Updated almost 6 years ago on . Most recent reply

BP Rental Property Calculator
Hey BP friends,
I'm running numbers on a prop using our BP Rental Property Calculator. This purchase will be done with short term PM/HM funding. How can I properly determine ROI/NOI when funding is short term and conventional loan won't be done until 3-6 months in the deal? Should I try to use the BRRRR calculator instead? The short term figures throws the Rental Calculator metrics out of whack.
thank you
Steve K
Most Popular Reply

Thank you @Richie Thomas. Yes, this would be a buy n hold. Needing HM/PM for the purchase and rehab short term until refi is possible (6 months?). As for the calculator data entry, what I'm confused about is: Is the money borrowed from the HM lender the full amount of the purchase price? Do I enter that as a "Cash Purchase" or enter the down payment amount only on the next line? Also, the amortization term would only be Months, not Years. This is confusing since the calc also asks for Refinancing months which in my mind is the same as the HM loan term. If you have a sample calc that I could use as a reference to learn from, that would be great.
Thanks again for replying.
Steve K