How It Works · The Complete Guide
The models behind your Deal Score.
The first half walks the five-step loop every Realyze model follows, using a Fix & Flip sample deal as the running example. The appendix then gives each of the six models a three-section deep dive — what it’s for, every input, every output.
Start here
Every model runs the same five-step loop.
Realyze has a different model for each investing strategy, but they all think the same way. You pick a strategy, fill in what you know, and the model returns a single Deal Score backed by a handful of risk checks and a printout you can hand to a partner or lender.
- 01
Pick a strategy
Flip, rental, BRRRR, STR, and more — each is its own pro forma tuned for the right metrics.
- 02
Fill in inputs
A sample deal is pre-filled. Edit numbers to match your deal; the scorecard updates live.
- 03
Read the Deal Score
One number, 0–100, with a GO / Caution / No-go color so you can triage fast.
- 04
Check the risks
Narrow, binary stress tests on the handful of things that actually sink deals.
- 05
Print or save
Branded PDF you can email, and a pipeline tracker you can return to later.
The score is a starting point, not a verdict
An 80 in one market is not the same opportunity as an 80 in another. The Deal Score compresses several metrics into one number so you can triage quickly — it’s built to help you decide what deserves a closer look, not to replace your judgment.
Nothing you type can break it
Every field starts with a sensible default and the scorecard recalculates live as you edit. Explore freely — change a purchase price, a rent, an interest rate — and immediately see how sensitive the deal is before you commit a dollar.
First decision
Pick the strategy that matches the deal.
Every investment style has its own pro forma. Each model is tuned for the metrics that strategy actually cares about — flips care about ARV and holding cost, rentals care about cash-on-cash and DSCR, STRs care about occupancy.
Fix & Flip
Short hold, sell
Single Family
Rent + hold
Small Multifamily
2-4 units
Short-Term Rental
Airbnb / VRBO
BRRRR
Recycle the cash
House Hack
Live in one unit
Step 2 — Inputs
Type in what you know. We’ve filled in the rest.
Every model comes pre-filled with a sample deal so you can see the shape of the answer immediately. Edit the numbers to match what you’re looking at — the scorecard on the right updates as you type.
Inputs
Defaults shown — edit any field to recalculate.
Live scorecard
78
SCORE
Net Profit
$48,210
31.2% ROI · 1.31× cash mult.
Tabs for each assumption type
Acquisition · Renovation · Financing · Holding · Sale (or whichever applies). Skim them in order; you can always come back.
Sample deal pre-filled
Defaults are sensible starting points — change them. You can’t break anything.
Save when you’re happy
Sign in and the ‘Save Deal’ button adds it to your pipeline.
Step 3 — The Deal Score
One number from 0 to 100. Read it as a starting point, not a verdict.
The Deal Score combines the handful of metrics that matter most for the chosen strategy. Click “Why this score?” on any model to see exactly what made up the number.
79
DEAL SCORE
Score breakdown (out of 100)
Heads up: the Deal Score is informative only. Pair it with risk checks and your local market knowledge.
Good depends on your market
An 80 in San Diego may not be the same opportunity as an 80 in Indianapolis. Calibrate to your local context.
Color = verdict shorthand
Green: strong deal. Amber: tight margins, worth a second look. Red: the math doesn’t work as drawn.
Don’t marry the score
It’s informative, not a substitute for boots-on-the-ground judgment.
Step 4 — Risk Checks
What the math says when you stress-test the assumptions.
Risk Checks are the canaries in your pro forma. They’re narrower than the Deal Score — each one watches a single thing that can sink a deal — and they’re binary by design (good / caution / bad).
Risk checks
- 1.32x
DSCR (post-refi)
Stabilized NOI / debt service
- 78%
Cash Returned
% of acquisition cash recycled at refi
- 32%
Reno % of ARV
Higher = heavier rehab risk
Watch the reds
Any single red doesn’t kill a deal, but two or more usually does. Investigate every one.
Markets differ
An aggressive DSCR threshold in a stable market may be normal in a hot one. Treat checks as conversation starters.
