Fix and Flip Cost Calculator

Fix-and-flip cost includes purchase, rehab, holding, financing, and selling.

Purchase price

Rehab cost

Holding months

Monthly holding cost

Financing cost

Selling cost %

ARV

Net profit

$39,100

Total cost

$190,900

Profit margin %

0.2%

How the math works

Total cost = purchase + rehab + holding + financing + selling. Net = ARV − total.

$120k + $35k + $7.5k + $10k + $18.4k = $190.9k. ARV $230k. Profit $39.1k = 17%.

How to Use

Enter purchase price.
Enter rehab cost.
Enter holding months.
Enter monthly holding cost.
Enter financing cost.
Enter selling cost %.
Enter arv.
Read net profit.

Frequently Asked Questions

Fix-flip cost stack?

Purchase: 65–75% of ARV − rehab typical. Rehab: $20–60/sf budget for full reno. Hard money loan: 8–14% interest, 2–5 points. Holding: 4–9 months typical, 1.5–3% of ARV/yr in carrying cost. Selling: 7–10% (commission + closing + concessions). Net profit target: 12–20% of ARV. Distressed/competitive markets: 8–14% margin. Risk: rehab overrun, market shift, longer hold than budget. Track all-in cost vs ARV for true profit margin.

How does this debt analysis fit a workout strategy?

Workout, default, and recapitalization decisions depend on the gap between in-place debt and current asset value. Lenders evaluate cure cost, foreclosure timeline + cost, broker price opinion (BPO), and borrower equity. Borrowers evaluate equity in the property, refinance feasibility, and forbearance economics. This calculator provides one input to that multi-factor decision.

Discounted payoff (DPO) vs forbearance vs deed in lieu?

DPO: lender accepts less than full balance to avoid foreclosure cost, common with non-recourse and underwater assets. Forbearance: payment deferral 6–18 months, balance accrues, useful when value will recover. Deed in lieu: borrower transfers title to lender, faster than foreclosure but lender takes full risk. DPO often best when borrower has new capital + lender wants quick exit.

Special servicing dynamics?

CMBS loans transfer to special servicer at default or maturity default. Special servicer compensation aligns with workout, but timeline is 6–24 months and fees stack ($25–250k+ in costs). Whole-loan and balance-sheet lenders move faster but with less flexibility. Bridge and debt fund lenders most flexible. Time-to-resolution and total friction cost should be weighted in any borrower scenario.