70% rule calculator

The 70% rule says to pay no more than 70% of after-repair value, minus repairs. With a $300,000 ARV and $40,000 of rehab, the maximum offer is $170,000. It's a quick screen, so confirm the deal with full costs.

  • Free, no signup
  • Official county data
  • Formulas published

Deal assumptions

Enter what you know. Holding costs and financing update the results panel live.

Property

Optional address helps when you save the deal.

Acquisition & exit

Purchase, rehab, and after-repair value drive profit and MAO.

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Financing

Costs & targets

Closing costs, holding expenses, and offer rules.

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Calculated results

Flip analysis

Updates live. Estimates only — not financial advice.

Enter purchase price, ARV, and rehab budget to see your verdict.

Enter assumptions

Complete the required inputs to save.

What does the 70% rule calculator do?

This calculator applies the rule, lets you change the percentage, and runs the full flip model beside it so you can see real profit at your offer price.

Who should use it?

Flippers and wholesalers screening deals quickly before deeper analysis.

What you need to enter

  • After-repair value
  • Rehab budget
  • MAO percentage, 70% by default
  • Purchase, holding, financing and selling costs

How the calculation works

  1. 1Multiply ARV by your percentage.
  2. 2Subtract the rehab budget to get the maximum offer.
  3. 3Compare your purchase price with that offer and check net profit.

The same formulas run the full workspace and are listed on the formulas page.

Worked example

A $300,000 ARV with a $40,000 rehab

ARV × 70%
$210,000
Rehab
$40,000
Maximum offer
$170,000

$300,000 × 0.70 − $40,000 = $170,000.

How to read the results

  • An offer under the maximum passes the screen. Profit still depends on your actual costs.
  • In expensive markets, investors often use a different percentage. Let the full profit figure decide.

Common mistakes and limits

  • Starting from an unsupported ARV.
  • Underestimating rehab.
  • Treating 70% as a law rather than a rule of thumb.

Questions people ask

It is a rule of thumb: maximum offer equals 70% of after-repair value minus estimated repairs.

FlipMetric

Ready to run your own numbers?

Use the calculator above, or open the full workspace. Your first analysis doesn't need an account.

Open the workspaceSee pricing

Estimates only, not financial, legal or tax advice. Read the disclaimer.