Methodology
How we read a deal
HouseFlippr runs the same math experienced investors run by hand — just faster, and across every strategy at once. Here is exactly what sits behind each number so you can trust it (and override our assumptions when you know the market better than the defaults).
Maximum Allowable Offer (MAO)
MAO = (ARV × 70%) − rehab costs
We start from the After-Repair Value implied by comparable sales, hold back the standard 70% margin to cover holding, financing, and profit, then subtract your rehab budget. What's left is the most you can offer and still protect your spread.
Cash Left In Deal
Cash left = total invested − cash-out refinance proceeds
Buy, rehab, rent, refinance, repeat. We model the all-in basis against a refinance at the new appraised value to show how much of your capital walks back out the door — and how much stays trapped in the deal.
Cap Rate & Cash-on-Cash
Cap rate = NOI ÷ price · CoC = annual cash flow ÷ cash invested
For long-term rentals we compute monthly cash flow after operating expenses and debt service, the capitalization rate on net operating income, and the cash-on-cash return on the actual cash you put in.
STR Net Income
Net = (ADR × occupancy × 365) − operating expenses
For an Airbnb or vacation-rental play we project gross revenue from average daily rate and occupancy, then net out cleaning, management, utilities, and platform fees to estimate what actually reaches your pocket.
Quick Pass / Fail
Pass if monthly rent ≥ 1% of purchase price
The fastest screen in the business. It won't replace a full underwrite, but it tells you in one glance whether a property is even worth a closer look.
Estimates are only as good as their inputs. HouseFlippr surfaces assumptions transparently and lets you adjust them. Nothing here is financial, legal, or investment advice — always verify comps and run your own diligence before making an offer.