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BRRRR calculator

Buy, Rehab, Rent, Refinance, Repeat. See how much of your cash the refinance gives back, and what the deal earns afterwards.

Results

All-in cost–

Your cash in (before refi)–

Refinance loan–

Net refi proceeds–

% of your cash recovered–

Cash pulled out above your cash in–

Equity left in the property–

Monthly cash flow after refi–

Cash-on-cash after refi–

70% rule max offer–

Cash left in the deal–

How the BRRRR numbers work

All-in = price + closing + rehab + holding costs
Refinance loan = ARV × LTV
Net refi proceeds = refi loan − refi closing costs − payoff of the purchase loan
Cash left in = your cash in − net refi proceeds (never below zero)

Example (defaults): $100,000 purchase, $3,000 closing, $40,000 rehab and $2,000 of holding costs come to $145,000 all-in, paid in cash. The house appraises at $200,000, and a 75% LTV refinance gives a $150,000 loan. After $4,000 of refinance costs you net $146,000, so all of your cash comes back, plus about $1,000. Cash-on-cash return is "infinite" because none of your money is left in the deal. You still owe $150,000, though, and the new payment (about $998/mo at 7%) leaves around $212 a month of cash flow.

What usually breaks a BRRRR

The appraisal comes in low. Every $10,000 of lost ARV at 75% LTV leaves $7,500 more of your cash in the deal.
Seasoning. Many lenders won't lend on the new appraised value until you've owned the property for a set period. Budget the holding costs.
The rehab runs over budget. It feeds straight into cash left in.
Higher rates. A big refinance loan can turn cash flow negative. Check the post-refi DSCR.

The 70% rule line is a common screen for offers: ARV × 70% − rehab. It's a rule of thumb, not a guarantee.

Related calculators

DSCR calculatorRent ÷ PITIA, rent needed and max loan.Cash-on-cash returnReturn on the cash you actually put in.ROI & IRR calculatorHold-and-sell projection with IRR and equity multiple.

FAQ

What does BRRRR stand for?

Buy, Rehab, Rent, Refinance, Repeat: buy a property below its potential value, renovate it, rent it out, then do a cash-out refinance on the higher value to get your capital back for the next deal.

What LTV do BRRRR refinances use?

Cash-out refinances on investment property commonly lend 70–75% of appraised value, but it varies by lender, loan type, credit and property. Use a real quote where you can.

Is cash-on-cash really infinite if I have no cash left in?

Mathematically yes, because the denominator is zero. But you still carry the debt and the risk, so look at monthly cash flow, DSCR and equity too.