Makayla | Real Estate Investor

I thought it was time to make my annual appearance on X. Trying to be more active on here moving forward! Purchase: $60,000 Rehab: $45,000 ARV: $165,000 Rehab timeline: 6 weeks Bought from a wholesaler & funded with private money 🤩

@NinePoundGames @ReezyResells I mean this as respectful as possible, you are fighting a losing battle with me 😂 go play with your stocks and I’ll continue playing big girl monopoly

@REIMakayla @ReezyResells It’s not specifically a stock market thing Again, risk free rate is 3.5% - you can literally do nothing and have ZERO risk and earn more To your point about what the stock market is missing Does the stock market not go up in value? Do they not pay dividends or capital gains?

I bought a house for $100,000 and the bank paid me $30,000 to keep it Not a typo. Not a gimmick. I put $120,000 into a property and pulled $150,000 back out. Kept the house. Kept the tenants. Kept the cash flow. Pocketed $20,000 in tax-free cash on closing day This is the BRRRR method and once you understand it you'll never flip another house again BRRRR: Buy below value Renovate Rent Refinance Repeat Here's exactly what happened on my last BRRRR deal: STEP 1: BUY Found a 3-bedroom in Ohio off-market through a wholesaler. Listed at $115,000. Offered $97,000 cash. Seller accepted because cash can close in 7 days and she needed out fast Purchase price: $97,000 STEP 2: RENOVATE Cosmetic only. No structural, no rewiring, no replumbing. 4-week timeline Paint entire interior (2 coats, neutral greige): $4,200 LVP flooring throughout: $6,800 Kitchen reface (new cabinet faces, hardware, countertops, faucet, sink): $9,400 Both bathrooms (new vanity, toilet, mirror, light fixtures, retile shower): $7,600 New light fixtures throughout: $450 Landscaping and exterior power wash: $1,800 Misc (permits, dumpster, cleaning): $750 Total renovation: $31,000 Total invested: $128,000 STEP 3: RENT Listed on Zillow, Facebook Marketplace, and local Section 8 housing authority. Had 30+ inquiries in 4 days. Section 8 tenant approved at $1,375/month HUD Fair Market Rent in this area: $1,412/month. My tenant got approved at $1,375 which means the government pays $1,375/month directly to my bank account. Tenant pays $0 STEP 4: REFINANCE Waited 3 months (most DSCR lenders require a 3 to 6-month seasoning period after purchase before they'll refinance based on new appraised value) Hired an appraiser. The renovated house appraised at $205,000 Applied for a DSCR loan. Lender doesn't check my income, my W-2, my tax returns, nothing about me. They checked the property: does the rent cover the mortgage Monthly rent: $1,375 Estimated mortgage payment at 75% LTV: $1,050 (PITI) DSCR: 1.31 Approved Loan amount: $153,750 (75% of $205,000 appraised value) Cash back to me after paying off the purchase and renovation: $153,750 - $128,000 = $25,750 Some deals return more, some less. The one before this I pulled $30,000+. The point is I got ALL my money back PLUS profit PLUS I still own the house The ongoing numbers: Monthly rent (government pays): $1,375 Monthly mortgage payment (PITI): $1,050 Monthly cash flow: $325/month before management Annual cash flow: $3,900 Money left in the deal: $0 (refinance covered everything) Cash-on-cash return: infinite (no money in the deal, cash flow is pure return) I own a house that makes me $3,900/year and I have $0 of my own money in it. The bank financed everything. The government pays the rent. I collected $25,750 on refinance day and still own the asset NOW COMPARE THIS TO A FLIP: If I had flipped this same house: Sale price: $205,000 Purchase: $97,000 Renovation: $31,000 Closing costs to sell (agent commission + title + transfer tax): ~$16,400 Holding costs during renovation: ~$3,200 Total costs: $147,600 Flip profit: $57,400 Good flip. $57,400 in 4-5 months. But that's it. The house is gone. The profit is taxed as ordinary income (short-term capital gains). After federal + state tax at ~30%, you keep roughly $40,000 With the BRRRR: Day 1 cash returned: $25,750 (tax-free, it's a loan) Annual cash flow: $3,900/year (every year, forever) Property appreciation at 3%/year: $6,150/year Total year-1 value: $35,800 After 5 years: Cumulative cash flow: $19,500 Appreciation: $30,750 Refinance cash received: $25,750 Total value created: $76,000 After 10 years: Cumulative cash flow: $39,000+ Appreciation: $67,000+ Refinance cash: $25,750 Total: $131,750+ The flip made $40,000 after tax and then it's over. The BRRRR made $131,750+ over 10 years and you still own the house. And the refinance proceeds were tax-free because they're a loan, not income Flipping is a job. You trade time for a paycheck. When you stop flipping, the money stops BRRRR is a money printer. You build it once and it pays you every month whether you're working or not I still do flips for the quick cash. 35 a year. But every dollar of flip profit goes into buying the next BRRRR. The flips fund the empire. The BRRRRs ARE the empire I own 42+ units. Most of them came from this exact sequence. Buy ugly, renovate cheap, rent to Section 8, refinance, pull my money out, do it again The house I bought for $100,000 paid me $30,000 to keep it. And it'll pay me $3,900 every year until I decide to sell it Which I won't. Because why would you sell a money printer

