After Repair Value (ARV) Calculator
Created by: Liam Turner
Last updated:
Enter up to 5 comparable sales with price and square footage to estimate ARV. See the average price per sqft, ARV estimate, low-to-high value range, and the 70% rule maximum budget for your deal.
After Repair Value (ARV) Calculator
FinanceEnter up to 5 comparable sales to estimate ARV. See price per square foot, value range, and the 70% rule maximum budget.
Comparable Sales (enter at least 3)
Sale Price
Square Footage
Subject Property
+ for better finish, − for worse than comps
+ for better location, − for inferior location
3 valid comps entered
What Is After Repair Value (ARV) and How Is It Calculated?
After Repair Value (ARV) is the projected market value of an investment property after all planned improvements are completed.
It is the central number in fix-and-flip analysis — every other cost (purchase price, renovation budget, carrying costs) must leave enough room below ARV for a profit margin and selling costs.
ARV is derived from comparable sales: recently sold similar homes in the same neighborhood that represent the finished condition you are targeting.
This calculator takes up to five comps, computes price per square foot, and applies the average to your property's size — with optional condition and location adjustments for a more precise estimate.
How ARV Is Estimated from Comps
Each comp's price per square foot (PPS) is calculated and averaged across all valid comps.
That average PPS is multiplied by the subject property's square footage to get a baseline ARV.
Condition and location adjustment percentages shift the estimate up or down.
The range uses the minimum and maximum comp PPS values to show the plausible value range for the property.
ARV Formulas
Price per sqft (each comp) = sale price / square footage
Average PPS = sum of comp PPS values / number of comps
ARV estimate = average PPS × subject square footage × (1 + condition adj% + location adj%)
ARV low = min comp PPS × subject sqft × adjustment
ARV high = max comp PPS × subject sqft × adjustment
70% rule max budget = ARV × 70%
Max purchase price = ARV × 70% − renovation cost
Example Scenarios
3 Comps in a Suburban Market
Comp 1: $285,000 / 1,650 sqft = $172.73/sqft. Comp 2: $295,000 / 1,700 sqft = $173.53/sqft. Comp 3: $270,000 / 1,600 sqft = $168.75/sqft. Average PPS: $171.67/sqft. Subject: 1,750 sqft. No adjustments. ARV estimate: $300,417. ARV range: $295,312–$303,678. 70% rule max budget: $210,292. If renovation is $45,000, max purchase = $165,292.
Positive Condition Adjustment
Same comps averaging $171.67/sqft. But subject property will have a full high-end kitchen and bath renovation — significantly above comp finish levels. Condition adjustment: +4%. Adjusted PPS: $178.54. ARV estimate: $312,443. 70% rule max: $218,710. The condition bump adds $12,000 to the estimated ARV — meaningful for deal math but requires justification from an appraiser or experienced local agent.
How People Use This Calculator
- House flippers estimating ARV before making an offer on a distressed property.
- Wholesalers calculating the maximum allowable offer (MAO) to sell to a flipper at a profit.
- Hard money lenders performing due diligence on loan-to-ARV ratios before funding.
- Buyers of fixer-uppers estimating their home's value after completing planned renovations.
- Real estate agents advising investor clients on competitive offer prices and renovation ROI.
Tips for Accurate ARV Estimation
Use only arm's-length, sold (not listed) transactions from the past 3–6 months.
Stale comps from 9–12 months ago may not reflect current market conditions, especially in a changing rate environment.
Active listings show what sellers want — closed sales show what buyers actually paid.
Only closed sales are valid for ARV analysis.
Be conservative with condition adjustments.
It is tempting to apply a 5–8% premium for a high-end renovation, but appraisers rarely grant more than 3–4% for finish level above the neighborhood norm.
In fact, over-renovating above neighborhood norms can reduce the effective ARV — buyers in a $250K neighborhood will not pay $350K regardless of the finishes.
Stay aligned with neighborhood ceiling prices.
Frequently Asked Questions
What is After Repair Value (ARV)?
After Repair Value (ARV) is the estimated market value of a property after all planned renovations are complete. It is the number flippers, wholesalers, and hard money lenders use to determine whether a deal is viable. ARV is calculated by analyzing recent comparable sales (comps) — similar properties that have sold in the same area in a fully renovated condition — and applying that price-per-square-foot to the subject property.
How do you find comparable sales for ARV?
Good comps are sold properties within 0.5–1 mile, sold within the last 3–6 months, with similar square footage (within ±20%), similar age and construction, and in finished/renovated condition. Sources: your agent's MLS access, Zillow (sold listings), Redfin, or county recorder public records. Avoid using listings (not sold), distressed sales (foreclosures/auctions), or properties with major layout differences.
What is price per square foot and how is it used?
Price per square foot (PPS) = sale price / square footage. It normalizes comparison across homes of different sizes. If three comparable homes sold for $150, $155, and $145 per square foot, the average is $150/sqft. Applied to your subject property's 1,800 sqft, the ARV estimate is $270,000. Adjustments for condition and location refine this estimate up or down.
What are condition and location adjustments?
If your renovated property will be significantly nicer than the comps (high-end finishes, full gut renovation vs cosmetic updates), a positive condition adjustment of 2–5% may be warranted. If your property is on a busier street or inferior location vs the comps, a negative location adjustment may apply. These are percentages applied to the comp-derived ARV estimate. Use them conservatively — overly aggressive adjustments inflate ARV and risk overestimating deal profitability.
What is the 70% rule max budget?
The 70% rule states you should not invest more than 70% of the ARV in the total cost of acquiring and renovating a property. The max budget shown here is ARV × 70%. Your purchase price plus renovation cost should fall at or below this number. For example, with an ARV of $300,000, max budget is $210,000. If renovation costs $50,000, the max purchase price should be $160,000.
How many comps do I need for a reliable ARV estimate?
Three comps are the professional minimum for a credible estimate; five provides a more robust average and range. With only one or two comps, the estimate is highly sensitive to the quality of those sales. If the comp range is wide (e.g., $130–$180/sqft), do not average blindly — investigate why the outliers exist (different neighborhoods, major lot differences, unusual sale conditions). Narrow comp ranges signal a predictable market.
Sources and References
- Appraisal Institute. The Appraisal of Real Estate, 15th Edition.
- ATTOM Data Solutions. U.S. Home Flipping and ARV Analysis, 2023.
- BiggerPockets. How to Calculate After Repair Value (ARV). biggerpockets.com.