They don’t cover everything
Risks like neighborhood drift, inspection surprises, and contractor capacity sit outside the spreadsheet.
Step 5 — Take it with you
Print a PDF. Save your pipeline.
When the deal looks worth pursuing, download a 3-page PDF you can hand to a lender, partner, or your own future self. Sign in to save deals to your pipeline and pick up where you left off.
3-page PDF printout
Hero scorecard, KPI grid, cash flow chart, and the full assumptions you used. Print it, email it, or just keep a paper trail.
Your pipeline
112 Maple St — Flip
Oak Duplex (SFR)
Lakeview STR
Save deals to your pipeline, tag them by status, and filter by model. Free with a Realyze account.
Branded 3-page PDF
Hero scorecard, KPI grid, full assumptions — formatted for printing or emailing.
Pipeline tracking
Tag each deal Analyzing / Pursuing / Closed and filter by model. Comes free with a Realyze account.
Free during beta
No credit card. Save unlimited deals. We’ll tell you well before that changes.
Tips before you start
Three habits new underwriters wish they’d picked up sooner
Always be conservative
Better to be wrong on the upside. Trim 5% off ARV and rent assumptions; the deal should still work.
Compare against your market
A 70 in a hot metro can be a great deal. The same 70 in a cash-flow market might mean a pass. Calibrate.
Run the same deal twice
Once with your best-case numbers, once with realistic ones. If the realistic version still pencils, you have a deal.
Appendix
What makes each model different.
The five-step loop is the same everywhere. What changes is which metrics drive the score and which risks get watched. Each of the six models gets its own three-section deep dive below — overview, all inputs, and all outputs.
Fix & Flip
Short hold · buy → renovate → sell
Overview
A Fix & Flip is the most direct way to make money in real estate. You buy below market, renovate to add value, and sell — capturing the spread between your all-in cost and the sale price. The model is built around the few places that spread can collapse: an over-budget renovation, a longer-than-expected hold, or an ARV that doesn't materialize at sale.
Strategy at a glance
At its core, flip math is simple: buy, fix, sell — what's left is profit. But the simplicity hides several places the deal can go sideways. The model walks each one in turn: what will it really cost to buy and close? What does the rehab actually run with contingency? How long will you carry the property, and what does that carry cost? What will the sale truly clear after commissions?
The core question
“After everything it'll cost to acquire, renovate, carry, and sell — how much profit is left, and is that profit worth the time and risk?”
When to use it
Use Fix & Flip when
- You plan to sell within roughly 12 months
- The deal has a meaningful ARV gap rehab can unlock
- Recently-closed comps support your projected ARV
Use a different model when
- You'll hold and rent the property → SFR or SMF
- You'll refinance to pull cash out → BRRRR
- You'll owner-occupy one unit → House Hack
Key concepts to know
ARV — After-Repair Value
The single most important number in a flip. Profit, the 70% rule, and margin of safety all anchor on it.
The 70% Rule
All-in cost ≤ 70% of ARV — the long-standing flipper guardrail that leaves room for surprises.
Margin of Safety
How far ARV could slip before you'd break even. Thicker margin means more downside cushion.
Headline outputs you’ll see
$48,210
Net Profit
31.2%
ROI
1.31×
Cash Multiple
$155k
Cash Required
Fix & Flip · Inputs
Every input, organized by tab.
- Project name & address — labels the deal in your pipeline
- Purchase price — contracted purchase amount
- Closing costs — toggle % of price or $ amount
- Renovation line items — itemize by scope (roof, kitchen, etc.) or a lump sum
- Contingency % — cushion on top of items for surprises
- Loan type — Hard Money or Conventional
- LTC % — (hard money) % of project cost the loan covers
- Down payment % — (conventional)
- Interest rate & loan term
- Origination / points %
- Holding period — months, from purchase to sale
- Holding input mode — monthly or annual amounts
- Taxes, insurance, utilities, HOA, other holding
- ARV — projected sale price after renovation
- Selling costs — toggle % of ARV or $ amount
Why ARV is the most important number you'll enter. Everything in the flip model — profit, ROI, margin of safety, the 70% rule — anchors on the after-repair value. Be conservative: pull comps that have actually closed, not active listings, and trim 5%.
