70% Rule Calculator
The 30% is not profit.
Work out 70% Rule. The 30% is not profit. Every rate is an input, not an assertion.
Maximum offer
110,000
The asking price exceeds it by 10,000
The rule is: offer no more than 70% of the after-repair value, less the cost of repairs. It is a screening heuristic rather than a valuation — a way to reject deals quickly rather than to price good ones precisely. The 30% is not profit. It has to cover holding costs, financing, selling fees and the refurbishment overrunning, which it usually does. The actual margin once all of those are counted is typically well under half of it. Both inputs are estimates and both tend to be optimistic. After-repair value comes from comparable sales that may not be comparable, and repair costs are the number every first-time flipper underestimates. Building margin into the offer is what the rule is for.
How the 70% Rule Calculator works
The maximum offer for a flip under the 70% rule, with the profit left after holding and selling costs. The 30% has to cover financing, holding, fees and the refurbishment overrunning — which it usually does.
Also known as: maximum offer for a flip · 70 percent rule house flipping · how much should i offer · flip profit after costs
Not financial advice. This calculator is for planning and illustration, not financial advice. Real products carry fees, taxes, and terms it does not model. Confirm figures with your lender or a qualified adviser before committing.
Frequently asked questions
What is the 70% rule?
Offer no more than 70% of the after-repair value, less the cost of repairs. It is a screening heuristic for rejecting deals quickly rather than a way to price good ones precisely.
Is the 30% margin profit?
No. It covers holding costs, financing, selling fees and the refurbishment running over. The actual margin once all of those are counted is typically well under half of it.
Where does the estimate usually go wrong?
Both inputs, in the same direction. After-repair value comes from comparables that may not compare, and repair costs are the number every first-time flipper underestimates — often by a third or more.
Should I use a different percentage?
Competitive markets often force 75% or higher, and thinner margins mean less room for anything to go wrong. Lower percentages are used where holding costs are high or the refurbishment is uncertain.
What are holding costs?
Financing, insurance, utilities, council tax and security for however long you own it. On a six-month flip they routinely reach several percent of the purchase price, and delays make them worse.
Put this calculator on your own site
Free to use, on any site, commercial or not. Paste this where you want it to appear. It is a plain iframe, so it works in WordPress, Squarespace, Wix, Webflow, Ghost and anything else that accepts HTML.
<iframe src="https://www.thecalclibrary.com/embed/seventy-percent-rule-calculator" width="100%" height="640" style="border:1px solid #e2e8f0;border-radius:12px" loading="lazy" title="70% Rule Calculator"></iframe>
<p style="font:13px/1.5 system-ui,sans-serif;margin:6px 0 0;color:#64748b">Powered by <a href="https://www.thecalclibrary.com/seventy-percent-rule-calculator" style="color:#64748b">70% Rule Calculator</a> from The Calc Library</p>The only condition is that the credit line below the frame stays in place. That one line is what pays for the tool being free — it is how anyone else finds it.