Looking for some solid BRRRR numbers on the calculator tool as an example

[Katie Helmboldt]

Hi, folks,

I'm working on a deal with a friend and I'm the numbers person on figuring out how to turn a flip project (his usual deal type) into a BRRRR. I wasn't expecting to find a good candidate for this strategy given the current market, but I think we *may* have found a property that would have a significant enough jump in value to warrant giving it a shot!

That said, I was playing around with the BRRRR tool, and I'm assuming my numbers are off somewhere--it's a big mess. Would someone help me by sharing an example of a decent BRRRR analysis and what the numbers *should* look like in the end if it's a reasonable deal for this strategy?

Some info:

Sale price: $145K, Rehab: $80-100K, ARV: $340K

We'd only need to hold for ~45 days while we do the rehab, and I need more research on our rental rate afterwards (low guess is $2200/mo- moderate LTR rate, but we're looking into STRs vs MTRs in this market, so will likely be more).

I'd probably look to finance the rehab along with the mortgage (my lender said that's an option), but obviously, I'd prefer to pull out our capital at the end so we can do that last R(epeat).  How would I put this into the tool? I'm not seeing the best way to explain the rehab financing option I'd be using. 

Thanks for any input or direction you can give to help me utilize the tool well!