@JrSheet6475 wow tough guy over here

@REIMakayla You're a vulture who brings in crime and nigs to rural areas with that shit. You should be published on a list

The United States government deposits $1,275 into my bank account on the 1st of every month For a house I bought for less than a Honda Civic The tenant living in it pays $0. Not reduced rent. Zero. The federal government covers all of it I don't chase rent. I don't send late notices. I don't listen to stories about lost paychecks or car accidents or broken promises. I open my bank app on the 1st and the money is there. Every month. Without fail. Because the check comes from the same place that funds the military and prints the currency It's called Section 8. The official name is the Housing Choice Voucher Program. It's funded by the U.S. Department of Housing and Urban Development and it has existed since 1974. And the landlords who use it will never tell you about it because every new landlord who signs up is competition they don't need Here's how it works from the landlord's side, because nobody ever explains this part: A low-income family applies for housing assistance through their local Public Housing Authority. If approved, they receive a voucher. That voucher says the government will pay up to X amount per month toward their rent. The family goes and finds a rental. The housing authority inspects the property (basic habitability stuff, nothing insane). Once the property passes, the government starts sending money directly to the landlord Not to the tenant. To the LANDLORD. Direct deposit. Every month The rent amounts aren't random. HUD publishes something called Fair Market Rent for every county in America. It's what they've calculated a rental should cost in that area: Ohio 3-bedroom FMR: $1,100-$1,400/month Georgia 3-bedroom FMR: $1,400-$1,800/month Alabama/Indiana/Carolinas: $900-$1,200/month And the part nobody talks about: HUD Fair Market Rent is frequently HIGHER than what you'd actually get renting to a regular tenant in the same neighborhood. A house that rents for $900 on Zillow can pull $1,100-$1,200 on Section 8 because HUD uses regional data that runs above hyperlocal comps The government is paying you a premium. Above market rate. To house people in a house you bought for $87,000 My actual numbers on one property: Bought for: $87,000 Renovation (paint and floors): $18,000 Total investment: $105,000 Section 8 monthly rent: $1,275 Monthly expenses (taxes, insurance, maintenance): $425 Monthly cash flow: $850 Annual: $10,200 I invested $105,000 and I make $10,200/year. That's a 9.7% cash return. The S&P 500 has averaged about 10% annually and people worship it. I'm getting the same return except mine comes from a government direct deposit that doesn't care what the stock market did today But the real math is what happens after I refinance. 8 months in I got the property appraised at $162,000. Took a DSCR loan at 75%. Pulled $84,000 back out. So my actual cash still in the deal is $21,000 $10,200/year on $21,000 invested. That's a 48.5% cash-on-cash return From a house. That the government pays for There are 2.5 million families on the Section 8 waiting list right now. Some cities have waitlists 5-10 years long. When I list a Section 8 property I get 30-50 applications in a week. There is a line of pre-approved, government-funded tenants waiting to give you money and there are not enough landlords accepting them Most people hear Section 8 and picture something bad. That's fine. More buildings for me. While everyone argues about the stigma I'm checking my bank app on the 1st and going back to sleep You can buy a house for less than a Civic and the government will pay you more per month than most people's car payments That's my bank statement

@JohnTurano For some people, yes. I do this process many, many times a year. If underwriting you mean checking their credit score and 2 bank statements, sure 😂 Definitely not actual underwriting like you’d go through for the other loan types.

