# BRRRR Method

*Real Estate — Finicade finance glossary*

BRRRR is buy, rehab, rent, refinance, repeat — improving a property enough that a cash-out refinance returns your original capital to redeploy.

BRRRR is buy, rehab, rent, refinance, repeat — improving a distressed property enough that a cash-out refinance at the new value returns your original capital, which you then redeploy. It works when the after-repair value comfortably exceeds total cost. It fails predictably when renovation runs over, when appraisals come in low, or when rates rise between purchase and refinance, leaving the capital trapped.

**Also known as:** BRRRR, buy rehab rent refinance repeat

**Related terms:** [Cash-Out Refinance](https://finicade.com/glossary/cash-out-refinance), [Fix and Flip](https://finicade.com/glossary/fix-and-flip), [Hard Money Loan](https://finicade.com/glossary/hard-money-loan), [Rental Property](https://finicade.com/glossary/rental-property), [Cash-on-Cash Return](https://finicade.com/glossary/cash-on-cash-return)

Source: https://finicade.com/glossary/brrrr-method