determine if the property best serves as a long-term rental or short-term rental. Today, the short-term vacation rental market offers a solid option due to the ease of online platforms like AirBNB.

Refinance – This is the critical step to grow your investment portfolio. With traditional refinancing the goal is to find a lower interest rate. With the BRRRR Method, the goal is to pull equity out during the refinancing. This gives you funding to invest in additional properties.

Repeat – Once you have the funds for the down payment and rehab of your next property, you simply repeat the process. As you acquire more rental properties, your real estate investing business grows. You now have increased passive income from your real estate buy and hold investments.

How Dawn Augsten Build Real Estate Investing Success
Dawn Augsten is part of the Real Estate Investing Women community. Women like Dawn come together to share knowledge and encourage each other with real estate investing. Dawn successfully employed the BRRRR method to grow her rental property portfolio in Greenville, South Carolina.

She invests in both single-family homes and multifamily properties. She uses a combination of long-term and short-term rental strategies. In fact, for her multifamily properties, she splits the property into both long-term rentals and short-term vacation rentals. This approach works well for the local market.

Dawn shared her experience with REIW. You can watch her story now. In our conversation, she discussed how the nature of real estate investing means anyone can invest. Unlike some careers, you don’t need a college degree or special certification to become a real estate investor.

However, you do need to take risks. It is important to learn about the industry. Yet, to make money, you must jump into action at some point. Dawn found that she really learned the industry when she started investing. This hands-on approach taught her how to navigate the process and grow her business.

Dawn also offered encouragement to not give up or get discouraged. Not every deal works out, but you do learn from every deal. Consistency also matters! Set goals for your real estate investing business, and do something every day to support those goals.

Market research is another key to success. Take the time to know the market. Dawn researched Greenville and the types of investments that work well for the area. This allowed her to venture into vacation rentals. She also built a network of trusted industry professionals. In fact, this led to an opportunity to grow her business even more.

We are proud of the success Dawn created through her real estate investing business. She demonstrated that diversification and perseverance lead to growth.

How to Grow Your Real Estate Investing Business
We understand it is scary to take the first steps to create a real estate investing business. That is why we created Real Estate Investing Women. We work to provide female investors with the information, knowledge and community support to start or grow your business. We share our stories, wisdom, strategies and lessons to help you have the confidence you want as an investor.

Do you want to learn more about real estate investing strategies like the BRRRR Method? We know firsthand that wealth is possible with real estate investing. Methods like BRRRR create that wealth. You don’t have to start out as a millionaire to build a strong portfolio of properties.

We offer training, coaching, free online resources and more to help women real estate investors understand your opportunities and investment options. Contact REIW today to schedule a phone consultation.