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Hello Investors,

🔥 THIS WEEK

  • KC BRRRR: Get PAID $3,310 to own $205K property producing $126/month

  • Sacramento 6-Unit: Strong 11.2% CoC ($2,602/mo) with lean 23.6% expenses

  • North Vegas 5-Unit: Weak 5% CoC needs $30K rehab → 10.3% stabilized

  • KC Brighton 18-Unit: Beautiful 2020 Class A but terrible 4.4% CoC at $784K down

🔥 Kansas City Bales BRRRR - GET PAID $3,310 TO OWN IT

📍 6727 Bales Ave, Kansas City, MO 64132
💰 Purchase: $98,000 | Rehab: $49,500 | ARV: $205,000
🏠 Property: 3BR/2BA, 1,510 SF, Near Swope Park/KC Zoo
🏦 Cash Out at Refi: $20,950 | Net: Get PAID $3,310 | Infinite CoC

BRRRR Mechanics:

Phase 1: Buy & Rehab

Purchase Price

$98,000 ($65/SF)

Hard Money (90%)

$132,800

Down Payment (10%)

$14,700

Closing Costs

$2,940

Rehab Budget

$49,500 ($33/SF)

Holding (3 months)

$3,807

Total Cash In

$17,640

Phase 2: Refinance

ARV

$205,000 ($136/SF)

Refinance @ 75% LTV

$153,750

New Rate

6.8% for 30 years

Pay Off Hard Money

$132,800

Cash Out to You

$20,950

Less Initial Investment

$17,640

Net Position

-$3,310 🔥

Post-Refinance Performance:

Infinite Return Reality

Monthly Rent

$1,460

Operating Expenses (18.6%)

$258/month

New Loan Payment

$1,002/month

Monthly Cash Flow

$126

Annual Cash Flow

$1,515

Cash Left in Deal

-$3,310

Cash-on-Cash Return

INFINITE ∞

Forced Equity Creation: $205K ARV minus $98K purchase minus $49.5K rehab = $57,500 instant equity (28% of property value)

30-Year Wealth Trajectory: Year 1 cash flow $1,515 grows to Year 10 $9,796, Year 20 $19,622, Year 30 $34,261 with total profit $1,179,613 - all from NEGATIVE $3,310 initial position

Location Strength: Near Swope Park, KC Zoo, Starlight Theater creating family-friendly demand with easy highway access and strong rental fundamentals

109% ARV Gain: Buying at $65/SF and creating $136/SF value through $33/SF cosmetic rehab demonstrates massive spread enabling full capital extraction

Risk Factors: $49,500 rehab budget tight requiring 10% contingency buffer, must verify $205K ARV with local comps, $1,460 rent needs validation, 3-month timeline critical to minimize $1,156/month interest carry

Recommended Strategy: Textbook BRRRR execution - verify ARV with 3-5 comps, get contractor bids pre-close, pre-qualify for 6.8% refi, target 90-day renovation, repeat with extracted $20,950 cash

What investment is rudimentary for billionaires but ‘revolutionary’ for 70,571+ investors entering 2026?

Imagine this. You open your phone to an alert. It says, “you spent $236,000,000 more this month than you did last month.”

If you were the top bidder at Sotheby’s fall auctions, it could be reality.

Sounds crazy, right? But when the ultra-wealthy spend staggering amounts on blue-chip art, it’s not just for decoration.

The scarcity of these treasured artworks has helped drive their prices, in exceptional cases, to thin-air heights, without moving in lockstep with other asset classes.

The contemporary and post war segments have even outpaced the S&P 500 overall since 1995.*

Now, over 70,000 people have invested $1.2 billion+ across 500 iconic artworks featuring Banksy, Basquiat, Picasso, and more.

How? You don’t need Medici money to invest in multimillion dollar artworks with Masterworks.

Thousands of members have gotten annualized net returns like 14.6%, 17.6%, and 17.8% from 26 sales to date.

*Based on Masterworks data. Past performance is not indicative of future returns. Important Reg A disclosures: masterworks.com/cd

Sacramento Kenwood 6-Unit - 11.2% COC CASH COW

📍 1705 Kenwood St, Sacramento, CA 95815
💰 Price: $998,000 ($166,333/unit)
🏠 Property: 3 Studios + 3×2BR/1BA, Hagginwood Location
🏦 Year 1 CF: $31,233/yr (11.2% CoC) | Cap: 9.1%

Key Metrics:

Critical Numbers

Down Payment (25%)

$249,500

Total Cash Required

$279,440

Pro Forma NOI

$90,990

Year 1 Cash Flow

$31,233 ($2,602/mo)

Year 1 CoC

11.2%

True Cap Rate

9.1%

Expense Ratio

23.6%

Debt Coverage

1.52x

Ultra-Lean Expense Structure: 23.6% operating costs exceptional due to separate gas/electric meters ($0 utilities), no HOA fees, no landscaping costs, minimal common areas creating institutional-level efficiency at small scale

Pro Forma Rent Reality: $10,450/month ($125,400/year) represents 23% increase over current requiring verification this achievable at market - critical due diligence determining deal viability

Strong Fundamentals: 1.52x debt coverage can absorb 34% income drop, 9.1% cap rare for Sacramento (most 5-7%), 70.1% break-even ratio creates safety margin for economic downturns

10-Year Wealth Building: $2,602/month Year 1 grows to $5,056/month Year 10 (21.7% CoC), cumulative $485K cash flow plus $556K equity buildup = $1,041K total return on $279K investment

