Property investing, when done right, can be one of the most powerful vehicles for building long-term wealth. One of my go-to strategies is the Buy Refurbish Refinance model, often known as BRR. It’s simple in theory but incredibly effective in practice. In this post, I’ll break down one of my recent projects that pulled in over £80,000 profit and continues to bring in strong monthly cash flow. And the best part? I still own the property.
This approach is all about recycling your capital, keeping hold of the asset, and generating ongoing income, which helps scale your portfolio faster without needing huge amounts of fresh capital every time.
The Buy Refurbish Refinance (BRR) Strategy Explained
Before we dive into the deal itself, let’s quickly recap what the BRR model involves:
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Buy a property, ideally below market value or in need of improvement
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Refurbish it to increase the property’s value and rental appeal
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Refinance based on the new, higher valuation to pull out much (or all) of your initial investment
This strategy allows you to keep building your portfolio while recycling the same pot of cash from one deal to the next.
The Numbers: What This Deal Looked Like
Here’s how this particular project stacked up:
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Purchase Price: £125,000
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Refurbishment Costs: £30,000
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New Valuation After Works: £240,000
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Profit (Equity Uplift): Around £80,000
Once the refurbishment was complete, I had the property revalued and refinanced. This allowed me to withdraw a large portion of my capital, freeing it up for the next investment.
What the £30,000 Refurbishment Included
This was a full renovation, and every pound spent had to work hard. Here's what we did:
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Fitted a brand-new kitchen with modern appliances and finishes
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Completed a full electrical rewire to meet current safety standards
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Installed a stylish, contemporary bathroom to appeal to professional tenants
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Plastered and painted throughout with clean, neutral tones
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Laid new carpets and flooring to give the property a fresh, polished look
The aim was to create something that not only looked the part but was also durable and low-maintenance for years to come.
Monthly Rental Income and Profit
Instead of flipping the property for a one-off gain, I decided to hold onto it and rent it out to contractors. This is part of a high-yield rental strategy that I’ve used across several projects.
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Monthly Rent from Contractors: £3,000
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Monthly Net Profit (after mortgage, bills and maintenance): £2,000
That’s a solid £24,000 per year in ongoing profit from just one asset, with most of my capital already recycled into the next opportunity.
Why BRR is So Effective for UK Property Investors
There’s a reason the Buy Refurbish Refinance strategy is one I continue to use time and time again. It gives you:
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Access to Your Cash Again: By refinancing, you can pull out most of your original funds for future deals
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Long-Term Asset Ownership: You retain the property, so you benefit from capital growth over time
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High Cash Flow Potential: With the right rental model, like contractor lets or HMOs, your income can far exceed standard buy-to-let returns
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Portfolio Growth Without Constant New Finance: You’re not relying on fresh investment every time
If you’re looking to build wealth through property, BRR is a strategy worth mastering.
What Can New Investors Learn From This Deal?
This project is a great example of what’s possible with the right property, a clear plan, and smart execution. For new investors, it highlights a few key lessons:
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Always buy with value-add potential
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Know your numbers inside out before starting
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Budget realistically and leave contingency
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Choose a rental model that maximises returns
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Have a solid refinance plan in place from the start
I go into all of this in much more detail in my training sessions, but even just following these principles can make a huge difference in the success of your next deal.
Final Thoughts
This deal brought in £80,000 in equity and continues to pay me £2,000 a month, with the added bonus that the property is still going up in value. And I’ve already used the recycled capital to move onto the next project.
If you’re serious about building a sustainable property portfolio, the Buy Refurbish Refinance strategy can give you the momentum you need to scale up quickly, safely and profitably.
If you want to learn more about how to make this strategy work for you, keep an eye on my upcoming workshops or reach out via the mentorship programme.
– Steve Doran