Free fix and flip calculator from Fynvorax. Model purchase, rehab, hard money costs, closing fees, net profit, ROI, and annualized return.
House flipping, or the strategic process of buying a distressed property, renovating it to increase market appeal, and quickly reselling it, represents one of the most popular short-term real estate investment categories. Success hinges on a precise calculation parameter: you must evaluate every cost item before signing any acquisition title. This fix-and-flip analysis uses professional metrics like LTC (Loan-to-Cost) and ARV (After Repair Value) to establish the true economic profile of your rehabilitation deal. One of the most common pitfalls is underestimating the cost of carrying under-ren
ARV represents the estimated future selling price of the property once all planned renovations, modernizations, and staging are fully completed. It is calculated by looking at recent sales of comparable updated properties in the near school districts or neighborhoods.
The 70% rule states that an investor should pay no more than 70% of the After Repair Value (ARV) minus the estimated cost of repairs. For example, if a house's ARV is $300,000 and repairs will cost $50,000, the maximum purchase offer should be $160,000 ($210,000 minus $50,000).