
There is no better way to get involved in real estate investing other than to partner with someone who has been doing it themselves that is networked deeply in the area. Someone who knows the language, and who has the skillset to determine what deal makes sense.
Common Investment Strategies
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BRRRR & BRRRRS METHOD
The BRRRR method (pronounced as though you’re cold) is a popular investment strategy for real estate investors. It’s especially popular in the industry with new investors as the ability to scale with little money out of pocket is especially enticing. This method consists of:
Buy - Rehab - Rent - Refinance - Repeat
or subsequently an “s” has been added for “scale”. As a BRRRR expert, Meg can help you learn and understand the process and build your own portfolio from his method.
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SECTION 8 HOUSING
In partnership with the St. Louis Housing Authority, investors can utilize section 8 as a strategy to build rental portfolios with lower risk of non-payment from tenants.
Section 8 housing is a voucher program which works with low income families to provide safe housing in the St. Louis area. Landlords can play in integral part in building up these communities while reaping the benefit financially.
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RESIDENTIAL & COMMERCIAL FLIPPING
Flipping properties is perhaps what most people think of when they hear real estate investing. Flipping properties is a lucrative way to make money for “today”, while buy and hold strategies are considered money for “tomorrow”. Flipping can be SFH (single family housing) MFH (multifamily housing), commercial or residential.
St. Louis and the surrounding area have every possible flip potential you can think of within reach.
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TRADITIONAL MARKET RENTALS
Single-family rental portfolios involve acquiring multiple standalone homes to rent out, offering a steady income stream and lower management complexity compared to multifamily properties. This approach allows investors to diversify their holdings across various neighborhoods, reducing risk and potentially increasing returns. Each property can be tailored for optimal rent and value growth.
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MULTI-FAMILY HOUSING
Multifamily housing investing involves purchasing properties with multiple residential units, such as apartment buildings or duplexes, and renting them out to tenants. This investment strategy can be highly profitable due to several factors. First, multifamily properties offer the advantage of multiple income streams from a single property, which can lead to more stable and higher overall rental income compared to single-family homes. Additionally, the economies of scale in managing multiple units can reduce operational costs and increase efficiency. Investors benefit from diversified revenue sources within one location, which can mitigate risks associated with tenant turnover and market fluctuations. Overall, multifamily investing provides the potential for strong cash flow, substantial property appreciation, and significant tax benefits, making it a compelling option for growing a real estate portfolio.
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LAND FLIPPING
Land flipping involves purchasing undeveloped or undervalued parcels of land with the intention of reselling them at a higher price for profit. Investors use this strategy by identifying properties with potential for increased value through market trends, zoning changes, or improvements. Once acquired, they may hold the land until the market conditions are favorable or make strategic enhancements—such as clearing, surveying, or obtaining permits—to boost its attractiveness and value. By leveraging market insights and timing their sales strategically, investors can capitalize on the appreciation of land value and realize substantial returns. This approach allows investors to profit from the appreciation of raw land with relatively lower maintenance and management costs compared to developed properties.