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Flip analysis

ARV Calculator

After-repair value is what a property should sell for once it's fixed up — the number every flip budget and hard-money loan is built on. Enter recently sold comparable properties; the estimate is worked from their price per square foot, every step shown.

Comparable sale 1
$sq ft
Comparable sale 2 (optional)
$sq ft
Comparable sale 3 (optional)
$sq ft
Worked calculationevery step shown
Comp 1 $285,000 ÷ 1,350 sq ft$211.11/sq ft
Comp 2 $310,000 ÷ 1,500 sq ft$206.67/sq ft
Comp 3 $265,000 ÷ 1,300 sq ft$203.85/sq ft
Average price per sq ft 3 comps$207.21/sq ft
After-repair value × 1,400 sq ft$290,091

Informational only, not professional advice. This is a comps-based screening estimate — it is not an appraisal, and lenders will order their own before funding a deal.

Methodology

This calculator uses a simplified form of the sales comparison approach — the method appraisers use to value residential property from recent sales of similar homes (Investopedia: Sales Comparison Approach). The steps:

  1. Price per square foot for each comp = sale price ÷ square footage
  2. Average price per square foot across all comps entered
  3. ARV = average price per square foot × subject property's square footage

The comps must reflect the subject's post-renovation condition — ARV assumes the repairs are done (Rocket Mortgage: After-Repair Value). Feed it dated, un-renovated comps and it will quietly value your finished flip like a fixer-upper.

Assumptions and limitations

  • Averaging price per square foot assumes the comps are genuinely similar. A full appraisal adjusts each comp dollar-by-dollar for condition, location, features, and sale date instead of averaging one ratio.
  • Price per square foot typically declines as homes get larger — comps much bigger or smaller than the subject skew the estimate.
  • Comp selection is the whole game. Sales older than ~6 months, outside the immediate area, or in different condition weaken the estimate more than any formula can repair.
  • This estimates a resale price, not a profit. Pair it with the 70% rule calculator to turn ARV into a maximum purchase offer.

Last reviewed: July 2026

Frequently asked questions

How do I find comps for an ARV estimate?

Look for properties that recently sold — ideally within the last three to six months — within roughly half a mile to a mile of the subject, with similar square footage, bedroom and bathroom count, lot size, and age. Critically, comps should match the condition your property will be in after repairs, not its current condition. Sources include a real estate agent's MLS access, county recorder sales records, and the "sold" filters on listing sites like Zillow or Redfin.

Why use price per square foot instead of just averaging the comps' sale prices?

Averaging raw sale prices only works if every comp is the same size as your property. Dividing each comp's price by its square footage normalizes for size, so a 1,300 sq ft comp and a 1,600 sq ft comp can both inform the value of a 1,400 sq ft subject. It's still a simplification — price per square foot tends to fall as homes get bigger, and it ignores differences in lot, condition, and features — which is why appraisers adjust comp by comp rather than just averaging.

How accurate is an ARV calculated this way?

Treat it as a screening estimate, not an appraisal. A licensed appraiser using the sales comparison approach makes dollar adjustments for every material difference between the subject and each comp — condition, location, features, sale date — rather than averaging a single ratio. Your lender will order their own appraisal regardless. The estimate is only as good as the comps you feed it: three genuinely similar, recent sales beat six loosely similar ones.

What is the difference between ARV and as-is market value?

As-is value is what the property would sell for today, in its current condition. ARV is what it should sell for after your planned repairs bring it up to the condition of the renovated comps you selected. The spread between the two — minus what the repairs actually cost — is where a flip's profit comes from, which is why both numbers (and the repair budget connecting them) need to be estimated honestly.

Related guideHow to Calculate After-Repair Value (ARV) from Comps

ARV is what a property will be worth once it's fixed up — estimated from comparable sales, not guesswork. Here's the price-per-square-foot method, a worked example, and where it goes wrong.

Read guide →

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