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Client Testimonial: FasterFunds Lending and the BRRRR Method!


    Hey Guys! It’s Dustin here with FasterFunds Lending and I am actually standing at FasterHouse Buyer’s Club tonight. I pulled aside some of our tribe members to talk to you about one of their BRRRR strategies. We know with the BRRRR strategy that it really works well with our lending program, as well as building your rental portfolio. So, we’re just gonna talk about one of their deals, go over their numbers, and what happened with them. So guys, tell me about one of the deals you guys had. “Do you want to talk about their house?” “That works” “Alright, so that house we bought for ninety thousand. The fix was about thirteen thousand.” “Okay.” “We were all in, at the end of the day, about one-oh-six [thousand], after the fix, the closing costs, everything.” “Fantastic!” “And then, basically, we refinanced out of that and we had a tenant placed and we refied, appraised for one thirty two [thousand]””Okay””So we refied out for 105 minus 600 bucks.” “So you’re in the house for like 400 dollars?” “Yeah.” “And how much rent are you getting?” “1275 a month.””Okay!” “And actually, before…as of this morning when I looked over the numbers, we’re about 3200 dollars positive with cash flow and everything this year on that property.” “Awesome! So when you purchased the property, who’d you buy it from? A local wholesaler?” “Yeah.” “Fantastic. So you bought it for 90 you said, and how did you purchase that property?” “We actually got lending from FasterHouse, from FasterFunds Lending, it was actually easy and awesome.” “Awesome! How did you rehab the property? Did you get a construction dispersion, did you use your own money….?” “Nope, we used our own money on that house. So basically, just credit lines and then we refied out, got all that money back, paid those off, and like you said, about 400 bucks in that property and it’s already paid for itself.” “Awesome! And how much is the cash flow each month on that?” “That one escrowed the taxes on that so we are cash flowing about 340 bucks a month.” “340 dollars a month with 400 dollars out of your pocket.” “Yep.” “Alright guys, so the BRRRR Strategy. We know that we have to buy a property at a discount, which it actually sounds like they did. You have to then rehab that property to get it up to the rental standard. You have to then find a tenant, a GOOD tenant would probably help, right?” “Yes.” “We have to vet these tenants, we have to find a good tenant, then we refi that property onto long term financing, away from the hard money, away from our program, and then what’s that final R?” “Repeat!” “Awesome, so how many times are you guys planning on repeating that this year?” “Well, in the last ten months, we’ve done five. So, I’d like to go to 50?” “I could do ten more this year.” “Awesome, love it! So you like that – he’s 50, he’s 10 more this year. This is how building a rental portfolio can work for you, and this is what we do at FasterFunds all day, is help those landlords build that wealth. That’s all we have, thanks for listening!”

    Author: Frank