About
Fix-and-flip targets 15-20% net ROI per project. The 70% rule: max purchase = ARV × 0.7 - rehab. Account for selling cost (6%), holding (mortgage + utilities + property tax during hold), and unexpected rehab overruns (20-30% buffer).
The 70% rule is a quick-screen heuristic codified by HomeVestors and BiggerPockets: in markets with steady comps, the gap between 70% of ARV and your all-in cost (purchase + rehab + holding + selling) lands the flipper at a healthy 15-20% margin after taxes. In 2026 hard-money rates of 11-13% interest plus 2-3 points of origination, the rule sometimes tightens to 65% in coastal metros (LA, NYC, Boston, Miami) where carrying costs eat margin faster, and loosens to 75% in lower-priced Midwest and Sun Belt markets where rehab inflation has been milder.
Formula
Worked example: a Phoenix flipper finds a 3-bed, 2-bath at $180,000 with $40,000 rehab budget, projected ARV $295,000, 5-month hold at $1,800/mo carry (hard-money interest + tax + insurance + utilities), 6.5% selling cost. Profit = 295,000 - 180,000 - 40,000 - 9,000 - 19,175 = $46,825 on $229,000 cash-in = 20.4% ROI in roughly 5 months, or an annualized 49%. The 70% rule check: 0.70 x 295,000 - 40,000 = $166,500 max purchase, so the $180,000 purchase is slightly above the rule and assumes the flipper can squeeze rehab below budget.
Frequently asked questions
How accurate is the Fix and Flip ROI Calculator?
It applies the standard formula. Accuracy is limited only by your input precision. For decisions with material consequences (taxes, medical, legal, structural), use the result as a starting point and verify with a qualified professional in the relevant field.
Is the Fix and Flip ROI Calculator free to use?
Yes. 100% free, no signup, no payment, no API key. The site is funded by display ads around the tool but not inside the calculation flow.
Are my inputs saved anywhere?
No. All inputs stay in your browser tab. Closing the tab discards them. The site uses Google Analytics for traffic measurement (anonymized) but the analytics never see what you type into the form.
Can I use the Fix and Flip ROI Calculator on my phone?
Yes. The tool is responsive and tested on iOS Safari, Android Chrome, and major desktop browsers. Touch targets meet Apple's 44pt and Google's 48dp minimum.
Does the Fix and Flip ROI Calculator work offline?
Yes. Once the page has loaded, it works without internet. The calculation runs in JavaScript on your device.
How do I report a bug or suggest improvement to the Fix and Flip ROI Calculator?
Email hi@3tej.com with the URL of this page and a description of what you saw vs expected. We typically respond within 72 hours.
Can I share results from the Fix and Flip ROI Calculator?
Take a screenshot or copy the output. The page doesn't generate shareable URLs for specific calculations - inputs stay in your browser only.
Why are the results different from another fix and flip roi tool?
Most likely: different formula assumptions, different default values, different rounding rules, or different applicable rates. Check the methodology if both tools document it. Both can be valid for different scenarios.
Is the Fix and Flip ROI Calculator accurate?
The Fix and Flip ROI Calculator applies the standard formula for fix and flip roi. Accuracy is limited only by your input precision. For decisions with material consequences, use the result as a starting point and verify with a qualified professional or the relevant official source.
Is the Fix and Flip ROI Calculator free?
Yes. 100% free, no signup, no payment, no API key. The site is funded by display ads that appear around the tool but not inside the calculation flow.
Are my inputs saved?
No. Inputs stay in your browser tab. Closing the tab discards them. The site uses Google Analytics for traffic measurement (anonymized) but does not see what you type into the form.
What is the 70 percent rule in fix-and-flip?
The 70 percent rule sets max purchase price = ARV x 0.70 - rehab budget. It bakes in roughly 30% of ARV for selling costs, holding costs, financing, and profit. In 2026 high-rate environments, conservative flippers tighten to 65%; in low-rehab markets, 75% may still work.
How are flip profits taxed in 2026?
Flips held under 12 months are ordinary income, often pushed into the 24-37% federal bracket plus state tax (e.g., 9.3% in CA, 0% in TX). Active dealers also owe 15.3% self-employment tax. Holding past 12 months drops the federal rate to long-term capital gains (15-20%), which is why some flippers convert short-term projects into rental-then-sell strategies.
How to use the Fix and Flip ROI Calculator
The Fix and Flip ROI Calculator is a browser-based tool that runs entirely on your device. Inputs you enter never reach a server - all calculations happen client-side in JavaScript. This means:
- Privacy: nothing is logged, sent, or stored by 3Tej. Inputs disappear when you close the tab.
- Speed: results update as you type. No network round trip.
- Offline use: once the page is cached, it works without internet.
- No signup: no account, no email, no rate limits.
Step by step
- Enter your inputs in the form above. Each field is labeled with its unit (currency, percent, kg, etc.) and the expected range.
- Read the result as it updates. The number reflects the formula commonly accepted in Fix and Flip ROI-related calculations.
- Adjust to see sensitivity: change one input at a time and watch how the output moves. This is the fastest way to understand which variable matters most.
- Copy or screenshot the result for later reference. The page state persists for the session if your browser allows it.
When you would use this
- Quick estimates: when you need a number now and don't want to open a spreadsheet.
- Sensitivity analysis: testing how a result changes as inputs vary, before committing to a real-world decision.
- Comparison: running the same calculation with different inputs to compare options side by side.
- Learning: building intuition for how the underlying math behaves.
- Documentation: capturing a snapshot of inputs and outputs at a point in time.