Sacramento Market Strength: State capital stable employment, growing tech presence, affordable Bay Area spillover demand, strong schools attract family renters creating durable fundamentals

Value-Add Opportunities: RUBS implementation adds $3,600-5,400/year (infinite ROI), unit renovations $3-5K each generating $100-150/month increases, coin laundry $1,200-2,400/year, storage rentals additional income

Risk Level: MEDIUM - Hagginwood working-class location higher crime, pro forma rents 23% above current requires aggressive verification, $279K capital commitment substantial

Recommended Strategy: CRITICAL - Verify $10,450/month achievable through market comps before proceeding, if current rents significantly lower understand gap timeline, strong buy at verified pro forma

North Vegas Carroll 5-Unit

📍 2536 Carroll St, North Las Vegas, NV 89030
💰 Price: $695,000 ($139,000/unit)
🏠 Property: 1×3BR, 1×2BR Renovated + 3×1BR Original Condition
🏦 As-Is CF: $9,653/yr (5% CoC) | Stabilized: $19,961/yr (10.3% CoC)

Key Metrics:

Critical Numbers

Down Payment (25%)

$173,750

Total Cash Required

$194,600

Current Rent

$5,350/month

Pro Forma Rent

$6,000/month

Year 1 Cash Flow (As-Is)

$9,653 ($804/mo)

Year 1 CoC (As-Is)

5.0%

True Cap Rate

7.2%

Expense Ratio

26.6%

Value-Add Required:

Renovation Strategy

Renovate 3 Original 1BR Units

$30,000 ($10K each)

Rent Increase

+$450/month

RUBS Implementation

+$259/month savings

Laundry Income

+$150/month

Total Monthly Upside

$859

Stabilized Annual CF

$19,961 ($1,663/mo)

Stabilized CoC

10.3%

Two Units Already Done: 3BR and 2BR fully renovated reducing work scope, but 3 original 1BR units need $8-12K each creating $30K immediate capital requirement beyond $194,600 down payment

Weak Year 1 Problem: 5% CoC unacceptable for active investment - barely beats high-yield savings, requires $30K additional capital and 6-12 months execution patience to reach acceptable 10.3% returns

Current vs Pro Forma Gap: $5,350 actual versus $6,000 pro forma = $650/month ($7,800/year) suggesting natural turnover will increase rents, but renovation accelerates timeline

Owner Pays Utilities: $3,107/year water/sewer/trash expense creates RUBS implementation opportunity billing back to tenants adding immediate income with zero capital

North Vegas Location Reality: Working-class area with higher crime versus Henderson/Summerlin but strong rental demand from warehouses/logistics jobs, casino workers, affordability versus California spillover

Risk Level: MEDIUM-HIGH - Requires total $224,600 capital ($194,600 + $30K), 5% Year 1 return unacceptable creating dead money period, tight 1.24x debt coverage, must execute renovations for viability

Recommended Strategy: CONDITIONAL - Only buy if comfortable with $225K total capital, can execute $30K renovations, willing to accept 5% Year 1 while building to 10%+ Year 2-3Deep Dive Analysis

KC Brighton 18-Unit

📍 5711 NE 80th Ter, Kansas City, MO 64119
💰 Price: $2,800,000 ($155,556/unit)
🏠 Property: 12×1BR + 6 Studios, Built 2020, Class A Turnkey
🏦 Year 1 CF: $34,707/yr (4.4% CoC) | Down: $784,000

Key Metrics:

Critical Numbers

Down Payment (25%)

$700,000

Total Cash Required

$784,000

Pro Forma NOI

$162,380

Year 1 Cash Flow

$34,707 ($2,892/mo)

Year 1 CoC

4.43%

True Cap Rate

5.8%

Expense Ratio

33.5%

Debt Coverage

1.27x

Premium for Quality Problem: Beautiful 2020 Class A construction with professional management, 100% occupancy, 66% NOI margins BUT producing only 4.43% return on massive $784K capital investment

Institutional Asset Individual Returns: This works for pension funds accepting sub-5% current returns for appreciation and stability, completely wrong for individual wealth-building investors needing 8-12% CoC

Kansas City Market Strength: KC leading national rent growth 3.1% annually, new deliveries down 57% YoY tightening supply, strong employment corridor near Downtown/Airport creating fundamentals

Year 10 Growth Trajectory: 4.43% Year 1 grows to 7.81% Year 5 and continues scaling, representing patient long-term play not aggressive wealth building requiring decade+ patience

Opportunity Cost Analysis: Same $784K deployed into 7-8 Kansas City value-add 6-8 unit properties at 10-12% CoC produces $78-94K annual versus this $34K = $44-60K annual sacrifice for "quality"

Price Adjustment Required: Property needs $2,550,000 pricing (not $2,800,000) to achieve acceptable 6% Year 1 CoC = $250K discount ($13,889/unit reduction) using insurance/tax increases as leverage

Risk Level: LOW operational (turnkey Class A, zero maintenance, stable tenants) but EXTREME opportunity cost (4.43% return on $784K versus 10%+ alternatives unacceptable)

Recommended Strategy: HARD PASS - Redeploy $784K into multiple BRRRR cycles producing infinite returns or value-add multifamily at 10%+ CoC, this represents wealth preservation not wealth creation

Disclaimer: The content provided through Dealsletter, including investment metrics, property analysis, and rewards materials, is for informational and educational purposes only. It does not constitute financial, legal, or investment advice. Always conduct your own due diligence or consult a licensed professional before making any investment decisions. Dealsletter assumes no responsibility for any financial outcomes resulting from actions taken based on the information provided.

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