BRRRR calculator (with DSCR refinance)

Buy, rehab with a hard money loan, rent, then refinance into a long-term rental loan. See how much cash stays in the deal and whether the rent covers the new loan. Everything runs in your browser, and nothing you type is saved or sent.

Buy & rehabPurchase price ($)Buying closing costs ($)Rehab budget ($)Months until refinanceUtilities + other while vacant ($/mo)

Hard money loanLoan covers % of purchaseLoan covers % of rehabInterest rate (%/yr, interest-only)Points (%)Flat lender fees ($)

Refinance (DSCR or other rental loan)After-repair value, ARV ($)Refi loan-to-value (%)Refi interest rate (%/yr)Amortization (years)Refi closing costs (% of new loan)

RentalMonthly rent ($)Property taxes ($/mo)Insurance ($/mo)HOA ($/mo)Vacancy (% of rent)Repairs + capex (% of rent)Property management (% of rent)

Cash left in the deal

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Cash you put in before the refi

New refi loan

Hard money payoff

Refi closing costs

Cash back at refi

Before the refi

Hard money interest

Points + lender fees

Holding (taxes, insurance, utilities)

All-in cost

After the refi (monthly)

Principal + interest

Taxes + insurance + HOA

Vacancy, repairs, management

Cash flow

Cash-on-cash return

Equity left in the property

DSCR

Estimate only. It assumes rehab money is drawn at closing and charged interest the whole time, and the refi appraises at your ARV. Compare current hard money rates →

How BRRRR works

BRRRR stands for buy, rehab, rent, refinance, repeat. You buy a property that needs work, usually with a short-term hard money loan that funds part of the purchase and the rehab. Once the work is done and a tenant is in, you refinance into a long-term rental loan based on the new appraised value. The refi pays off the hard money loan, and if the value went up enough, some or all of your cash comes back out to use on the next deal.

What "cash left in the deal" means

It's the cash you put in (down payment, closing costs, points, interest, holding costs, and any rehab the lender didn't fund) minus what the refinance hands back. Zero or negative means you got all your money out. A positive number is what you still have tied up, and it's the number cash-on-cash return is measured against.

What is DSCR?

DSCR (debt service coverage ratio) is how most rental-property lenders check that the rent covers the loan. The common version is monthly rent ÷ monthly PITIA (principal, interest, taxes, insurance, and HOA). A DSCR of 1.00 means the rent exactly covers the payment. Many DSCR lenders want 1.0 or higher, and some price better or lend more at 1.20–1.25 and up. Each lender sets its own minimums and formula, so confirm it before you count on a refi.

Things that break a BRRRR

The appraisal comes in low. Run the calculator with ARV 5–10% lower. If you'd be stuck with a lot of cash in the deal, the margin is thin.
Seasoning rules. Many lenders won't use the new appraised value until you've owned the property for a set number of months. Ask before you buy, and set "months until refinance" to match.
Rates move. A one-point higher refi rate can turn positive cash flow negative. Try a higher rate to see your cushion.
Rehab takes longer. Every extra month adds hard money interest and holding costs, and both come out of your cash.

Shopping the short-term loan? See published starting rates on our hard money rates page and compare quotes with the points vs. rate calculator. Selling instead of renting? Use the flip profit calculator.

Get rate moves every Friday

General information, not financial advice. We are not a lender or mortgage broker.