BRRRR Method Calculator

Buy, Rehab, Rent, Refinance, Repeat. Calculate exactly how much of your own money will be "stuck" in the deal after the refinance.

Usually 70-75%
Capital Left In Deal
$-17,500

🚀 Perfect BRRRR! You pulled all your money out.

Total Cash Invested (Buy + Rehab)$1,40,000
New Loan Amount (Cash Out)$1,57,500
Monthly Cash Flow (After 40% Exp & Mort)$32
Cash on Cash ROIInfinite %
The Goal of BRRRR: The objective is to force so much appreciation through the rehab phase that when the bank gives you a 75% LTV loan on the new ARV, that loan amount is large enough to completely pay you back for your Purchase Price and Rehab costs.

What is the BRRRR Method?

The BRRRR method is a real estate investment strategy made famous by BiggerPockets. It allows investors to build a massive portfolio of rental properties using the exact same pool of initial capital over and over again.

Step 1: Buy

You buy a distressed property below market value. Typically, this is done with cash or a short-term hard money loan, because banks won't lend on unlivable houses.

Step 2: Rehab

You renovate the property to bring it up to neighborhood standards, forcing the value of the home (ARV) to skyrocket.

Step 3: Rent

You place a tenant in the newly renovated property. Banks want to see signed leases and steady rental income before they will refinance the property.

Step 4: Refinance

You go to a bank and do a "Cash-Out Refinance". The bank appraises the newly renovated house (the ARV) and gives you a new 30-year mortgage for 70% to 75% of that new value.

Step 5: Repeat

If you bought and rehabbed the house correctly, the cash the bank gives you will be enough to completely pay off your initial purchase and rehab costs. You now own a cash-flowing rental property with $0 of your own money left in the deal (an infinite ROI). You take your original capital and go buy the next house.

Frequently Asked Questions

What is the BRRRR Method Calculator?

The BRRRR Method Calculator is a free online tool designed to help you evaluate your brrrr real estate deal and calculate your capital left in the deal after refinance.

How much does the BRRRR Method Calculator cost?

Our BRRRR Method Calculator is 100% free to use. We do not require any signups, subscriptions, or credit cards.

Is my data safe when using this tool?

Yes. All calculations are performed locally in your web browser. We do not store or save your financial data or inputs on our servers.