Fix & Flip · Outputs & scoring
Every output, what drives the score, and what to watch.
Main outputs
$48,210
Net Profit
31.2%
ROI
1.31×
Cash Multiple
$155k
Cash Required
$469k
All-In Cost
$420k
70% of ARV
$469k
Break-Even ARV
8.3%
Reno % of ARV
Every output above is recalculated the instant you change an input. The cost breakdown (acquisition, renovation, financing, holding) is also shown as a stacked bar so you can see at a glance where the money goes — useful when you're trying to find the lever that fixes a marginal deal.
What drives the Deal Score
Cash Multiple carries the most weight — a flip exists to make money, and your multiple is the cleanest measure of that. Margin of Safety rewards deals that still work if ARV slips. The 70% Rule check is the long-standing flipper guardrail: all-in cost ≤ 70% of ARV.
Risk checks
70% Rule
All-in cost (purchase + reno + holding) vs. 70% of ARV. Green if under, amber close to, red over.
Margin of Safety
How far ARV could drop before you'd break even. Lower margin means a thinner buffer against market softness.
Break-Even ARV
The sale price required to net zero. Compare to your conservative ARV — if they're close, you have no room.
Reno % of ARV
Heavier rehab budgets relative to ARV mean more execution risk — surprises hurt more on a bigger reno.
Watch-outs
Hidden carry on long holds
Every extra month between purchase and sale piles up taxes, insurance, utilities, and loan interest. A 'great deal' can shrink fast if the timeline slips by 60 days.
Hard-money points matter
Origination points and the higher hard-money rate eat into profit even on short holds. If you're flipping with hard money, model the realistic rehab timeline, not the optimistic one.
Single-Family Rental
Buy & hold · one rental house
Overview
A buy-and-hold rental is the most common real estate strategy, and for good reason — done well it builds wealth four ways at once: cash flow, tenant-paid mortgage paydown, appreciation, and tax benefits. The SFR model is built around the two questions that decide whether the strategy works for any given property.
Strategy at a glance
A single rental house has a longer time horizon than any other model. The decision today plays out over 5, 10, sometimes 30 years. The model treats time as a first-class input — hold period, rent and expense growth, appreciation — all reshape what the deal looks like at year 1 versus year 10. The headline metrics keep the short term honest; the year-by-year projection shows the long term.
The core question
“Will this property pay me each year after the mortgage and expenses, and will it comfortably cover its own debt when something goes wrong?”
When to use it
Use Single-Family Rental when
- You're buying a single-unit rental to hold long-term
- The property needs minimal or no upfront rehab
- You know the rent dynamics in the local market
Use a different model when
- 2–4 units → Small Multifamily
- Nightly rentals → STR
- Renovate then refinance → BRRRR
- You'll owner-occupy → House Hack
Key concepts to know
Cash-on-Cash
Year-1 cash flow ÷ cash invested — your true yield on the dollars you actually put in.
DSCR
Net operating income ÷ debt service — how safely the rent covers the loan when something breaks.
Cap Rate
NOI ÷ purchase price — the standard market check against comparable deals in your area.
Headline outputs you’ll see
8.4%
Cash-on-Cash
1.28×
DSCR
6.1%
Cap Rate
$285
Mo. Cash Flow
Single-Family Rental · Inputs
Every input, organized by tab.
