70% Rule Calculator for House Flipping
Every successful house flipper knows that "you make your money when you buy, not when you sell."
Use our 70% Rule Calculator to quickly find your Maximum Allowable Offer (MAO). This ensures you have enough room for repairs, holding costs, and profit.
🏚️ Fix & Flip Calculator
Estimated value after all renovations are done.
You should pay no more than:
Based on formula: (ARV x 70%) - Repairs
What is the 70% Rule in Real Estate?
The 70% rule is a guideline used by real estate investors to determine the maximum price they should pay for a distressed property.
The formula is simple: Maximum Bid = (ARV x 0.70) - Estimated Repairs.
- ARV (After Repair Value): The estimated value of the home once fully renovated.
- 70%: This buffer accounts for profit, closing costs, and unforeseen expenses.
- Repairs: The cost of materials and labor to fix the property.