BRRRR calculator: how much cash is left in the deal?
BRRRR stands for buy, rehab, rent, refinance, repeat. You buy a run-down property, renovate it, let it, then refinance on the higher value so the new loan repays the short-term money and returns some or all of your cash to use on the next deal. This BRRRR calculator shows whether that actually happens with your numbers: the all-in cost, the cash you put in, the refinance proceeds, the cash left in the deal, the new cash flow and the equity you keep.
Hard money, bridging and private loans are modelled directly (interest-only, with points and a holding period), and so is an all-cash start. Examples for the US, UK and Australia load local costs. The result depends heavily on the after-repair value you enter, so treat it as an estimate, not advice.
How to use the BRRRR Calculator
- Choose your Country, then enter the Purchase price, buying costs, Rehab budget and your best After-repair value.
- Describe the short-term loan: how much of the purchase and rehab it covers, its rate, points and how many months it runs. Set 0% if you pay cash.
- Enter the refinance terms: loan-to-value, rate, term and costs.
- Enter the rent and running costs of the finished property.
- Read the cash left in the deal, monthly cash flow and cash-on-cash return, and check the maximum purchase price.
BRRRR Calculator features
Cash left in the deal
Cash invested minus the cash back from the refinance, including loan payoff and refinance costs.
Short-term finance built in
Interest, points and holding costs over the months until you refinance.
Infinite return case
If the refinance returns all your cash, the return on cash left is shown as unlimited.
Maximum purchase price
The price at which no cash would remain in the deal.
Rental pro-forma
NOI, loan payment, cash flow and equity once the property is refinanced and let.
The BRRRR formulas
All-in cost = purchase + buying costs + rehab + short-term interest and fees + holding costs. Cash in = all-in cost − short-term loan. Refinance loan = ARV × refinance LTV. Cash back = refinance loan − short-term loan payoff − refinance costs, and Cash left = cash in − cash back.
Example: buy at $150,000, rehab for $40,000, ARV $260,000. A hard money loan covers 85% of the purchase and all of the rehab ($167,500) at 11% for six months with 2% points, so interest is $9,212.50 and points $3,350. With $3,000 of buying costs and $4,200 of holding costs, the all-in cost is $209,763 and you put in $42,263. A 75% refinance loan on $260,000 is $195,000; after repaying $167,500 and 2.5% costs ($4,875) you get $22,625 back, leaving $19,638 in the deal. Rent of $2,100 gives an NOI of $16,628, the 7% payment is $1,297.34 a month and cash flow is about $88 a month, a 5.4% cash-on-cash return on the cash left, with $65,000 of equity.
The maximum purchase price that would leave nothing in this deal is about $131,880.
| Step | Amount |
|---|---|
| All-in cost | $209,763 |
| Cash put in before refinance | $42,263 |
| Refinance loan (75% of ARV) | $195,000 |
| Cash back at refinance | $22,625 |
| Cash left in the deal | $19,638 |
What can go wrong
- The appraisal decides the refinance. If it comes in below your ARV, cash stays in the deal.
- Costs and time overrun; a longer hold adds interest and holding costs every month.
- Rates at refinance may be higher than today, which reduces cash flow.
- Lenders may require a seasoning period before they will lend on the new value.
- For a sale rather than a hold, use the house flipping calculator; for the finished rental, the cash flow calculator.
BRRRR Calculator FAQ
What does BRRRR stand for?
Buy, rehab, rent, refinance, repeat: buy a distressed property, renovate it, rent it out, refinance on the higher value and reuse the cash on the next property.
What is the 70% rule for BRRRR?
A common guide is to pay no more than 70–75% of the ARV minus rehab costs. The calculator shows the all-in cost as a percentage of ARV so you can compare it with the refinance LTV.
What is a good BRRRR deal?
One where the refinance returns most or all of your cash, the rent covers the new payment and costs, and there is a margin if the appraisal or rehab budget is off.
Does this work with a hard money loan or bridging loan?
Yes. Enter the percentage of purchase and rehab the loan covers, its yearly rate, points and months. Interest is charged on the full loan for the whole period, which is slightly cautious.
Why is my cash left in the deal negative?
It means the refinance returned more than you invested. The page shows the amount pulled out and treats the cash-on-cash return as unlimited when cash flow is positive.
Is this calculator financial advice?
No. It applies standard formulas to the figures you enter. Taxes, lender rules and market values vary, so check with a lender and an adviser.