These investors believe they’ve learned a very successful one-weird-trick strategy but the truth is, it’s entirely powered by speculation It’s a strategy to buy a home under market value, then renovate it – which might just mean a repaint but could also mean an entire bathroom – then rent it out to tenants, do a cash out refinance at the new higher price, and then use that money to buy the next place. The general idea is a method they call BRRRR – Buy, Rehab, Rent, Refinance and Repeat.

Obviously, they’re self-reporting but it’s a good way to get some insight on what this group is all about. If you go to the BiggerPockets channel on youtube, you can find tons of episodes about these investor success stories. I find it hard to believe they didn’t fact-check those statements. It’s a very reputable news source that has been around since 1888. So right off the bat, this sounds crazy? Going from $600,000k in debt to multiple houses? From welfare to 400 properties? I’d almost question the news source – but well, that quote is from the Financial Times. – The real estate evangelist - why buy one home when you can buy 100? Ft.com Is this real? Stephanie Betters, a nurse practitioner from North Carolina, manages 1,000 units between shifts at the hospital. Sterling White from Indiana was collecting welfare and selling Pokémon cards until he accrued a portfolio of 400 rental properties in less than four years. Linda McKissack from Texas was drowning in $600,000 of debt, before she invested in 108 rental properties and became a millionaire landlord. I’ll share this quote first, which was what caught my attention:

Ever since I read an article from the FT about BiggerPockets real estate investors, I’ve been trying to understand what they are doing and how they fit into the market today.

First-Time Home Buyer by Scott Trench