BRRRR Calculator
Buy, Rehab, Rent, Refinance, Repeat. See how much cash you can recover via cash-out refinance and what your true return looks like once your initial capital is recycled into the next deal.
The BRRRR strategy in one paragraph
Buy a distressed property with hard money or a short-term loan. Renovate to market-ready or near-market condition. Rent it out at market rate. Refinance into a long-term DSCR or conventional investor loan once seasoned (typically 6 months). The cash-out from the refinance ideally returns most or all of your initial down payment + rehab + closing costs — letting you Repeat with the recycled capital.
Why the math is hard
The deal only works if your After-Repair Value (ARV) is high enough that the refinance LTV produces a loan amount equal to or greater than your total cash in. Lenders cap cash-out LTV on investment properties at 70-75% in most cases. Deals get killed by overestimating ARV, underestimating rehab, or having rehab take longer than planned (which compounds holding costs).
Disclaimer: Estimates only. ARV must be verified by comparable sales. Lenders require seasoning (typically 6-12 months) before cash-out refi. Not financial advice.