Research guide
BRRRR Underwriting Without Double Counting Equity
A clean way to connect acquisition, rehab, stabilization, refinance proceeds, and the cash that remains in the deal.
BRRRR analysis spans multiple phases, so the timing of cash flows matters. Track purchase, closing, rehab, stabilization, refinance proceeds, and post-refinance operations on one timeline.
Track the cash left in the deal
Refinance proceeds reduce the unrecovered equity, but they do not erase the original project history. Show both the initial cash requirement and the remaining cash basis after refinance.
Stress the refinance
Test a lower after-repair value, lower loan-to-value, higher rate, appraisal delay, and a longer stabilization period.
Research boundary
This guide is educational context. Verify current local facts and professional advice before making a decision.