- Project name & address
- Purchase price · closing costs — % or $
- Renovation toggle — turn on to include rehab line items
- Reno line items · contingency %
- Reno downtime — months before rent starts
- ARV today — post-reno value, anchors appreciation
- Down payment %
- Interest rate
- Loan term (years)
- Origination fee %
- Monthly rent
- Vacancy % — modeled rent loss
- Management % — model it even if self-managed
- Maintenance % — of gross rent
- Annual taxes, annual insurance
- Monthly HOA, monthly other expense
- Hold years — analysis horizon
- Annual rent growth %
- Annual expense growth %
- Annual appreciation %
- Selling cost % — commissions, fees
The two most-abused inputs in SFR. Vacancy and maintenance. New investors set them to zero because their friend's place 'never has issues.' Use 5–8% vacancy and 5–10% maintenance as a floor — your future self will thank you when the first turnover happens.
Single-Family Rental · Outputs & scoring
Every output, what drives the score, and what to watch.
Main outputs
8.4%
Cash-on-Cash
1.28×
DSCR
6.1%
Cap Rate
$285
Mo. Cash Flow
$3,420
Y1 Cash Flow
$41k
Cash at Closing
48%
Expense Ratio
71%
Break-Even Occ.
Beyond the headline KPIs, the SFR model produces a full year-by-year projection: cash flow, principal paydown, appreciation, and projected sale proceeds at the end of your hold. The summary chart on the model page makes it easy to see when (and whether) the deal becomes a winner.
What drives the Deal Score
A long-term rental should make money each year and survive its own debt. Cash-on-Cash rewards the first; DSCR rewards the second. Together they cover the two ways a rental usually fails — thin cash flow that disappears in a bad year, or a payment the property can't cover when something breaks.
Risk checks
DSCR
Net operating income vs. annual debt service. Lenders typically want 1.20×+; below 1.0× and the rent doesn't cover the mortgage.
Cash-on-Cash
Year-1 cash flow ÷ cash invested — single best measure of yield on your own dollars.
Cap Rate
NOI / purchase price. Useful for comparing to local market cap rates — too low vs. market means you may be overpaying.
1% Rule
Monthly rent ≥ 1% of purchase price. A blunt-but-fast sanity check; rarely hit in expensive metros.
Watch-outs
Rent growth that compounds
Small differences in annual rent growth compound dramatically over a 10-year hold. Use a number close to long-term local CPI, not last year's spike.
Appreciation isn't income
A deal that only works on assumed appreciation isn't really cash-flowing — it's speculating. Make sure the deal pencils on cash flow alone, then treat appreciation as upside.
Small Multifamily (2–4 Units)
Duplex · triplex · fourplex
Overview
Small Multifamily — duplexes, triplexes, and fourplexes — is where many investors graduate from single-family. More doors under one roof means more rent, more efficient operations, and crucially, more cushion against any one unit going vacant. The model uses the same income-and-coverage logic as SFR but blends it across units so you can compare deals on equal footing.
Strategy at a glance
Two to four units is the sweet spot of the multifamily world: still residential financing (cheaper, easier to qualify for than commercial), but with the operational benefits of a building. The model takes per-unit rents so it can model unit mix realistically — a fourplex with three 1-bedrooms and one 3-bedroom is a different deal than four identical 2-bedrooms, even at the same total rent.
The core question
“Does the blended income across all units cover the debt and leave meaningful profit — and what's a fair price-per-unit for this deal?”
When to use it
Use Small Multifamily (2–4 Units) when
- You're buying a 2-, 3-, or 4-unit residential property
- You'll rent out all units from day one
- The market has comparable small multifamily inventory
Use a different model when
- You'll owner-occupy one unit → House Hack
- 5+ units (commercial multifamily — not currently modeled)
- Nightly rentals → STR
Key concepts to know
Per-unit pricing
Price ÷ units — the lens that lets you compare deals of different sizes apples to apples.
Blended vacancy
Losing one unit hurts much less than losing the whole property — multifamily diversifies income risk.
DSCR & Cash-on-Cash
Same income-and-coverage discipline as SFR, applied to the building as a single financial unit.
Headline outputs you’ll see
9.1%
Cash-on-Cash
1.35×
DSCR
6.4%
Cap Rate
$118k
Price / Unit
Small Multifamily (2–4 Units) · Inputs
Every input, organized by tab.
