The BRRRR (Buy, Refurbish, Rent, Refinance, Repeat) strategy helps investors build strong property portfolios by purchasing and improving undervalued properties, then leveraging their increased value for further investments.
With 20+ years of experience, our team guides investors through each BRRRR step, from property sourcing to cash flow management.
Buy a house at a discounted price which requires renovation to increase its value. Ensure the property is in a good location and that rental demand in the area is high.
Analyse market trends and identify opportunities to buy such properties, or use the Pluxa Property platform to find the best BRRRR properties and make informed decisions.
To increase rental yields, refurbish the property to make it more attractive. This may involve modernising kitchens and bathrooms, changing layouts, adding extensions, or replacing and adding furnishings.
Pluxa Property helps identify and implement high-return renovation strategies for BRRRR properties.
Use the refurbished properties to attract quality tenants and earn a higher rental income. It would be best to start sourcing tenants with Pluxa Property who will list your property on different platforms to attract quality tenants.
We will then verify their suitability as desirable tenants. You must have the correct contracts and team to manage your investment, or else involve Pluxa Property.
BRRR TO Serviced Accommodation (SA):
The BRRR to SA strategy, which stands for Buy, Refurb, Rent, Refinance, Repeat,to Serviced Accommodation is a real estate investment approach that can be effectively adapted to serviced accommodation (SA). This strategy involves purchasing undervalued properties, renovating them to a high standard, and then renting them out on a short-term basis. Serviced accommodations are furnished apartments or houses that are available for short-term or long-term stays, providing hotel-like amenities such as cleaning and linen services.
By targeting the SA market, investors can potentially further increase their rental yield and overall return on capital invested (ROCI) due to the higher rental income typically associated with short-term lets. Pluxa Property, with its extensive network and experience in managing short let leisure and corporate accommodations, can be a valuable partner in this investment strategy, helping to source guests and manage properties across the UK. However, it’s important for investors to conduct thorough due diligence and consider the reviews and reputation of any property management company they plan to engage with.
The BRRRR method allows you to increase your property value to get back all (or most) the money you initially invested, including deposits and other expenses.
Pluxa Property uses its experience to advise investors on remortgaging their property by closely monitoring interest rates and market conditions, and increasing the strategy’s overall profitability.
Use the equity released from the refurbished property to reinvest in other BRRRR properties.
Grow your investment portfolio, generate wealth, and achieve financial security. Pluxa Property advises you on how and where to invest, and provides necessary market data to fully inform your investment decisions
BRRRR properties are usually discounted compared to higher-valued properties. You can refurbish them within your budget, or use a bridging loan to cover short-term refurbishment costs. Typically, you’d pay a 25% deposit and mortgage the remaining 75%. The rental income would then cover the mortgage expenses
The properties are advertised for rent immediately after refurbishment and quickly start earning income. Because they are located in areas with a high rental demand, there is less risk of property vacancies, generating a steady cash flow and higher return on investment.
As additional security, you can also get “Unoccupied Property Insurance,” which will cover the cost of your property when left vacant for up to 60 days.
This strategy gives property investors complete control over their property and the flexibility to use it for rental income anytime. BRRRR property investors can make individual decisions about their property that align with their financial goals.
Purchase an undervalued property at a discounted price and invest in refurbishing it. This could include extending the front or side elevations, adding a modular kitchen and living area, adding furniture, or changing room layouts. There are many different ways to help maximise a property’s value, allowing you to generate a higher rental income.
BRRRR investors can use the increased rental profits from their refurbished properties to apply for new mortgage loans for additional BRRRR purchases. This refinancing process recovers the initial investment, providing capital to buy and refurbish more properties. Thus, investors can expand their investment portfolio and improve cash flow without needing extra funds.
Pluxa Property helps BRRRR investors find properties in areas with high rental demand. We do so by thoroughly analysing different regions of the UK and sourcing properties which can attract high-quality tenants and ensure better rental yields. Due to their location, these properties provide a higher occupancy rate ensuring they will not be left unoccupied for long.
Finding excellent property deals is time-consuming and requires expert experience especially when negotiating with property owners. Pluxa Property has had that knowledge for over 20 years and can help you source properties at a discounted price with the opportunity to add value. We negotiate the price with the owners directly to ensure we generate a higher cash flow at lower investments.
When buying an undervalued property, you must focus on its refurbishment in order to add value. Pluxa Property takes over this responsibility for you by redesigning the properties, sometimes changing their layout, adding or creating extra rooms, doing side or back extensions etc, as well as modernising and refreshing them to convert them into high-end, desirable accommodation.
Pluxa Property advertises your property on many different platforms. We source tenants and manage their bookings then help manage the property by providing security, cleaning and maintenance, and ensuring a healthy and safe environment for your tenants. We focus on efficient property management to ensure 100% guest satisfaction, increasing your chances of positive feedback and profitable booking rates.
Our expert team at Pluxa Property provides regular updates on the property’s market performance as well as recommending amendments to improve your returns. This means you will increase your profits, allowing you to purchase more property without loans or mortgages, therefore continuously growing your investment portfolio and generating cash flow for the long term.
Starting a BRRRR property business involves multiple steps. It requires expert guidance to understand where to choose a property, how to add value to it, and with deciding the best investment strategy for it. After understanding your goals, criteria, and budget, Pluxa Property arranges one-to-one strategic call sessions with our property experts who can explain a suitable BRRRR investment strategy.
Pluxa Property has over 40 years of property experience and has intense knowledge of the local regulations and rules which you must follow when purchasing properties for the serviced accommodation sector. When considering purchasing properties for Serviced Apartments via the BRRRR model we suggest to consider the following important points.
Our sourcing fee for finding properties is usually 2% of the final purchase price for BRRRR properties, however we are able to offer this service for FREE when sourcing off-plan and new-build properties for you directly from developers. Consider these key points when purchasing serviced apartments using the BRRRR method.
We’ll save you money and time by negotiating with developers and sourcing high-quality properties in prime locations to maximize your profits.
BRRRR in Property Investment UK is the abbreviation for Buy, Refurbish, Rent, Refinance, and Repeat investment strategy. Let’s break down the steps to better understand this:
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