BRRRR calculator for Canada
Buy, rehab, rent, refinance, repeat. Model the whole cycle with Canadian rules: refinance at 80% loan-to-value, the real semi-annual compounding mortgage formula, and the number that decides whether you can repeat: capital left in the deal.
Buy
Legal, inspection, land transfer tax
0 if buying with cash
Private and bridge lenders often run 8–12%, interest only
Rehab & hold
Purchase to refi, including the reno
Tax, insurance, utilities while vacant
Rent (after rehab)
Of gross rent; 5–10% is typical
0 if self-managed
0 if tenants pay
Refinance
What the property appraises for after the reno
80% is the conventional maximum in Canada
30 years is available on uninsured mortgages
Legal, appraisal, discharge fees
Capital left in the deal
$45,300
of $182,300 invested, with $163/mo cash flow after the refinance
Capital recycled
75.15%
Cash flow / mo
$163
Cash-on-cash
4.33%
Cash-on-cash is annual cash flow against the capital still in the deal.
Post-refinance operations & amortization
| Year | Interest | Principal | Balance |
|---|---|---|---|
| 1 | $23,779 | $5,995 | $434,005 |
| 2 | $23,445 | $6,329 | $427,676 |
| 3 | $23,092 | $6,682 | $420,994 |
| 4 | $22,720 | $7,055 | $413,939 |
| 5 | $22,326 | $7,448 | $406,491 |
| 6 | $21,911 | $7,863 | $398,628 |
| 7 | $21,473 | $8,302 | $390,326 |
| 8 | $21,010 | $8,765 | $381,562 |
| 9 | $20,521 | $9,253 | $372,308 |
| 10 | $20,005 | $9,769 | $362,539 |
| 11 | $19,460 | $10,314 | $352,225 |
| 12 | $18,885 | $10,889 | $341,337 |
| 13 | $18,278 | $11,496 | $329,841 |
| 14 | $17,637 | $12,137 | $317,704 |
| 15 | $16,961 | $12,814 | $304,890 |
| 16 | $16,246 | $13,528 | $291,362 |
| 17 | $15,492 | $14,282 | $277,079 |
| 18 | $14,695 | $15,079 | $262,000 |
| 19 | $13,855 | $15,920 | $246,081 |
| 20 | $12,967 | $16,807 | $229,274 |
| 21 | $12,030 | $17,744 | $211,530 |
| 22 | $11,041 | $18,734 | $192,796 |
| 23 | $9,996 | $19,778 | $173,018 |
| 24 | $8,893 | $20,881 | $152,137 |
| 25 | $7,729 | $22,045 | $130,092 |
| 26 | $6,500 | $23,274 | $106,818 |
| 27 | $5,202 | $24,572 | $82,246 |
| 28 | $3,832 | $25,942 | $56,304 |
| 29 | $2,386 | $27,388 | $28,915 |
| 30 | $859 | $28,915 | $0 |
How this models a Canadian BRRRR
The calculator follows the deal in order. First it totals your project cost: purchase price, closing costs, the rehab, holding costs while the property sits empty, and interest on any private or bridge financing you used to buy. Then it refinances against the after-repair value at your chosen loan-to-value, pays off the initial financing, and shows how much cash comes back out. What did not come back out is your capital left in the deal, and the rent has to cover the new mortgage from day one.
Two numbers decide whether a BRRRR worked. Capital recycled tells you whether you can repeat the strategy without saving another down payment. Post-refinance cash flow tells you whether the property survives on its own once it is leveraged to 80%. A deal that pulls all the capital out but bleeds every month is not a win; the stamp only reads full recycle when the cash flow holds up too.
Where Canadian BRRRR deals differ from the US playbook
- The conventional refinance ceiling is 80% of appraised value, and you qualify under the stress test at the higher of your rate plus 2% or 5.25%.
- Hard money is less common here. Most investors buy with a conventional 20% down mortgage, a private first mortgage, or a HELOC on another property; typical private money runs 8% to 12%, interest only.
- The refinanced mortgage compounds semi-annually, so use a Canadian calculator (this one) rather than a US one when checking whether the deal cash flows.
- Appraisers will want the renovation documented. Keep permits, invoices, and photos; they are what turn your rehab budget into after-repair value a lender will accept.
Checking the deal as a straight rental
After the refinance, a BRRRR property is just a rental with a bigger mortgage. It is worth running the post-refinance numbers through the rental property calculator too, to see cap rate, cash-on-cash, and the full year-one ROI side by side.
Frequently asked questions
What LTV can I refinance at in Canada?+
80% of appraised value is the maximum on a conventional (uninsured) refinance, and that is the ceiling most BRRRR deals are built around. Some credit unions and alternative lenders will go slightly higher at a higher rate, and rental properties held in a corporation may face tighter limits.
Do Canadian lenders have a seasoning period before refinancing?+
There is no universal rule like the US six-month convention, but many A-lenders will use the lower of purchase price or appraised value if you refinance within six to twelve months of buying, unless you can document significant renovations. Keep receipts and before-and-after photos; a well-documented rehab is what justifies the new appraisal.
Why is the new mortgage payment lower than other calculators show?+
Canadian fixed-rate mortgages compound semi-annually, not monthly, so the effective monthly rate is (1 + rate/2)^(2/12) minus 1. Most online BRRRR calculators are American and use monthly compounding, which overstates the payment. This calculator uses the Canadian formula for the refinanced mortgage and its amortization schedule.
Can I take a 30-year amortization on the refinance?+
Usually yes. Because a refinance at 80% LTV or below is uninsured, most lenders offer 30-year amortizations, and the lower payment helps the property cash flow. You still have to pass the stress test, qualifying at the higher of your contract rate plus 2% or 5.25%.
Is the cash I pull out at refinance taxable?+
No. Refinance proceeds are borrowed money, not income, so they are not taxed. Interest on the new mortgage generally remains deductible against rental income when the borrowed funds relate to the rental property; talk to an accountant if you use the proceeds for something else, because that can change what is deductible.