- Project name & address
- Number of units (2, 3, or 4)
- Monthly rent — per unit
- Purchase price · closing costs — % or $
- Renovation toggle · reno items · contingency %
- Reno downtime (months) · ARV today
- Down payment %
- Interest rate
- Loan term (years)
- Origination fee %
- Vacancy %
- Management %
- Maintenance % — of gross rent
- Annual taxes · annual insurance
- Monthly HOA · monthly other expense
- Hold years
- Annual rent growth %
- Annual expense growth %
- Annual appreciation %
- Selling cost %
Why per-unit rents matter. Entering rents per unit (instead of one combined number) lets the model account for different unit mixes and pick up rent upside in a single unit without hiding it across the others. It also makes vacancy more realistic — losing one of three units hurts less than losing the whole property.
Small Multifamily (2–4 Units) · Outputs & scoring
Every output, what drives the score, and what to watch.
Main outputs
9.1%
Cash-on-Cash
1.35×
DSCR
6.4%
Cap Rate
$118k
Price / Unit
$520
Mo. Cash Flow
$72k
Cash Invested
46%
Expense Ratio
68%
Break-Even Occ.
On top of the per-unit pricing lens, the model produces all the same year-by-year projections as SFR: yearly cash flow, principal paydown, equity build, and sale proceeds. Use price-per-unit when comparing deals of different sizes — a $480k fourplex is not directly comparable to a $300k duplex until you put them on the same footing.
What drives the Deal Score
Same weighting logic as the SFR model — yield on your cash and ability to cover the loan. Vacancy risk is naturally lower across multiple units, but the scoring stays focused on the two things that actually decide whether you keep the property when something goes sideways.
Risk checks
DSCR
NOI vs. annual debt service. Even more important on multifamily where lenders explicitly underwrite to it.
Cash-on-Cash
Year-1 cash flow ÷ cash invested — your true yield in the first year before any rent growth.
Cap Rate
A market check — small multifamily caps tend to track local market caps closely; outliers are worth a hard second look.
1% Rule
Combined monthly rent ≥ 1% of purchase price. A blunt sanity check.
Watch-outs
Rent rolls that look too good
A seller's rent roll often reflects below-market leases — or units that haven't actually been re-leased at the listed rate. Underwrite at market rent, not in-place rent on legacy leases.
Shared-system surprises
Boilers, roofs, and shared utilities on small multifamily are big-ticket capex items. A single boiler replacement can erase a year of cash flow — keep maintenance % honest.
Short-Term Rental (STR)
Airbnb / VRBO nightly income
Overview
Short-term rentals — Airbnb, VRBO, direct booking — are the highest-variance strategy in this guide. A good STR can earn double the gross income of a long-term rental in the same building; a bad STR can sit half-empty for the year. The STR model is built to capture both possibilities, modeling the year as a sequence of seasons and stress-testing how far bookings can fall before the deal stops paying for itself.
Strategy at a glance
Where a long-term lease locks income in for 12 months, an STR re-earns its income every single night. That changes everything: seasonality matters, your ranking on the platform matters, regulation matters, and operational details like turnover and cleaning become real, recurring expenses rather than back-office concerns. The model has more knobs because the strategy has more knobs.
The core question
“Will this property earn enough nights at strong enough nightly rates — across all seasons — to support its loan, expenses, and your target return?”
When to use it
Use Short-Term Rental (STR) when
- The market has permissive STR regulation
- The property is in a vacation or business-travel hub
- You'll operate it as a nightly rental
Use a different model when
- STR is restricted or banned in the market
- Mid-term (30+ days) rentals → SFR with conservative occupancy
- Long-term rentals → SFR or SMF
Key concepts to know
Seasonal rate/occupancy
Peak and shoulder seasons modeled separately — averaging them out hides the volatility.
Occupancy buffer
How far booked nights can fall below your forecast before cash flow turns negative.
Hidden operating costs
Furnishings, supplies, and turnover are real, recurring expenses — not optional line items.
