Fix and flip calculator.
A fix and flip calculator works out whether a rehab deal makes money: it takes the purchase price, the rehab budget and the after-repair value, subtracts every cost of buying, holding and selling, and returns the net profit and return on the cash invested. The two figures most calculators leave out are the ones that decide a deal — which ceiling actually limits your loan, and the interest rate above which the profit disappears.
What the deal supports, before financing
$497,250
maximum loan — the 85% loan-to-cost ceiling binds first
- Capped by loan-to-cost
- $497,250
- Capped by 75% of ARV
- $562,500
- Cash to close
- $87,750
- 70% rule max offer (ARV × 70% − rehab)
- $440,000
- Break-even sale price
- $645,863
The rate this deal can carry
30.11%
break-even rate
20.10%
highest rate still clearing 20% ROI
Solved from your own purchase, rehab, ARV, hold and fees — not from a rate we picked. Above the break-even figure the deal loses money at these inputs.
California carry
- Reassessed annual tax
- $5,750
- Tax over a 9-month hold
- $4,313
- Supplemental bills
- Two
Estimated from your purchase price, not the seller’s bill. A change of ownership reassesses the property to a new base year value under Proposition 13, and the supplemental bill (R&T §§75–75.72) arrives separately, prorated from close — often after the flip has sold, and not from an impound account. A close between January and May spans two assessment rolls, so expect two of them.
Deal economics
Enter a quoted rate to see profit and ROI. Everything above is already calculated — the loan this deal supports, the rate it can carry, and the California tax are all independent of price.
- Purchase + rehab
- $585,000
- Interest on the drawn balance
- —
- Points
- —
- Closing in / out
- $15,000
- Commission
- $37,500
- Carry + property tax
- $8,363
- Total costs
- $645,863
Estimates from the figures you entered. Not an appraisal, quote, pre-approval, offer or commitment to lend. NexWin Capital Corp. arranges financing through third-party lenders and does not set rates. Property tax is an estimate of public assessment mechanics, not tax advice.
Get a real term sheetTwo clocks that decide a California flip.
Every calculator on this subject models how you buy. Two public rules govern whether you can sell when you planned to, and neither shows up in a profit formula.
The resale clock
Federal rules restrict how quickly a property can be resold to a buyer using FHA financing. A resale within 90 days of the seller’s acquisition is ineligible for FHA insurance outright. Between 91 and 180 days it becomes eligible again, but a second appraisal by a different appraiser is required where the resale price is 100 percent or more above what the seller paid — which is to say, where the flipper has doubled the price (24 CFR §203.37a). None of this stops you selling. It narrows who can buy, and on an entry-priced flip that is a large share of the market. Model the hold from when you can realistically close, not from when the work finishes.
The tax clock
Your property tax is not the seller’s. A change of ownership reassesses the property to a new base year value equal to your purchase price, and the supplemental bill that trues it up is issued separately and prorated from close. It commonly arrives months later — sometimes after the flip has already sold — and it is not covered by an impound account. Buy between January and May and you get two of them.
Both are public rules rather than lending terms. Sources: 24 CFR part 203 and the California BOE supplemental assessment guidance.
What the financing side looks like.
| Loan size | $100K – $3M |
|---|---|
| Term | 6 – 18 mo |
| Maximum ARV | Up to 75% |
| Rehab funded | Up to 100% |
| Rate | Set by a term sheet — we do not publish one |
Full terms sit on the purchase-and-rehab programme page. To price the capital itself rather than the deal, use the cost of short-term money.
Fix and flip questions, answered.
How do you calculate profit on a fix and flip?
Start from the after-repair value and subtract everything: the purchase price, the rehab budget, the financing cost over the hold, points and closing costs at both ends, the agent commission on the sale, and the carry — insurance, utilities and property tax for every month you own it. What remains is net profit. Return is that profit measured against the cash you actually put in, not against the total project cost.
What is the 70% rule in house flipping?
It caps your offer at 70% of the after-repair value minus the rehab budget, leaving roughly 30% of ARV to absorb financing, carry, commission and profit. It is a screening heuristic rather than an underwriting standard — useful for rejecting a deal quickly, too blunt to accept one. The calculator shows it beside the figures that actually decide the outcome.
How much interest do you pay on a fix and flip loan?
Less than most calculators tell you, if the loan is drawn properly. Rehab money is released in draws as work completes, so the average outstanding balance sits well below the full facility — but the common formula charges the entire loan from day one, which overstates the interest on a rehab deal by roughly 20 to 35 percent. This calculator prices the drawn balance and shows you the difference.
What interest rate should I use for a fix and flip?
The one you were actually quoted. NexWin Capital Corp. places lender capital rather than setting the price, so we will not pre-fill a number that would read as a quote — several calculators in this field do hard-code one, which quietly anchors every deal you model on it. Instead the tool solves the question from the other direction: it tells you the break-even rate for your own deal, and the highest rate that still clears your target return.
How much are property taxes when flipping a house in California?
More than the listing's tax history suggests, and that catches investors out. A change of ownership reassesses the property to a new base year value equal to your purchase price under Proposition 13, so you inherit the price you paid, not the seller's long-held basis. A separate supplemental bill (Revenue and Taxation Code sections 75 to 75.72) covers the difference, prorated from your close date, and it is not paid from an impound account. A purchase closing between January and May spans two assessment rolls and generates two of them.
Is this calculator a loan offer?
No. It is arithmetic that runs in your browser, and nothing is submitted when you use it. The figures are estimates for planning, not an appraisal, quote, pre-approval, offer or commitment to lend, and the property tax figures are an estimate of public assessment mechanics rather than tax advice.