@REIMakayla You are leaving out so many important details that make such an investment difficult. Too many to enumerate here. Some falsehoods as well. The bank certainly does underwrite the borrower in addition to the property.

Your landlord doesn't have a job I know this because I'm a landlord and I don't have one either He bought the building you live in with a loan that doesn't check income. The bank never called his employer. Never looked at his tax returns. Never verified a single dollar he's ever earned He filled out a form online. Got approved in two weeks. And now your rent check covers his mortgage, his property taxes, his insurance, and whatever he feels like spending the rest on I'm not making this up. There's a type of mortgage most people have never heard of called a DSCR loan. It stands for Debt Service Coverage Ratio. The bank doesn't underwrite YOU. They underwrite the BUILDING The only question: does the rent coming in cover the mortgage going out? If the answer is yes, you're approved. That's the entire underwriting process. A bartender with a 680 credit score gets the same loan as a hedge fund manager if the building cash flows Your landlord's building probably looks something like this: Rent he collects from all units: $4,800/month His mortgage payment: $2,100/month Ratio: 2.28 The bank saw a building that makes more than double its mortgage payment and rubber-stamped the application. His job, his income, his savings, his debt... none of it mattered. The building is the borrower. He just signed the paperwork Compare this to what happens when YOU try to buy a house to live in: You hand over 2 years of tax returns. 2 years of W-2s. 6 months of bank statements. They call your employer to verify you still work there. They calculate your debt-to-income ratio. They question a $500 Venmo from your buddy last March. Then they take 30 days to decide and half the time they say no Your landlord skipped all of that And here's the part that'll really piss you off: the rent YOU pay is the thing that got HIM approved. The bank looked at his building, saw that tenants were already paying $4,800/month, and said "this building qualifies." Your money is his credit application He doesn't need a down payment from his savings either. Some landlords put down 20% from credit cards. Some use cash from a previous deal. Some partner with someone who has cash and split the building 50/50. The down payment on a $300,000 building is $60,000. That's a Toyota Highlander. People finance more than that to drive to work every day I own 42+ rental units. I refinanced every single one with a cash out refinance DSCR loan. Nobody has ever asked me for a W-2. Nobody has ever called an employer because there is no employer to call. Each building qualified on its own. The rent covered the mortgage. The bank said yes. I moved on to the next one The lenders that do this: Kiavi, Lima One Capital, Visio Lending, RCN Capital. Dozens of them. All online. Pre-qualified in 48 hours Your landlord is not smarter than you. He's not richer than you. He's not more connected than you. He just found out about a loan product that approves buildings instead of people And now your rent is his retirement plan

It’s apparent you have a hard-on for the stock market and I respect that. The stock market doesn’t have these: appreciation, rent increases which puts even more money in my pocket, tax benefits, principal pay down etc. I make a heck of a lot more doing real estate while having actual assets than I ever did with Amazon.

@REIMakayla @ReezyResells It’s objectively a bad investment. Run a NPV calculation Risk free rate is 3.5% You’re taking on a boat load of risk for 2.6% Take on some risk, invest in the market and you’ll get 10% Hell, you’re telling me 128k in product to flip on Amazon wouldn’t earn you more in a year?

