Buy Rental Property Fix and Refinance Strategy

With the  buy rental property, fix, and refinance strategy, you invest in properties where value can be added to the  property through repairs, upgrades, and  improvements that take  a distressed property and  turn it into a solid  and  well-maintained property. Over the  years, with increased equity in the  property and  as long as interest rates are attractive, you could refinance the  property if you so choose and  use  some of your  equity towards other real estate investments.

We strongly prefer this  method because it has  proven throughout the  years to be the  lowest risk, highest probability way to make money in real estate. You can think  of it as the  tortoise in the  old tortoise-and-the-hare story, where the  hare is the  fast-money, high-risk, high-return strategy. The tortoise may be slow and  steady, but  he ends up winning  in the  long run.  As an example, Robert is a conservative person by nature, yet he has  acquired a significant real estate portfolio by simply  purchasing well-located-but-distressed properties and  renovating, filling them up, and  then refinancing.

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