How to Fail at The BRRRR Method | 4 Steps to Avoid

The BRRRR method is undoubtedly one of the greatest (and fastest) ways to build wealth through real estate investing. Even if you’re brand new to real estate, you’ve probably heard someone talking about the BRRRR strategy in some form before. While this strategy can easily be explained in five simple steps—buy rehab rent refinance repeat—the reality of doing a BRRRR is less than simplistic most of the time. Trust Tarl Yarber on this. As a recovering flipping addict, Tarl realized well into his 500th deal that solely flipping houses wasn’t a wealth-builder, but BRRRRing was. So, did he do his first BRRRR property perfectly? Of course not! But, instead of watching rookies fail on their own, Tarl has been kind enough to provide us with his four steps that will ensure a failed BRRRR, specifically so you DON’T do them. If you’ve ever attempted a BRRRR before, you’ll probably see a few familiar steps on this list that you accidentally did. Before you buy that beautiful fixer-upper and turn it into a rental, make sure you’ve got your exit strategies in line and you’ve mitigated all of these four risks! ~~~~ Join BiggerPockets for FREE 👇 https://www.biggerpockets.com/signup?utm_source=youtube&utm_medium=description&utm_campaign=none ~~~~ Check out Tarl’s Video on The “Infinite BRRRR Strategy”: https://youtu.be/m42nv7S2CLE ~~~~ Buy the Book on BRRRR Investing: https://store.biggerpockets.com/products/buy-rehab-rent-refinance-repeat?utm_source=youtube&utm_medium=description&utm_campaign=none ~~~~ Prequalify for Your Next BRRRR with a Great Lender: https://www.biggerpockets.com/loans?utm_source=youtube&utm_medium=description&utm_campaign=none ~~~~ Calculate Your Future BRRRR Profits: https://www.biggerpockets.com/brrrr-calculator?utm_source=youtube&utm_medium=description&utm_campaign=none ~~~~ 5 Smart Exit Strategies For When Things Go Wrong Flipping Houses: https://www.biggerpockets.com/blog/2014-02-23-5-exit-strategies-for-success?utm_source=youtube&utm_medium=description&utm_campaign=none ~~~~ Connect with Tarl on BiggerPockets: https://www.biggerpockets.com/users/tarl?utm_source=youtube&utm_medium=description&utm_campaign=none ~~~~ Follow Tarl on Instagram: @tarlyarber or https://www.instagram.com/tarlyarber/ 00:00 How to Fail at BRRRRing 01:00 What is The BRRRR Strategy? 02:29 1. Put in The Wrong Finishes 05:29 2. Get a Low Appraisal 09:33 3. Don't Get Prequalified 16:18 4. Be a Bad Landlord 19:41 What Happens if You Do All Four? 21:07 Plan Your Exit!