What is the BRRRR method in real estate?

BRRRR stands for Buy, Rehab, Rent, Refinance, Repeat. It's a real estate investing strategy where you buy an undervalued property, renovate it to force appreciation, rent it out, refinance to pull your capital back out, and repeat the process to scale a rental portfolio.

Does the BRRRR strategy work in London Ontario?

Yes — London Ontario has an active inventory of older homes that benefit from renovation, strong rental demand from Western University and Fanshawe College, and rent levels that support refinanced mortgages on properly executed projects.

How much money do I need to start BRRRR investing?

Most BRRRR deals in London Ontario require $80,000–$150,000 upfront to cover the down payment, closing costs, and renovation budget. The goal is to recover most or all of that capital on refinance once the property is rented.

BRRRR Method Explained | London Ontario Real Estate

What is BRRRR?

BRRRR is an acronym coined by investor David Greene that describes a five-step cycle for acquiring rental properties: Buy, Rehab, Rent, Refinance, and Repeat. The goal is to force appreciation through renovation, then pull most of your invested capital back out via a cash-out refinance — so the same dollars can fund the next property.

Buy

Find an undervalued property — usually a tired duplex, fourplex, or single-family in a strong rental pocket. The deal lives or dies on the purchase price. Targets in London: Old East Village, SoHo, Hamilton Rd, and pockets near Fanshawe.

Rehab

Renovate strategically. The goal isn't HGTV — it's to hit the ARV (After Repair Value) the appraiser will support. Focus on kitchens, bathrooms, flooring, paint, and any unit-count adds (legal basement suites are gold in London).

Rent

Place quality tenants at market rent. Lenders need 6–12 months of seasoning and signed leases before they'll refinance — so rent fast, rent right.

Refinance

Refinance with a lender at 75–80% of the new appraised value. If you bought and rehabbed well, the cash-out cheque covers most (sometimes all) of your initial down payment and reno budget.

Repeat

Take the recycled capital and roll it into the next deal. Done consistently, this is how investors stack 5, 10, 20+ doors without needing fresh outside capital each time.

A BRRRR example with London numbers

Purchase price: $425,000 (dated duplex, Old East)
Down payment + closing: ~$110,000
Renovation budget: $55,000 (two units, basement legalization)
All-in: ~$165,000 of your cash invested
Post-reno appraised value: $585,000
Refinance at 80% LTV: $468,000 new mortgage
Capital pulled back: ~$128,000 → leaves only ~$37,000 in the deal
Result: A cash-flowing duplex with most of your capital freed up for the next purchase.

Illustrative only. Every property is different — let's underwrite a real one together.

Why BRRRR works in London Ontario

Large inventory of older homes priced for renovation.
Strong rental demand from Western University, Fanshawe, and a growing job base.
Legal basement suites are well-supported by city policy and add real value.
Rent levels still support refinanced mortgages on well-bought deals.

Want to run a BRRRR deal in London?

I help investors find, analyze, and close BRRRR-ready properties across London and St. Thomas.

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