CalculateRealEstateROI

Calculator Guide

BRRRR Calculator

BRRRR works only when the refinance recovers most or all of your original cash. The calculator models the entire cycle — from purchase through refinance — so you know exactly what's left in the deal.

Ready to run the numbers?

Open the BRRRR Calculator →

Inputs

  • Purchase Price. Cash purchase or hard-money basis.
  • Rehab Budget. Total renovation cost including holding costs.
  • After-Repair Value (ARV). Conservative post-rehab market value, based on sold comps.
  • Refi LTV %. Loan-to-value at refinance — usually 70–75% for investment properties.
  • Post-Refi Rent & Expenses. Stabilized operating numbers after the rehab.

Outputs

  • All-in Basis. Purchase + rehab + closing costs.
  • Refinance Proceeds. ARV × LTV — the cash you pull out.
  • Capital Left in Deal. All-in basis minus refi proceeds — your remaining equity at risk.
  • Post-Refi Cash Flow. Stabilized monthly cash flow with the new mortgage.

Best Practices

  • Underwrite ARV from 3 sold comps within ½ mile and 6 months.
  • Plan for 75% LTV refi even if 80% is available — gives margin.
  • Confirm seasoning requirements with your refi lender BEFORE closing.

Common Pitfalls

  • Inflated ARV is the #1 BRRRR killer.
  • Rehab budget overruns of 20%+ are normal — pad accordingly.
  • Forgetting holding costs (taxes, insurance, utilities, interest) during rehab.

Frequently Asked Questions

What's a successful BRRRR?
Recovering 80%+ of capital is strong; 100%+ (infinite return) is the goal but rare in today's market.