Think of it this way: if a hard money lender gives you a loan, takes their down payments, points, and monthly interest, they could care less if your project is a success of a flop.

I reside in California and focus on multi family projects for my investors out of state.

I have been using a Rich Dad Cash on cash return on investment excel sheet - but it doesn't allow for extended yearly projections with renovations and increases in rent. 

I just ran a property that I would love to buy if I can find the private money or possibly the hard money at the right rate and ran it through the BRRRR calc.All looks great except when I look at the financial projections section I see the following...50% Rule Cash Flow Estimates Pre-Refinance Total Monthly Income: $2,850 x50% for Expenses: $1,425 Monthly Payment/Interest Payment: $600 Total Monthly Cashflow using 50% Rule: $72 50% Rule Cash Flow Estimates Post-Refinance Total Monthly Income: $2,850x50% for Expenses: $1,425 Monthly Payment/Interest Payment: $556 Total Monthly Cashflow using 50% Rule: $869Am I missing something or should the total monthly cashflow Post refi be that high?  

I'm a little over half way done construction on a similar Austin project.  1850 SF, 1900 SF, and 850 SF SFRs  on what was a single lot that we split.  

Check out the group page to RSVP.I'm going to have lots of local investors present their unique investment strategies and we'll tour local projects. 

The more I researched the project the more interested I became in investment real estate.  

I look forward to working with on your next project. 

I was going by the 87.5 percent rule The average home buyer cannot buy the 1588 sq ft condos downtown  for $675,000  I'm two miles from downtown 1/4 mile from Canada  There is still excellent opportunity as the prohibitive prices expand into adjacent neighborhoods.Dan Gilbert (Quicken Loans) owns more than 100 buildings downtown and is currently building 4 more 1 is costing him around $800,000,000.00 for the one building Hudson's Department Store Site It was supposed to be the 23rd tallest building in the US but it got shorter with his massive stroke and Covid 19There are areas that I think will come back faster than my area did ( buy for $10k put $20k into it worth $150-$200k in three years) The only point I was making was I NEVER understood why people cited Detroit as an example of good cash flow but no appreciation.The appreciation has been unbeatable.

Another thing to consider is what type of financing you are looking for To fund your next project.