{
  "slug": "brrrr-refinance-capture",
  "title": "BRRRR Refinance Capture Calculator",
  "heading": "BRRRR Refinance Capture Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/brrrr-refinance-capture",
  "summary": "How much cash you pull out (or leave in) on the refinance step.",
  "description": "BRRRR only works if the refi actually returns your capital. This tool takes the after-repair value (ARV), the refinance loan-to-value the lender will underwrite, and every dollar you've put in — purchase, closing, rehab, holding costs — and tells you the cash-out amount, the cash left in the deal, and your capital recycled percentage. Lenders on cash-out refis for investment property typically cap at 70-75% LTV of ARV, and many require six to twelve months of seasoning before they'll use ARV instead of purchase price. That seasoning delay is the single most underestimated variable in BRRRR math because it means holding costs run longer than beginners plan for. This calculator also nets out the new loan's payoff of the existing bridge or hard money balance, since that's the actual mechanic of the refinance: the new loan pays off the old one first, and whatever's left over is your check.",
  "formula": "Refi loan = ARV × LTV%; Cash out = Refi loan − existing loan payoff − refi closing costs; Left in deal = Total cash invested − cash out.",
  "dateModified": "2026-09-30",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=brrrr-refinance-capture",
  "inputs": [
    {
      "id": "arv",
      "label": "After-repair value (ARV)",
      "kind": "number",
      "hint": null,
      "default": 260000,
      "unit": "$",
      "min": 1,
      "max": null
    },
    {
      "id": "ltv",
      "label": "Refinance LTV",
      "kind": "number",
      "hint": null,
      "default": 75,
      "unit": "%",
      "min": 1,
      "max": 100
    },
    {
      "id": "existingLoan",
      "label": "Existing bridge/hard money payoff",
      "kind": "number",
      "hint": null,
      "default": 165000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "totalInvested",
      "label": "Total cash invested (down + closing + rehab + holding)",
      "kind": "number",
      "hint": null,
      "default": 62000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "refiClosingCosts",
      "label": "Refinance closing costs",
      "kind": "number",
      "hint": null,
      "default": 4500,
      "unit": "$",
      "min": 0,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "cashOut",
      "label": "Cash out at closing",
      "format": "currency",
      "hint": null,
      "primary": true
    },
    {
      "id": "leftIn",
      "label": "Cash left in deal",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "pctRecycled",
      "label": "Capital recycled",
      "format": "percent",
      "hint": null,
      "primary": false
    },
    {
      "id": "refiLoan",
      "label": "New refinance loan amount",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "After-repair value (ARV): 260000 $",
      "Refinance LTV: 75 %",
      "Existing bridge/hard money payoff: 165000 $",
      "Total cash invested (down + closing + rehab + holding): 62000 $",
      "Refinance closing costs: 4500 $"
    ],
    "outputs": [
      "Cash out at closing: $25,500",
      "Cash left in deal: $36,500",
      "Capital recycled: 41%",
      "New refinance loan amount: $195,000"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter after-repair value (arv) ($).",
      "Enter refinance ltv (%).",
      "Enter existing bridge/hard money payoff ($).",
      "Enter total cash invested (down + closing + rehab + holding) ($).",
      "Enter refinance closing costs ($).",
      "Read your cash out at closing on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "arv": 156000,
        "ltv": 45,
        "existingLoan": 99000,
        "totalInvested": 37000,
        "refiClosingCosts": 2700
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "arv": 260000,
        "ltv": 75,
        "existingLoan": 165000,
        "totalInvested": 62000,
        "refiClosingCosts": 4500
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "arv": 416000,
        "ltv": 100,
        "existingLoan": 264000,
        "totalInvested": 99000,
        "refiClosingCosts": 7200
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "Why does my lender use purchase price instead of ARV?",
      "a": "Most conventional and DSCR lenders require six to twelve months of title seasoning before they'll lend against appraised ARV. Before that window, they base the refinance on the lower of purchase price plus documented improvements or the new appraisal, which usually kills the cash-out until seasoning passes."
    },
    {
      "q": "What LTV should I actually use in this calculator?",
      "a": "75% is standard for DSCR and conventional investment cash-out refis; some portfolio lenders go to 80% for strong borrowers with reserves. Run the calculator at both 70% and 75% to see your outcome range before committing capital to the rehab."
    },
    {
      "q": "Is it bad to leave cash in the deal?",
      "a": "Not necessarily. Leaving 10-15% of ARV in the property while cash-flowing well still beats an all-cash purchase, and it's far more common than the 'zero cash left' version of BRRRR marketed online. Track it against your cash-on-cash return, not against a mythical 100% recycle rate."
    },
    {
      "q": "Does rehab budget overrun kill the recycle percentage?",
      "a": "Yes, directly — every dollar of overrun raises total invested without raising ARV unless it was value-adding scope. Track actual invoices against budget weekly during rehab so the refinance-day math isn't a surprise."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/dscr-loan-sizing",
    "https://www.revenuelab.fyi/toolbox/hard-money-bridge-cost",
    "https://www.revenuelab.fyi/toolbox/cap-rate-expansion-sensitivity"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — BRRRR Refinance Capture Calculator (https://www.revenuelab.fyi/toolbox/brrrr-refinance-capture)"
}