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## BRRRR Calculator

Enter purchase, rehab, ARV, and refinance terms to see how much cash the refinance returns, what stays stuck in the deal, and whether the property cash flows after the new loan.

### Your numbers

| Field | Value |
| --- | --- |
| Purchase price | $ |
| Purchase closing costs | $ |
| Rehab budget | $ |
| Holding costs during rehab | $ |
| Taxes, insurance, utilities, and loan carry while the property is down | $ |
| After repair value (ARV) | $ |
| Monthly rent after stabilization | $ |
| Vacancy rate | % |
| Monthly operating expenses | $ |
| Property management | % |
| Refinance LTV | % |
| Refi interest rate | % |
| Refi loan term | yrs |
| Refi closing costs | $ |

### What is a BRRRR calculator?

A BRRRR calculator models the buy, rehab, rent, refinance, repeat strategy: it totals your all-in cost (purchase, rehab, holding), sizes the cash-out refinance from the after-repair value (ARV) and lender LTV, and shows how much capital you recover, how much cash stays in the deal, and whether rent covers the new mortgage.

### How investors usually read these numbers

| Metric | Often strong | Watch out | Why it matters |
| --- | --- | --- | --- |
| Capital recovered | 90% to 100%+ | Below 70% | The point of BRRRR is recycling capital into the next deal. Low recovery means the deal behaves like a normal rental purchase. |
| Cash left in deal | Under $10,000 | More than a normal down payment | If the refi leaves more cash stuck than a 20% down payment would have, the rehab risk was not rewarded. |
| Post-refi DSCR | 1.1x to 1.25x+ | Below 1.0x | DSCR lenders size cash-out refis on coverage. Below 1.0x usually means a smaller loan or a denial. |
| All-in cost vs ARV (75% rule) | At or below 75% | Above 80% | Buying plus rehab at 75% of stabilized value is what lets a 75% LTV refi return all your capital. |
| Post-refi monthly cash flow | $100+ | Negative | The property must stand on its own after the new loan, or the recycled capital comes at the cost of monthly losses. |

### How to run a brrrr analysis

1. **Enter acquisition and rehab numbers**  
   Add purchase price, closing costs, rehab budget, and holding costs during the renovation. Together these are your all-in cost.
2. **Set the ARV**  
   Use conservative comps for the stabilized, post-rehab value. The refinance is sized from this number, so do not use the best-case comp.
3. **Set refinance terms**  
   Most cash-out refis allow 70% to 75% LTV. Enter the rate, term, and refi closing costs your lender quotes.
4. **Add stabilized rent and expenses**  
   Enter post-rehab market rent, vacancy, operating expenses, and management so the calculator can test the new mortgage against real income.
5. **Read cash left in deal and post-refi cash flow**  
   The headline numbers are how much capital the refi returns and whether the property still cash flows.
6. **Check the 75% rule**  
   If all-in cost is at or below 75% of ARV, the deal fits the standard BRRRR buy box and most or all of your cash should come back out.

### Key terms in plain English

- **BRRRR**: Buy, rehab, rent, refinance, repeat. A strategy where an investor buys a distressed property, renovates it, rents it out, then does a cash-out refinance against the new appraised value to recover most or all of the invested capital.
- **ARV**: After repair value. This is what the property should appraise for once the rehab is complete.
- **Cash-out refinance**: A new, larger loan that returns cash at closing. It replaces the purchase financing with a new loan based on the property's current appraised value.
- **Cash left in deal**: The capital still tied up after the refinance; everything spent to buy, rehab, and hold the property minus what the cash-out refinance returned.
- **Seasoning period**: Required ownership time before refinancing at ARV, which varies by lender.

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### People also ask

1. **What is a BRRRR calculator?**  
   A tool that totals your all-in costs and sizes the cash-out refinance from ARV.
2. **How does the BRRRR strategy work?**  
   You buy a distressed property, renovate it, rent it out, and then take a cash-out refinance against the new value.
3. **What does "cash left in deal" mean?**  
   The remaining capital tied up in a property after refinancing.
4. **What is a perfect BRRRR?**  
   A situation where a BRRRR recovers 100% or more of the invested capital at the refinance.
5. **What is the 75% rule in BRRRR?**  
   Your total investment should not exceed 75% of the after repair value.