Buy
Underwrite purchase, rehab, rent, refinance loan-to-value, cash left in, and the cash-flow that remains.
Buy, rehab, rent, refinance, and repeat only works when the appraisal, the loan-to-value, and the cash left in the deal are calculated before you close.
Underwrite purchase, rehab, rent, refinance loan-to-value, cash left in, and the cash-flow that remains.
Manage scope, budget, schedule, vendors, draws, receipts, photos, permits, and contingency.
Lease the property you underwrote. Stabilized rent is the rent on a signed lease, not the listing estimate.
Compare proceeds with cash invested. If the refinance does not return your capital, the repeat step waits.
Illustrative screen. Purchase $180,000, rehab $40,000, acquisition and carrying costs $8,000. Cash invested $228,000. Stabilized value $280,000 at 75% loan-to-value.
The refinance returns most of the cash and almost none of the monthly surplus. That can still be a hold if you wanted the equity and can carry a thin month. It is not a repeat engine until rent, expenses, or rate assumptions improve. Run your own inputs in the BRRRR calculator before you tell a partner the deal is infinite returns.
Buy, rehab, rent, refinance, repeat. You force value with repairs, lease the property, then refinance against the stabilized value and decide how much cash is still stuck in the deal.
A retail buyer and a refinance appraisal can land on different numbers. Underwrite the refinance value your lender is likely to support, and keep the flip ARV as a separate exit.
Only if proceeds cover everything you invested and the remaining debt still cash-flows after vacancy, expenses, reserves, and the new payment. Many files return some cash and leave a balance.
On the same property record as the refinance model, so a change order updates both the budget and the cash you expect to leave in.
The beginner BRRRR guide walks a full example. The rental expense guide keeps NOI and debt service from being mixed.
Every strategy starts the same way: analyze the deal before you commit. Run one free analysis in your browser. No account and no card for that screen.