House flipping calculator: profit, ROI and the 70% rule
A fix-and-flip only works if the sale price covers the purchase, the renovation, the months of holding costs, the loan and the cost of selling, and still leaves a profit. This house flipping calculator adds all of it up: it shows the profit, the ROI on the cash you invest, a simple annualised return, the break-even sale price and a table of what happens if the house sells for more or less.
It also checks your offer against the 70% rule, the quick screen flippers use to set a maximum purchase price. Examples for the US, the UK and Australia load typical costs and the local currency. Results are estimates and are shown before income tax; they are not investment or tax advice.
How to use the House Flipping Calculator
- Choose your Country to load example figures.
- Enter the Purchase price, buying costs, Rehab budget with a contingency, and the Expected sale price (ARV) with selling costs.
- Enter the months you expect to hold, the monthly holding costs and any loan: percentage of purchase and rehab, rate and points.
- Read the profit, ROI and break-even price, then the 70% rule maximum offer.
- Use the table to test a lower or higher sale price before you commit.
House Flipping Calculator features
Every cost included
Purchase, buying costs, rehab with contingency, loan interest and fees, holding costs and selling costs.
ROI on cash, not on price
Return is measured on the cash you must find after the loan.
70% rule check
Maximum allowable offer and how far your price is above or below it.
Break-even and sensitivity
The lowest sale price that avoids a loss, and profit at ±5% and ±10%.
Local examples
US, UK and Australia defaults and tax notes.
Flip profit formula and worked example
Profit = sale price − selling costs − (purchase + buying costs + rehab + loan interest and fees + holding costs), and ROI = profit ÷ cash invested, where cash invested is the total cost less any loan. The 70% rule is maximum offer = 70% × ARV − rehab.
Example: a house is bought for $180,000 and sells for $300,000 after a $45,000 rehab. With a 10% contingency the rehab is $49,500. An 80% purchase loan plus the full rehab is $193,500 at 11% for six months with 2% points: interest $10,642.50 and points $3,870. Buying costs are $3,600 and holding costs $4,800, so total cost is $252,413. Selling costs of 8% take $24,000, leaving profit of $23,588 on $58,913 of cash: an ROI of 40%, about 80% annualised. The break-even sale price is $274,361.
The 70% rule gives a maximum offer of 0.7 × $300,000 − $49,500 = $160,500, so the $180,000 purchase is $19,500 above the rule — a warning that the margin is thin, even though this deal still shows a profit.
| Sale price | Profit | ROI on cash |
|---|---|---|
| −10% ($270,000) | −$4,013 | −6.8% |
| −5% ($285,000) | $9,788 | 16.6% |
| As entered ($300,000) | $23,588 | 40.0% |
| +5% ($315,000) | $37,388 | 63.5% |
Making a flip safer
- Add a real contingency; renovations rarely come in under budget.
- Be cautious with the ARV: base it on recent sales of finished, similar houses, not asking prices.
- Every extra month costs interest and holding costs; test a longer hold.
- If you plan to keep and rent the house instead, use the BRRRR calculator or the rental property cash flow calculator; for sale costs see the net proceeds calculator.
House Flipping Calculator FAQ
How do you calculate profit on a house flip?
Subtract selling costs from the sale price, then subtract the purchase price, buying costs, rehab, loan interest and fees and holding costs. What remains is profit before income tax.
What is the 70% rule in house flipping?
Pay no more than 70% of the after-repair value minus the repair costs. On a $300,000 ARV with $49,500 of repairs, the maximum offer is $160,500.
What is a good profit on a house flip?
Many flippers want at least 10–15% of the sale price or a 20%+ return on cash invested, to cover mistakes. A thin margin leaves no room for overruns or a lower sale.
Does the calculator include taxes?
No. Profit is before income tax and any VAT or GST. Tax on a flip varies by country and your circumstances, so ask a tax professional.
Why is ROI measured on cash invested?
Because a loan covers part of the cost, your own money is less than the total cost. ROI on cash shows the return on what you actually put in, and rises with leverage but so does the risk.
Can I use this house flipping calculator in the UK or Australia?
Yes. Choose the country to load local currency and typical costs. Replace the buying and selling costs with your actual duty, legal and agent fees.