08/03/2026
Let's be honest, the BRRRR strategy is very hard to do successfully in this market. It's almost impossible to make the return worth the risk and investment. The cost of almost everything has gone up. Lenders aren't handing out 3% fixed rate, 30 year notes at 95% ARV anymore. Good luck finding a house that isn't a tear down for less than $50k in a major city in Texas. The easy BRRRR deals we had in 2021 are gone, but that doesn't mean you can't invest into your future using real estate.
In a time when being the landlord is hard, become the bank. Banks don't worry about repairs, that's the owner's problem. Banks don't care about property tax and insurance premium hikes, those issues are the owner's problem. The rental has been vacant for 6 months? The bank could care less, the payment is still due on the 1st, and it better be paid in full.
So how do you become the bank? Owner financing. When you sell your home owner finance, you become the bank. You keep the monthly income that a rental would provide, but you don't have the headaches that come with a rental. Instead of a tenant that you will only have for 12 months, you have a borrower that will owe you payments every month for 30 years. With the right underwriting and vetting of the buyer before purchase, and a good servicing company handling the payment collection and escrows for taxes and insurance, it's the closest thing to mailbox money I've ever found. I've sold multiple homes this way and it is now my preferred exit strategy out of a deal if I want long term cash flow. There's just one catch, you have to own the home outright to do this. That hard money loan or DSCR loan has to be paid off at closing, and that keeps a lot of investors from using this strategy. At least, that used to be the issue, but not anymore.
I've developed a program to allow investors to sell their investment properties owner finance, payoff all their underlying debts on the deal, and not take out a dime in new loans to do it. That cash flow risk you have right now, relying on the rent check to come in so you can pay your underlying DSCR payment? Gone. That rent check you need to cover your property taxes and insurance premiums? Gone. That sub to deal you are holding onto, hoping the bank doesn't call the note after it finds out the original owner sold it to you years ago? Gone.
If you're ready to become the bank, give me a call or send me an email. We can talk about your deal and see if this strategy is a good fit for your deal and your goals.
469-879-0759
[email protected]
Jackdhco.com