@NinePoundGames @ReezyResells And also, I’ve never sold one of my rentals and don’t ever plan on it. Doesn’t make a whole lot of sense when I have $0 in a lot of them 🤷‍♀️

@REIMakayla @ReezyResells You’ve sold them before??? In your own words, why would you sell a money printer??? Somthing must be wrong with the printer I guess. 🤷‍♂️

@NinePoundGames @ReezyResells that’s probably why I sell so many houses here at top dollar 😂

@ReezyResells @REIMakayla “But it appraised at 200k” Yeah, and just like the lady before her, it’s in an undesirable neighborhood, she won’t get top dollar when she wants to offload the property.

@NinePoundGames @ReezyResells Whatever your think my man 🫡

@ReezyResells @REIMakayla Don’t buy the gimmicks. The bank didn’t pay her a dime. She took out a loan against the house. She’s paying the bank.

@UnWokeAudio How much would you like to wager on this bet? You donate $100 to a charity of my choice if I’m telling the truth? And if I’m lying, I’ll donate $100 to a charity of your choice?

@REIMakayla You know what I mean. Get real. Those with 42 rental properties don’t have to sell on Twitter.

@UnWokeAudio Didn’t realize that limited me from making X posts 🫤 I’ve made a lot of money and connections through social media. Maybe you should give it a try!

@REIMakayla If you’ve done this and you own 42+ rental units, why are you on here trying to get people to click on your posts? Think folks.

The bank gave me back more money than I paid for the house I bought a house for $97,000. Renovated it for $31,000. Total invested: $128,000 Six months later the bank handed me $153,750 I kept the house. I kept the tenants. The government pays me $1,375/month to own it. I have zero of my own dollars left in the deal I know this sounds like I'm lying. I would have thought I was lying too before I understood how this works It's called the BRRRR method. Buy, Renovate, Rent, Refinance, Repeat. Not new. Investors have been doing this for decades. But nobody explains it to normal people because it sounds like a scam and the people doing it don't want competition Here's the deal from start to finish: I found a 3-bedroom in Ohio through a wholesaler. Ugly house. Carpet from 1997. Kitchen that looked like a crime scene. The owner's daughter had inherited it after her mom passed and she lived in California and wanted nothing to do with a house in Ohio. She wanted cash and she wanted it fast I offered $97,000. She accepted because I could close in 7 days Renovation took 4 weeks. All cosmetic. I painted every wall. Replaced every floor with vinyl plank. Replaced the kitchen cabinets and put in new countertops and hardware. Updated both bathrooms. New light fixtures throughout. Landscaping and a power wash outside $31,000 total. The house looked like a different property I listed it for rent and got 30+ inquiries in 4 days. A Section 8 tenant got approved at $1,375/month. HUD deposits that directly into my bank account on the 1st. The tenant pays nothing. The government covers everything Then I waited 3 months for what lenders call the "seasoning period" and got the house appraised Appraisal came back at $205,000 I bought it for $97,000 six months ago. Put in $31,000. The appraiser said it's now worth $205,000. I created $77,000 in equity by painting walls and putting in floors. $77,000 that didn't exist before I showed up with a paint roller Then I applied for a DSCR refinance. The lender looked at one thing: does the rent cover the mortgage? Monthly rent: $1,375. Estimated payment: $1,050. Ratio: 1.31. Approved. They never asked about my job, my income, my tax returns, or anything about me as a person Loan amount: $153,750 (75% of appraised value) $153,750 back on a $128,000 investment. That's $25,750 more than I put in. Handed to me as a check. Tax-free because refinance proceeds are classified as debt, not income I walked out of closing owning a house that: - Makes $325/month in cash flow - Has $0 of my money in it - Is being paid for by the federal government - Paid me $25,750 to own it I used that $25,750 to buy the next house. And did the same thing again Now compare this to flipping (what most people think of when they hear "real estate investing"): If I had sold this house instead of keeping it, I would have made about $54,000 before tax. After short-term capital gains at 30%, that's $37,940. Good money. But the house is gone. The income stops forever With BRRRR: I received $25,750 tax-free on day one. The house pays me $3,900/year in cash flow. After 10 years that's $39,000+ in cash flow, $67,000+ in appreciation, plus the $25,750 I already pocketed. Total: $131,000+ And I still own the house Flipping is a paycheck. When you stop, the money stops. BRRRR is a machine. Every house you keep runs without you. Stack 20 of them and you have income that doesn't require your presence I have 42+ units built this way. Most of them I got paid to own. The government pays the rent on the majority. And I started all of this because medical school fell through and I panic-bought a house that lost me $45,000 That crying-in-the-driveway girl now owns more real estate than most people will see in their lifetime. And every single property started the same way: ugly house, cheap renovation, government tenant, bank gives the money back The house that paid me $25,750 to own it is going to pay me $3,900 every year until I die Why would I sell it? It's a machine that prints money while I sleep

