How much cash stays in a BRRRR deal?
Enter the purchase and renovation, what the property will be worth afterwards, the refinance terms and the rent. Refinancing a rental without insurance is capped at 80% of its value.
Your estimate
CASH LEFT IN THE DEAL
How this is estimated
What the calculator assumes.
80% limit. Lenders regulated by OSFI cap an uninsured refinance at 80% of the property’s value, and they base it on an appraisal. Source: OSFI Guideline B-20.
Breaking the first mortgage. Refinancing before the term ends usually means a prepayment penalty; include it in the refinance costs. Estimate it with the penalty calculator. Lenders also need to see that the rent supports the new payment.
Returns. Cash-on-cash is a year of cash flow divided by the cash left in the deal. See the cap rate calculator and the rental ROI calculator for other measures.
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