How to BRRRR in Spokane, WA

Start with the gross math. Spokane's typical home value is $400,636; ZORI (Zillow's rent index) sits at $1,478/mo. That's 4.43% gross annual yield. That's right at the national 4-5% baseline — workable for BRRRR, but only on disciplined underwriting and a clean refi appraisal.

Run the DSCR sanity check. Assume 75% LTV refi at 7.5% interest, 30-year, plus taxes + insurance + 8% PM + 8% vacancy/capex reserve. On these inputs your DSCR will likely come in under 1.10 in Spokane — most lenders won't refi at that ratio without a rate-buydown or larger equity contribution. Plan to leave 25-30% in the deal instead of the textbook 0%.

Rent demand color: Spokane rents ($1,478) sit 23% below the national median ($1,930). Local rent is the constraint here — even at favorable acquisition prices, the rent side of the math is the limiting factor.

Refi appraisal risk: Spokane home values are flat YoY — refi appraisals should support your renovated comp on a properly scoped rehab. No softening tailwind to worry about, no appreciation tailwind to lean on.