BRRRR-Help me analyze this deal
Hi BP, I did a BRRRR analysis on a property. Looking to get some insight from the community. The numbers look good to me. Cashflow is there, and equity looks solid. It would be a cash purchase. Let me know if there are any numbers or parameters I should be looking more into or other variables.
Most Popular Reply
Hey Charlie,
Its good that you are looking into the numbers ahead of time, especially in calculating what your payments are going to look like and what kind of rates you might be looking at.
I think that estimating a 9% puts you in a good place, hopefully by the refinance it might even be lower. My clients over in NC are seeing a cash flow issue based on the full DSCR in the area (rate + taxes + insurance), so I would make sure that the numbers you are seeing are correct.
The only kicker might be some of the closing costs/fees. Are you planning on using Hard/Private financing? You might need even less money at purchase then you think.