BRRRR Calculator
Buy, rehab, rent, refinance, repeat. Track every dollar from closing to the cash-out refi, then see if the rental still earns its keep on the bigger loan.
Ideas for you
Load a Texas scenario, then make it yours. Every number updates as you type.
The deal
Pencils out
$145,150 of your $148,700 comes back. $3,550 stays in.
- The refinance returns 98% of the cash you brought.
- Nets $312 a month on the new loan.
- Income after running costs covers the new payment 1.30x.
Cash flow goes negative at a refinance rate above 10.30%.
Today: 7.38%. Breaking point: 10.30%.
Stress test: where it breaks
One input at a time, everything else held where you set it. The last column is where the money runs out.
| Input | Today | Breaks at |
|---|---|---|
| Rent | $2,495 | $2,076 |
| Refinance rate | 7.38% | 10.30% |
| Appraisal | $199,000 | $154,167 |
Where your cash goes
Everything it costs to get to the refinance, and what the new loan pays back.
- Purchase price
- $104,000
- Purchase closing costs
- $3,400
- Rehab
- $38,500
- Holding costs (5 mo)
- $2,800
- All-in cost
- $148,700
- Refinance loan (75% of $199,000)
- -$149,250
- Refinance closing costs
- $4,100
- Cash left in the deal
- $3,550
Monthly, after the refinance
- Scheduled rent
- $2,495
- Vacancy allowance
- -$150
- Rent collected
- $2,345
- Property tax
- -$358
- Insurance
- -$158
- Repairs
- -$150
- Replacements (capex)
- -$125
- Management
- -$211
- Before the loan (NOI)
- $1,343
- New mortgage (principal & interest)
- -$1,031
- Monthly cash flow
- $312
What this means
Most BRRRR refinances are DSCR or conventional investment loans. Ask about seasoning before you buy: some lenders refinance on the appraised value right away, others use your purchase price plus rehab until six or twelve months have passed.
These results are estimates for educational purposes only and do not constitute a credit decision or loan approval.
Following your cash through a BRRRR
Your cash goes in at purchase and during the rehab. It comes back when a long-term lender refinances on the new appraised value. Two numbers decide the deal: how much of your money the refi returns, and whether the rent still carries the larger loan.
Cash left in = All-in cost − (refi loan − refi closing)
- All-in cost: price, rehab, both sets of closing costs, the months you hold it, and any short-term loan interest and points.
- Refinance loan: a share of the appraised value after rehab (the ARV), usually 70% to 80%.
- Cash flow: rent after vacancy and running costs, minus the new mortgage payment.
Buy a Beaumont fixer for $104,000, put $38,500 into it, hold five months, appraise at $199,000, refinance at 75% and 7.375%, lease for $2,495.
- All-in cost
- $148,700
- Refinance loan (75%)
- $149,250
- Refi closing costs
- -$4,100
- Cash back
- $145,150
- Cash left in
- $3,550
Nearly 98% of the cash comes back and $50,300 of equity is built. On the new loan it nets about $312 a month with 1.30x coverage. A refi rate above about 10.3% would turn cash flow negative.
How Kwalifai grades a BRRRR
Capital recycled, rent still pays
At least 75% of your cash comes back, it makes money every month, and rent covers the new payment 1.25x after running costs.
Good hold, slow recycler
It makes money, but too much cash stays in, or the new payment is only barely covered. Good rental, slow way to fund the next one.
No equity, or negative on the new loan
The rehab doesn’t add enough value to refinance against, or the property loses money once the new loan is in place.
Where BRRRRs go sideways
Wishful comps
Your refi is sized off the appraiser’s number, not yours. Pull closed sales of finished houses on similar streets and plan on the low end.
Ignoring seasoning
Some lenders size the loan off your purchase price plus rehab until you have owned it 6 to 12 months. Ask before you buy, not after the rehab.
Refi costs off the books
Title, appraisal, and lender fees on the long-term loan come straight out of the cash you were counting on.
Rate creep
Rates can move during a 4 to 6 month rehab. A higher refi rate shrinks cash flow on the bigger loan.
BRRRR questions, answered
Still unsure how a lender will see your deal? Ask Lowi AI for a scenario review.
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Multifamily
Rent roll in, building-level returns out. Duplex to 75 units.
Line up the refinance before you buy.
Lowi AI can walk through DSCR and conventional cash-out options, seasoning rules, and what your ARV needs to be. No credit check to start.
These results are estimates for educational purposes only. They are not financial, investment, tax, or legal advice, and they are not a credit decision, loan approval, or commitment to lend. Verify every figure, including rents, taxes, insurance, and rehab costs, before making a decision. Kwalifai is a technology platform. Mortgage services are provided by a licensed loan originator (NMLS #2528067), licensed in Texas, enrolled with Ensure Home Loans LLC (NMLS #1666674).