Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

Followed Discussions Followed Categories Followed People Followed Locations
Market Trends & Data
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Account Closed
  • Lender
  • TX
66
Votes |
164
Posts

Case Study Breakdown: Does This BRRRR Deal Work?

Account Closed
  • Lender
  • TX
Posted
Let’s look at a sample BRRRR deal and break down the numbers: Purchase Price: $95,000 Rehab Budget: $30,000 Total Project Cost: $125,000 After Repair Value (ARV): $190,000 Refinance (75% LTV): $142,500 Estimated Monthly Rent: $1,700 The Result: * Total Cash Invested: $125,000 * Refinance Proceeds: $142,500 * Potential to recover all invested capital and pull out additional funds * Long-term cash-flowing rental added to the portfolio Deals like this are what many investors look for because they can create equity through renovation while maintaining cash flow after stabilization. The key is making sure the numbers are realistic: * Conservative ARV estimates * Accurate rehab budgets * Strong rental demand * Reliable financing terms * Adequate cash flow after debt service For those actively investing, what are you seeing in your market today? * Average purchase prices? * Rehab costs? * Rent-to-price ratios? * Refinance terms? I enjoy connecting with investors, lenders, wholesalers, and operators who are actively analyzing and closing deals. #BRRRR #RealEstateInvesting #RentalProperties #CashFlow #BuyAndHold #RealEstateInvestor #InvestmentProperty #BiggerPockets #RealEstateNetworking #PassiveIncome

Loading replies...