Headline outputs you’ll see
11.6%
Y1 Cash-on-Cash
13.4%
Stabilized CoC
62%
Break-Even Occ.
$214
Weighted ADR
Short-Term Rental (STR) · Inputs
Every input, organized by tab.
- Project name & address
- Purchase price · closing costs %
- Furnishing budget — one-time, always applied; STRs must be furnished
- Renovation toggle · reno items · contingency %
- Reno downtime (months before bookings start) · ARV today
- Loan type
- Down payment %
- Interest rate
- Loan term (years)
- Points %
- Seasonal config — nightly rate & occupancy per season
- Cleaning fee per stay · avg stay nights
- Platform fee % (Airbnb/VRBO)
- Annual taxes · annual insurance · monthly HOA
- Monthly utilities, lawn care, cleaning supplies
- Management % · maintenance %
- Supplies & linens % · furniture replacement %
- Revenue growth %
- Expense growth %
- Appreciation %
- Hold years
- Selling cost %
Why STR has its own occupancy buffer. A long-term tenant locks income in for 12 months; an STR re-earns it every night. The most common way STRs fail is a softer-than-expected booking season — so the model surfaces the 'occupancy buffer' explicitly: how far bookings can drop before the deal stops cash-flowing.
Short-Term Rental (STR) · Outputs & scoring
Every output, what drives the score, and what to watch.
Main outputs
11.6%
Y1 Cash-on-Cash
13.4%
Stabilized CoC
7.8%
Cap Rate
1.41×
DSCR
$214
Weighted ADR
62%
Break-Even Occ.
$1,140
Mo. Cash Flow
1.58×
Cash Multiple
The model produces both a year-1 view (when occupancy is typically lower as you build reviews) and a stabilized view (once you're rated and ranked). The gap between those numbers tells you how much your assumed ramp depends on actually happening — useful as its own check.
What drives the Deal Score
Cash-on-Cash and DSCR keep the income-and-coverage discipline of the rental models. The extra weight goes to the Occupancy Buffer — STR underwriting that ignores it will look great in spring and bury you in winter.
Risk checks
Occupancy Buffer
How far booked nights can drop below your forecast before cash flow turns negative. The most STR-specific check.
Cash-on-Cash
Year-1 cash flow ÷ cash invested. STR cash-on-cash is typically higher than long-term rental — but more variable.
Cap Rate
Useful sanity check — STR caps should be higher than long-term rentals in the same market to compensate for variance.
DSCR
NOI vs. annual debt service. Lenders may underwrite STRs to long-term rent assumptions regardless.
Watch-outs
Regulatory risk
Cities can change STR rules abruptly — caps on rental days, new permits, outright bans. Underwrite to a long-term rental fallback so a regulation change isn't catastrophic.
Furnishing & turnover costs
Linens, supplies, and furniture replacement are real, recurring expenses, not optional. The supplies and furniture-replacement % exist precisely so you can't accidentally skip them.
BRRRR
Buy · Rehab · Rent · Refinance · Repeat
Overview
BRRRR — Buy, Rehab, Rent, Refinance, Repeat — is the strategy that lets a single down payment fund multiple properties. You renovate a distressed property to force value into it, then refinance against the new (higher) value to pull most or all of your original cash back out. Done right, you're left with a cash-flowing rental at little or no out-of-pocket cost.
Strategy at a glance
BRRRR is two strategies stacked. Act one is essentially a flip — same rehab math, same execution risk — but instead of selling at the end, you refinance. Act two is a long-term rental, but with the twist that the loan is sized off the post-rehab value, not the purchase price. The model tracks both: how much cash comes back at the refi (the BRRRR-specific question), and whether the property can support its new permanent loan afterward.
The core question
“How much of my cash comes back at refinance, and does the stabilized rental cover its new permanent loan?”
When to use it
Use BRRRR when
- The deal has a clear ARV gap rehab can unlock
- The market has cash-out refinance availability
- You want to recycle capital rather than tie it up
Use a different model when
- You'll sell at the end → Fix & Flip
- No refinance planned → SFR or SMF
- You'll owner-occupy → House Hack
Key concepts to know
MIN(LTV, DSCR)
The refi loan is the lesser of the LTV-sized and DSCR-sized amounts — both caps must pass.
