BRRRR Calculator
Enter the buy, the rehab and the refinance to see how much cash stays in the deal and what the rental earns after.
Free · runs in your browser · nothing is uploaded
How to use the BRRRR calculator
- Enter the Purchase price you would pay for the property.
- Enter the Renovation budget and the Closing costs at purchase. The example uses 40000 and 4500.
- Enter the Months held before refinance and the Holding cost per month (interest, taxes, utilities). The example is 4 months at 700.
- Enter the After-repair value (ARV) from a comparable sales estimate or an appraisal. The example uses 200000.
- Enter the Refinance loan-to-value, Refinance costs (% of new loan), Interest rate, Loan term (years) and Interest-only loan from your refinance quote.
- Enter the Monthly rent, Other income per month and Vacancy for the rental after the refinance.
- Enter the Property tax per year, Insurance per year and HOA, utilities and other fixed costs per month.
- Enter the Maintenance (% of rent), Capital expenses (% of rent) and Property management (% of collected rent).
- Read the cash left in the deal and the all-in cost as a percent of ARV.
- Read the DSCR and the monthly cash flow after the refinance.
The results update live as you type. The buttons Reset to examples, Copy summary, Download CSV and Print or save as PDF work on the current inputs. The page address holds your inputs, so a link recreates the result. The example figures are defaults for illustration, not market data.
Change one input at a time to see which result moves. The address bar keeps your inputs, so you can bookmark or share a scenario. Reset to examples restores the example values.
BRRRR steps from purchase to cash left in
The calculator follows the money from the purchase to the refinance, so it works as a brrrr refinance calculator for the new loan. It works out the all-in cost, the new loan, the refinance costs, the cash back and the cash left in the deal. The table uses the example inputs.
| Item | Amount |
|---|---|
| Purchase price | $110,000 |
| Renovation budget | $40,000 |
| Closing costs | $4,500 |
| Holding costs | $2,800 |
| All-in cost | $157,300 |
| New loan at refinance | $150,000 |
| Refinance costs | -$3,750 |
| Cash back at refinance | $146,250 |
| Cash left in the deal | $11,050 |
Each line comes from the inputs. Holding costs are $700 × 4 months = $2,800. All-in cost is $110,000 + $40,000 + $4,500 + $2,800 = $157,300. The new loan is the ARV times the refinance loan-to-value: $200,000 × 75% = $150,000. Refinance costs are 2.5% of that loan: $150,000 × 2.5% = $3,750. Cash back is $150,000 − $3,750 = $146,250. Cash left in the deal is $157,300 − $146,250 = $11,050.
What is the all-in cost as a share of ARV?
The all-in cost as a share of ARV is the all-in cost divided by the after-repair value. In the example, $157,300 ÷ $200,000 gives 78.6%. The 75% figure is a target some investors use as a guide, not a rule, and your refinance lender sets its own loan-to-value cap. At 75% of this ARV, the all-in cost would be about $150,000, which is $7,300 below the example’s $157,300.
What does infinite return mean in BRRRR?
An infinite return is the term used when the cash left in the deal is zero or less. That happens when the refinance pays back all the cash you put in. The return on cash left in has no finite value when nothing is left in. The example leaves $11,050 in, so the return is finite. The tool shows $95 of cash flow per month after the refinance, which is $95 × 12 = $1,140 a year. Then $1,140 ÷ $11,050 = 10.3%.
What is the 70% rule in the BRRRR method?
The brrrr 70 rule, also called the 70% rule, sets a maximum offer of ARV × 70% minus the renovation budget. In the example, $200,000 × 70% = $140,000, and $140,000 − $40,000 = $100,000. The example price of $110,000 is $10,000 above that line. It is a rule of thumb, not a lender requirement.
How much money do you need to start BRRRR?
It depends on the purchase price, the rehab, the closing costs, the holding costs and how much the refinance lets you take out. The calculator does not model purchase or rehab financing, so the cash you need before the refinance can be higher than the cash left in. Enter your own numbers to see the result for your deal.
What are the main risks in a BRRRR deal?
Three risks matter most. The appraisal can come in below the ARV you used. Rehab costs can run over the budget. Refinance rates and seasoning rules, which set how long you must own the property before a refinance, differ by lender, so ask each lender. Every extra dollar of rehab raises the all-in cost by one dollar. The refinance loan depends on the ARV, not the cost, so the cash left in rises by the same dollar.
What is the 7% rule for rental property?
The 7% rule is a separate rule of thumb for rental property. This calculator does not test it. The page checks the 70% rule and the 75% target only. For a related rule of thumb, see the 1 percent rule calculator.
Frequently asked questions
What is the 70% rule in the BRRRR method?
The 70% rule sets a maximum offer of ARV × 70% minus the renovation budget. In the example that is $200,000 × 70% − $40,000 = $100,000. It is a rule of thumb, so check your own numbers.
How much money do you need to start BRRRR?
It depends on your purchase price, rehab, closing costs and holding costs, along with what the refinance lets you take out. Enter your numbers in the calculator to see the cash left in the deal. The tool does not model purchase or rehab financing.
What is the 7% rule for rental property?
The 7% rule is a separate rule of thumb, and this calculator does not test it. The page checks the 70% rule and a 75% target instead. Use the 1 percent rule calculator for a related check. The 75% target is a common guide, not a rule.
How much will $100,000 invested be worth in 20 years?
This calculator does not project a lump sum over 20 years. Use a compound growth calculator for that question, since the answer depends on the rate and the years you enter. The BRRRR tool covers one deal from purchase to refinance.
What does BRRRR stand for?
BRRRR stands for buy, rehab, rent, refinance and repeat. This calculator covers one deal through the refinance: it works out the all-in cost, the new loan and the cash left in the deal.
How is the refinance amount calculated in BRRRR?
The new loan is the after-repair value (ARV) times the refinance loan-to-value. In the example, $200,000 × 75% = $150,000, and refinance costs of 2.5% of that loan, $3,750, bring the cash back to $146,250.
How much cash should I leave in a BRRRR deal?
This page sets no target amount. Cash left in is the all-in cost minus the cash back at refinance, $157,300 − $146,250 = $11,050 in the example. A lower ARV or a lower refinance loan-to-value leaves more cash in, so change those inputs to see how far each one moves the result.
Related tools
- rental property calculator: use it for the long-term projection after the refinance.
- dscr calculator: use it to check the coverage of the refinance loan.
- cash on cash return calculator: use it for the return before the refinance.
- 1 percent rule calculator: use it where the 70% rule is also explained.
- investment property calculator: use it to compare this deal with another.
- rental roi calculator: use it for the full return, including equity.