@Hstlinghosptlis I didn’t get to where I am without my haters ❤️😂

@REIMakayla Not as easy with rates. I always cheer when over leveraged people tumble.

@trevizo_gabe Only thing I like about the Midwest 🫩

@REIMakayla Find me some of these deals!

I turned down medical school to flip houses My first one I lost $45,000 and cried in the driveway That was 79 houses ago I had the acceptance letter sitting on my kitchen counter when my health collapsed. Multiple leg deformity corrections. Couldn't do the 80-hour weeks that residency requires. So the plan I'd been building since I was 15 just... ended I didn't have a backup plan. I had a public health degree and panic A friend was selling liquidation pallets on Amazon. Random shit. Phone cases, vitamins, kitchen gadgets. I thought it was embarrassing. I did it anyway because I needed student loan money Within 6 months I was making more than my dad. Within a year I had a 7-figure wholesale operation running out of my parent’s house. I was shipping 400 packages a day and sleeping next to towers of boxes Then someone told me I should buy a rental property for the tax write-off. I didn't know anything about real estate. Didn't know what ARV meant. Didn't know what a cap rate was. Didn't even know you were supposed to get the house inspected before you bought it So I bought a house in Ohio for $94,000 sight unseen. Planned to renovate it for $25,000 and rent it out My contractor called me on day 3 of demolition. The septic system was rotted through. The previous owner had been dumping raw sewage into the yard. Replacement cost: $15,000. That blew my budget by $30,000. The carrying costs ate what was left. I sold the house at a loss and sat in my car crying because I'd just flushed everything I'd made on Amazon into a hole in the ground in a state I'd never visited I almost quit. Almost went back to studying for the MCAT. Almost convinced myself that the safe path was the right one and this had been a stupid detour But I didn't quit. I bought a second house. This time I got the fucking inspection That second house I made $34,000 on. The third one I made $41,000. By the tenth I knew more about renovation costs per square foot than most general contractors. By the twentieth I could appraise a house within 5% just by walking through it I'm at 80 now. 80 houses across four states. 35 flips a year plus a rental portfolio that deposits money into my account every month whether I'm working or not The $45,000 loss taught me more than 4 years of medical school would have. The $500 inspection I skipped has saved me over $200,000 since then because I never skipped another one The math on my last deal: bought a 3-bedroom for $97,000 cash. Renovated it for $31,000. Appraised at $205,000. Rented it out to a Section 8 tenant and the federal government now deposits $1,375 into my bank account every month for it. Then I refinanced, pulled out more cash than I put in, and still own the house I didn't plan this career. I planned to be a doctor. But the girl who cried in the driveway of a house she lost money on is now sitting on a portfolio worth more than most doctors will make in a decade of 80-hour weeks The med school letter is still in a drawer somewhere. I keep it to remind myself that the worst thing that ever happened to me was the best thing that ever happened to me I just didn't know it for about two years

looking to connect with wholesalers in Houston, ATL, and Tampa markets buying 12 deals this month alone 💰 shoot me a message and let’s make some money 🙂‍↔️

Anyone wholesaling out of Atlanta area? Looking to buy heavy and want to work with some killers 👀

My 2025 wrapped 🙂‍↔️ 7 in-house crews 62 units purchased to date (plus 2 OH, 1 WV, 6 FL, 1 GA, and a development project under contract) up to 35 rental properties expanded into FL market 3 million in private money raised year 3 is about to be explosive 🚀