CalculateRealEstateROI

Risk Management

Refinance Risk

Risk that maturing debt cannot be refinanced on acceptable terms.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Plain-English explanation

Loan terms shift between purchase and refi. Stress-test exit financing.

Examples

  • 2024 multifamily owners unable to refi at 1.0 DSCR vs 1.25 required.

Common mistakes

  • Modeling exit at the same DSCR/LTV as purchase.

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