Cash Returned %
% of your acquisition cash recycled at the refi — the BRRRR-specific success metric.
Seasoning period
Most lenders require ~6 months of ownership before refinancing at the appraised value.
Headline outputs you’ll see
78%
Cash Returned
1.32×
DSCR Post-Refi
8.9%
Yield on Cost
2.84×
Cash Multiple
BRRRR · Inputs
Every input, organized by tab.
- Project name & address
- Number of units (1–4) · per-unit monthly rents
- Purchase price · closing costs — % or $
- Reno line items · contingency %
- Reno downtime (months) · ARV today
- Vacancy %
- Management % · maintenance %
- Annual taxes · annual insurance
- Monthly HOA · monthly other
- Acq. loan type · LTC % — % of project cost
- Acq. rate · term · points %
- Refi loan type · LTV % — against stabilized value
- Refi rate · term · points %
- Refi month — when the refi happens
- Refi min DSCR — lender's DSCR floor
- Hold years
- Annual rent growth %
- Annual expense growth %
- Annual appreciation %
- Selling cost %
The two loans are sized differently. The acquisition loan is sized to a % of total project cost (LTC); the refinance loan is sized to a % of the stabilized property value (LTV) — but capped by the DSCR test so the new loan doesn't violate the lender's coverage requirement. That's why a BRRRR can fail at refi even when the rehab goes perfectly.
BRRRR · Outputs & scoring
Every output, what drives the score, and what to watch.
Main outputs
78%
Cash Returned
1.32×
DSCR Post-Refi
8.9%
Yield on Cost
$22k
Cash Left In
$320k
Trended ARV
$240k
Refi Loan Size
19.4%
Cash-on-Cash
2.84×
Cash Multiple
The model reports both LTV-sized and DSCR-sized loan amounts and takes the lesser — so when DSCR caps the refi, you see exactly how much more cash gets left in. Past the refi, it projects annual cash flow, debt paydown, and sale proceeds like a long-term rental.
What drives the Deal Score
BRRRR is judged across two moments: the refinance (cash back) and the long-term hold. Cash Returned and DSCR weigh the refi; Cash Multiple weighs the long hold.
Risk checks
Cash Returned
% of acquisition cash recycled at refi. 'Infinite return' benchmark is 100%; below 60–70% the strategy loses its edge.
DSCR (post-refi)
Stabilized NOI vs. the new permanent loan payment. If it fails, the lender shrinks the loan and leaves more cash in.
Yield on Cost
Stabilized NOI ÷ total project cost — how productively your renovation dollars created income.
Cash Multiple
Total dollars returned (refi + cash flow + sale) ÷ cash invested. The hold-period payoff.
Watch-outs
Seasoning periods
Most lenders require 6 months of ownership ('seasoning') before refinancing at appraised value. If your refi month is too soon, you may be stuck at original purchase price — devastating to a BRRRR.
Appraisal < expected ARV
If the appraiser comes in low, the LTV calculation shrinks too. Build in a 5–10% appraisal cushion — assume refi value is 90% of your forecast ARV, not 100%.
House Hack
Live in one unit · rent the rest
Overview
A house hack is the easiest way to enter real estate investing: you buy a 2–4 unit property, live in one unit, and rent the others. Because you're owner-occupying, you can typically use a low-down-payment owner-occupied loan (3.5% FHA, 5% conventional) — meaning you can start with a fraction of the cash you'd need for a pure investment property.
Strategy at a glance
A house hack lives in two timelines. While you live there, your housing cost is whatever tenants don't cover — often a fraction of what you'd pay in rent. After you move out, the property becomes a pure rental, and its math looks like a single-family or small multifamily from then on. The model tracks both, because a great house hack works in both timelines: cheap housing today AND a real rental later.
