BRRRR in San Antonio — the math first, the story second.
Buy, Rehab, Rent, Refi, Repeat. It still works here, but the refi step is where most pro formas break. We pressure-test the spread before you write.
Where BRRRR works — and where it fails.
The loop is simple. The execution is not. The variable that breaks most deals is the cash-out refi appraisal: if stabilized ARV doesn't clear purchase + rehab + carry by a real margin, you leave capital in the wall.
Buy
Acquire below conservative ARV with rehab scope priced in. Inspection-first, not pro-forma-first.
Rehab
Scope-locked rehab against a fixed-bid GC. Track to budget and schedule weekly. No add-ons mid-flight.
Rent
Lease at the comp rent — not the pro forma rent. Document the lease for the refi underwrite.
Refi
Cash-out refi against stabilized appraisal. DSCR or conventional depending on borrower profile.
Repeat
Recycle capital into the next acquisition. The whole thing depends on capital actually coming out.
Three sub-market patterns we still see.
Not exhaustive — and not a forecast. Specific recent transaction patterns where the BRRRR loop has closed with capital coming back out.
1980s stock, light rehab
Mid-grade kitchen and bath refresh, paint, flooring, landscape. Refi appraisal anchors to recent comp velocity in Stone Oak adjacencies.
Rent-anchored buy-and-hold
Strong rental absorption near Randolph AFB. Conservative rehab. Refi often DSCR — rate premium against conventional, but DTI agnostic.
Distressed entry, full rehab
Larger rehab scope, larger spread. Higher execution risk — GC selection and timeline discipline matter more than in other sub-markets.
Frequently Asked Questions
Does BRRRR still work in San Antonio?
Yes, in specific sub-markets and at conservative ARV assumptions. The constraint is the refi: at current rates, you need real spread between purchase + rehab and stabilized appraisal, or you'll leave capital in the deal.
How much rehab is too much?
If the rehab budget is more than 30% of purchase price, you're approaching a flip-grade scope and the timeline risk goes up sharply. Most clean BRRRR deals in San Antonio sit between 10-25% rehab to purchase.
What about the refi rate?
DSCR refis are common when conventional DTI doesn't fit. Rate premium versus conventional, prepayment penalties, and reserve requirements are the usual trade-offs. We coordinate with lenders; we don't quote rates.
Can you bring me a BRRRR deal directly?
We work an investor buy box. If yours fits the BRRRR profile — sub-market, target ARV, rehab tolerance, capital available — we surface MLS distressed, pocket deals, and selective off-market. Cap-rate first, story second.
Send the buy box. We'll send the math.
Target sub-markets, price band, rehab tolerance, refi profile. Twenty-four hours to a written read.