The BRRRR (buy, rehab, rent, refinance, repeat) real estate strategy is well-known with seasoned real estate investors. This strategy is focused on purchasing a property, renovating it, renting it out, and then pulling out the new equity by refinancing.
BRRRR provides investors with the option to tap into new opportunities and grow capital quicker than normal. One such investor who routinely uses this classic strategy is Ofir Eyal Bar, a visionary entrepreneur with a proven record in the real estate industry. He routinely touts the merits of upgrading real estate for maximum yield. Industry aficionados agree that smart investments and valuable upgrades can have a positive effect on your portfolio.
Boost the value of your property
Your property is arguably the biggest and most important purchase of your life. Any enhancements that you make to your property are designed to improve the quality, functionality, and aesthetics of your home. Home renovations are a great source of personal accomplishment. The right home renovations add intrinsic value to your property, helping to boost its appeal to potential renters and buyers down the road.
Renovations can be implemented to improve the layout and design of your home or to upgrade to a more modern look and feel. Regardless, home remodeling initiatives are designed to increase your home’s value and make it inherently more attractive.
Home renovations are designed to save money
Enhancements to your kitchen, laundry, bathrooms, and other areas of your home are designed for greater efficiency. Over time, these home improvement projects tend to pay for themselves.
Insulation, seals, ductwork, aged plumbing systems, and appliances contribute to higher maintenance costs, energy costs, and wastage every month. When you upgrade all of these, it’s a large upfront expense but you’ll enjoy decreased costs in the future.
Affordable way to enjoy a beautiful home
Real estate investor Ofir Eyal Bar believes in getting a great deal on real estate (such as a foreclosure), and then rehabing the home to make it look like a million dollar home. When you buy low, you can afford to invest in upgrading the homes features, fittings, and fixtures to make it look like your dream home.
This is a surefire way to make the most of your budget and generate the type of ROI you need to continue investing in property. Renovations lead to property appreciations, and provided you have conducted the requisite research into the property market, bigger returns are certainly possible.
Enhancements to suit your lifestyle
It shouldn’t come as much of a surprise that upgrades and enhancements are necessary as our lifestyle preferences or realities change. Sometimes, homeowners need to remodel their homes for growing families, pets, or personal preferences. Perhaps you enjoy cooking and you would like a beautiful kitchen with a convection oven and granite countertops? Maybe you need a wheelchair accessible home with handrails and supports strategically positioned throughout. The purpose of these enhancements is to suit your lifestyle preferences and your lifestyle needs. These upgrades may also serve the needs of potential renters and buyers in the future.
Updated for that wow effect
Any real estate investor worth their salt will tell you that home upgrades are a great idea if you’re looking to wow the crowds. An upgrade can make a plain home look totally trendy. Minor upgrades can have just as much of an impact on the aesthetics of your home as major upgrades. Recessed lighting, framed mirrors, vinyl floor tiles, chalk-painted furniture, plantation shutters, stylish drapes, and repainted kitchen cabinets and countertops are but a few of the many options available. When homes look good, homeowners, renters and potential buyers inherently enjoy these properties more. Renovations done for the purposes of enjoyment and comfort have the dual benefit of a higher rental income and a higher sale price down the line.
Renovations allow for customized living
Whether you’ve got a flat, townhouse, or a freestanding property, you will be able to enjoy the benefits of customized living space when you renovate your home. This allows you to stamp your particular brand on your property. When you choose the decor, the design, and the layout, you will be able to tailor your home to your preferences. It’s a labor of love that shows how invested you are in your home. Renters and buyers will appreciate the hard work you put into it.
