BRRRR Strategy Calculator

About this calculator

BRRRR — Buy, Rehab, Rent, Refinance, Repeat — is a real estate investing loop where an investor buys a distressed property below market value, renovates it to raise its after-repair value (ARV), rents it out, then refinances based on the new ARV to pull cash back out and use it for the next deal. The cash left trapped in the deal is purchase price + rehab costs + holding costs − cash-out refinance loan amount (the refinance loan is typically 70–75% of ARV).

Investors run this math before committing to a deal because the whole strategy depends on getting most or all of the initial capital back out through the refinance — if too much cash stays trapped, the investor cannot repeat the process on the next property, and the cash-on-cash return on the remaining money left in the deal determines whether it was worth the risk.

This calculator takes your purchase price, rehab and holding costs, ARV and refinance terms and returns the cash left in the deal after refinancing along with the resulting cash-on-cash return, so you can judge a deal before you close on it.