realestate-flip

A flip feasibility analysis determines if a property is profitable by calculating acquisition, rehab, holding, and selling economics against an ARV estimate from renovated comparables, outputting net profit, ROI, and a risk grade.

To calculate ARV using renovated comparables, research recently sold properties in the same market that were fully renovated, then use those sale prices to ground a conservative After Repair Value estimate for the subject property.

The best way to budget rehab costs is to generate low, base, and high estimates by category, applying regional cost adjustments and a contingency reserve to account for potential overruns.

The 70% rule checks whether the maximum purchase price, including rehab costs, stays under 70% of the estimated ARV, providing a quick mathematical threshold to filter out unprofitable real estate flipping deals before deep analysis.

Yes, a flip risk assessment evaluates deal-breaking threats like cost overruns, ARV uncertainty, timeline slippage, and financing risks, assigning a 0-100 Flip Score to signal a clear go or no-go decision.

A fix and flip scenario analysis includes full profit and loss projections across conservative, base, and high-cost variants, factoring in region-adjusted timing estimates and holding costs to show potential ROI and profit margin outcomes.