BRRRR Calculator
How to read the output
The mechanic of BRRRR is the capital recycle. The numbers that matter are:
Trapped equity — how much of your all-in basis stays in the deal after refinance. The closer to zero, the better. Anything above 15% of basis means BRRRR is producing a mediocre capital recycle.
DSCR — the rent-to-PITI ratio at projected rents. Below 1.10 the deal has no buffer for vacancy or rate shock. Below 1.0 the lender will not refinance at all.
Monthly cash flow — what hits your bank account after operating expenses and the new mortgage. Negative cash flow turns the BRRRR into a slow-bleed rental rather than a wealth machine.
For full BRRRR underwriting see /strategies/brrrr. For the financing side see hard money vs DSCR for BRRRR.
Frequently asked questions
What does BRRRR stand for?
Buy, Rehab, Rent, Refinance, Repeat. A five-step real estate strategy where the operator buys distressed, rehabs to a rentable standard, leases it, refinances based on After Repair Value, and pulls equity back out to deploy into the next deal.
What is trapped equity in a BRRRR deal?
Trapped equity is the portion of your all-in basis that does not recycle at refinance. It happens when the lender's LTV cap or the appraised ARV limits the loan amount below what you have invested. A well-structured BRRRR keeps trapped equity under 15% of basis.
What DSCR do I need for a BRRRR refinance?
Most DSCR lenders require 1.0 minimum to qualify and 1.25+ for best pricing. DealIntel recommends underwriting BRRRR at a stress-tested 1.10 minimum so the deal survives a 10% rent shock or a 100 basis-point rate move. Deals that pass base case but fail under stress are common Kill List flags.
How much should I budget for carry on a BRRRR?
Typical BRRRR rehab runs 4–7 months. Hard money at 10–12% on a $360k loan costs roughly $3,000–$3,600 per month in interest. Budget 6 months minimum and add tax + insurance during the hold. Carry erosion of refinance proceeds is the most-missed cost in BRRRR underwriting.
Should I use this calculator or DealIntel for a real deal?
Use the calculator for back-of-envelope checks. Use DealIntel when you are about to make an offer — the platform runs the 25-point Kill List, stress-tests against +100 bps rate moves, compares BRRRR against five other strategies in parallel, and produces an institutional Investment Memorandum suitable for lenders and partners.
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Matt Abadi is the founder of DealIntel. He leads the development of the platform's six-strategy underwriting engine, 25-point Kill List, and Monte-Carlo financial model — the institutional analysis stack DealIntel applies to every fix and flip deal. DealIntel was founded in 2025 with the central thesis that knowing when not to invest is the most valuable number on the page.