CalcToolVault

House Flipping Calculator

Run the 70% rule, project net profit and ROI, and find your maximum allowable offer on a flip.

Your details

$
$
$
%

Holding

mo
$/mo

Taxes, insurance, utilities, lawn

Financing

%
%
%

Transaction

% of purchase
% of ARV

This calculator runs entirely on your device. Nothing you enter is uploaded, stored, or sold. How this works

Projected net profit

$23,460

25.1% cash-on-cash, 50.3% annualized

Save these results

Includes your inputs, the full breakdown, and every row of the table.

Maximum allowable offer

$211,000

70% of ARV minus rehab

Total cash invested

$93,340

All-in cost

$376,540

94.1% of ARV

Profit margin

5.9%

Breakdown
After-repair value
$400,000
Purchase price
- $250,000
Rehab (incl. 15% contingency)
- $69,000
Buying closing costs
- $5,000
Holding costs (6 mo)
- $5,400
Loan interest
- $14,036
Loan points
- $5,104
Selling costs
- $28,000
Net profit
$23,460

What this means

  • Your purchase price is $39,000 above the classic 70% rule maximum of $211,000. That does not automatically kill the deal, but the margin for error is thinner.
  • Rehab budgets overrun far more often than they come in under. The contingency field exists because the surprises are behind the drywall.

How the house flipping calculation works

Flip profitability is decided at purchase, not at sale. The 70% rule — offer no more than 70% of after-repair value minus the rehab budget — exists to leave room for the costs that do not appear in a purchase contract: holding, financing points and interest, and 6-8% of the sale price in commissions and closing costs.

Time is the hidden expense. Every extra month adds holding costs and hard-money interest while the market moves underneath you. Doubling a six-month timeline to twelve months can cut the annualized return by more than half even if the sale price is unchanged.

Frequently asked questions

What is ARV?

After-repair value: what the property will sell for once renovations are complete, based on recent comparable sales of similar finished homes in the same neighborhood — not on what you spent.

Why is the 70% rule 70 and not 80?

The 30% gap covers selling costs (6-8%), financing (3-6%), holding costs, and the profit margin that compensates for risk. In hot markets flippers sometimes stretch to 75-80%, which is exactly when losses cluster.

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Disclaimer. This calculator is provided for general information and educational purposes only and does not constitute financial, tax, legal, medical, or engineering advice. Results are estimates based on the inputs you provide and the assumptions described above. Confirm any figure with a qualified professional before acting on it.