Hello everyone, dumb question but wanted advice on using a BRRRR calculator while utilizing an FHA 203k loan. My numbers seem a little bit off.
When I input the purchase price into the calculator, do I input the initial sales price of the home? Or the initial sales price (+) rehab cost since I am using a 203k loan?
Example: Home selling for 150k but needs 50k worth of rehab. BRRRR calculator initially asks purchase price: Do I input 150k? or 200k?
Just wanted to make sure my numbers are tight for the calculator. Any input is appreciated
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
7y
I would assume that calculator has a spot for Reno costs? Either way, it doesn’t matter as long you have your “all in” costs.
Also, the fha loan requires you to live in it for a year, as an incentive for them to give you an owner occupied loan. Refinancing out of the fha loan does Not relieve you of that.
I have the same question Domingo, I am doing what you are, my all in cost are the 3.5% down payment plus the reno.
So you have to include it in the deal (purchase price to make the all in cash correct. My question is, is this correct or is there a better way to calculate it?