Skip to main contentSkip to navigationSkip to footer

Cash Flow Compression and Interest Rate Risks

13 minPRO
3/6

Key Takeaways

  • 1% rate increase on $187K adds ~$122/month.
  • Tax reassessment after renovation: 30-80% increase.
  • Model 3-5% expense growth vs 2-3% rent growth.
  • Build $200-$300/month reserves per property.
This track contains subscriber-only lessons

Explore free tracks in this area of study, or subscribe for full access.

Browse available tracks
"BRRRR Risks: Appraisal Gaps, Rate Exposure & Scaling" is a Pro track

Upgrade to access all lessons in this track and the entire curriculum.

Test Your Knowledge

1.How much does a 1% rate increase add to a $187,500 payment?

2.What happens to property taxes after BRRRR renovation?

3.What expense growth rate should BRRRR investors model?