The core question
“While I live here, how much of my mortgage do tenants cover? After I move out, does the property still cash-flow as a rental?”
When to use it
Use House Hack when
- You're buying a 2–4 unit property to live in
- You'll use low-down-payment owner-occupied financing
- The market has healthy rental demand
Use a different model when
- Renting all units from day one → Small Multifamily
- Single-family without owner-occupy → SFR
- You'll renovate and refinance → BRRRR
Key concepts to know
% Mortgage Covered
How much of the total housing payment your tenants cover today.
Personal Cost
What's left for you out of pocket each month — your true cost of living in the property.
Two-timeline model
The 'live-in' phase and the 'move-out' phase have different math — both have to work.
Headline outputs you’ll see
84%
Mortgage Covered
$310
Personal Cost/mo
+$190
CF Post Move-Out
2.61×
Cash Multiple
House Hack · Inputs
Every input, organized by tab.
- Project name & address
- Purchase price
- Number of units (2, 3, or 4)
- Owner unit market rent — used after you move out
- Tenant unit rents — per-tenant unit monthly rent
- Down payment % — e.g. 3.5% FHA, 5% conventional
- Interest rate · loan term (years)
- Origination points %
- PMI / MIP — monthly, if < 20% down
- Closing cost %
- Annual taxes · annual insurance
- Monthly HOA · monthly other
- Maintenance % — of gross rent
- Management % — 0 while self-managing
- Vacancy %
- Rent growth % · expense growth % · appreciation %
- Years living in — before you move out
- Hold years — total analysis horizon
- Selling cost %
Why the timeline split matters. While you live in the property, your 'rent' is the part of the mortgage tenants don't cover. Once you move out, the owner unit becomes a paying tenant — and the property's cash flow jumps. A house hack that's only mildly attractive in year one often becomes a clear winner in year three.
House Hack · Outputs & scoring
Every output, what drives the score, and what to watch.
Main outputs
84%
Mortgage Covered
$310
Personal Cost/mo
+$190
CF Post Move-Out
2.61×
Cash Multiple
$22k
Cash Required
$66k
Equiv. Rent Saved
$78k
Total Profit
354%
Return on Cash
Mortgage Covered and Personal Cost answer the 'while I live there' question — what fraction of the payment tenants handle, and what's left for you out of pocket. Cash Flow Post Move-Out, Cash Multiple, and Total Return on Cash answer the 'after I leave' question — does the property keep paying, and how good is the long-term return on the small amount of cash you put in.
What drives the Deal Score
The first two reward house hacks that drastically reduce your living cost today; the third rewards house hacks that still work as investments once you move out. A great house hack covers most of your mortgage AND becomes a real rental later — not just one or the other.
Risk checks
Mortgage Covered
% of total housing payment your tenants pay. 100%+ means you live for free; below 50% you're still subsidizing.
Housing Cost
Your out-of-pocket monthly cost. Compare to what you'd pay in rent — if it's lower, the deal is paying for itself.
Cash Flow After Move-Out
What the property cash-flows as a pure rental once you leave. Negative means you've created a money pit for future you.
Total Return on Cash
Profit + appreciation + paydown vs. cash invested over the hold. Low cash in usually means a huge multiple.
Watch-outs
PMI / MIP that lingers
FHA's MIP often sticks for the life of the loan. Compare a 3.5% FHA with MIP vs. 5% conventional with removable PMI — sometimes a slightly larger down payment is the better long-term move.
Owner-occupancy timing
Most owner-occupied loan products require you to live there for at least a year. The 'years living in' input drives the model — don't underestimate it just to make the long-run picture look better.
Ready to run a real deal?
Open any model with the sample deal pre-loaded, edit it to match what you’re looking at, and watch the score move. Free during beta.
Disclaimer. Realyze is an analysis tool, not financial, investment, legal, or tax advice. Deal Scores and risk checks are informational estimates based on the assumptions you enter and should not be the sole basis for any investment decision. Example figures throughout this guide are illustrative. Always verify numbers independently and consult qualified professionals before transacting.