Free MAO calculator

Set a maximum offer from the complete cost stack.

Compare the quick 70% rule with the price the deal can actually support after your financing, timeline, exit costs, and required profit.

FreeNo accountRuns in your browserShareable inputs

Editable assumptions

Enter your scenario

Blue values are assumptions. Change them to match the property and documents in front of you.

After-repair valueExpected market value after the planned work.Screening rule percentageThe percentage of ARV used for the quick rule.%Repair budgetRenovation budget including appropriate contingency.Financing costsInterest, points, draw fees, extension risk, and lender charges.Holding costsTaxes, insurance, utilities, association, security, and property care.Buying costsAcquisition costs as a percentage of purchase price.%Selling costsExpected sale costs as a percentage of ARV.%Required profitMinimum project profit before income tax.

Live calculation

What the inputs produce

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Detailed maximum offer$233,333

Purchase-price ceiling after the complete modeled cost stack and target profit.

70% rule offer$220,000

Quick screening rule: selected percentage of ARV less repairs.

Difference between methods$13,333

Positive means the detailed model permits more; negative means the rule is less conservative for these inputs.

Modeled selling costs$32,000

Sale-cost percentage applied to ARV.

Required non-purchase spread$166,667

Value reserved for acquisition costs, repairs, financing, holding, selling, and target profit.

Need evidence behind the assumptions?

Move the scenario into a live property record.

Rehabfolio connects comps, scope, financing, schedule, actual costs, documents, and the final outcome.

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The formula

Know exactly what the calculator is doing.

Detailed MAO = (ARV - repairs - financing - holding - selling costs - target profit) / (1 + buying cost rate)

Dividing by one plus the buying-cost rate solves for acquisition costs that change with the purchase price instead of estimating them after the fact.

A durable workflow

Use the result as a decision aid, not a verdict.

Support the exit value

Select relevant sold comparables and document adjustments.

Calculate both offer limits

Use the rule as a screen and the full cost stack as the decision model.

Choose the lower justified limit

A fast rule should not override known financing, schedule, or condition risk.

Important limits

What this calculation cannot know.

A percentage rule cannot know your loan terms, tax rate, timeline, or local sale costs.
Do not treat an online valuation estimate as a finished ARV opinion.
Required profit should reflect time, capital at risk, and downside exposure.

For a deeper explanation, read The 70% rule and your maximum offer.

Common questions

Understand the terms before using the output.

What is the maximum allowable offer?

MAO is the highest purchase price that still leaves room for the costs and required profit in the model.

What is the 70% rule formula?

Multiply ARV by 70%, then subtract the repair budget. It is a quick screening convention, not a complete underwriting method.

Why is my detailed MAO lower than the 70% rule?

Your financing, timeline, selling costs, or profit target may exceed what the rule's 30% spread implicitly allows.

Should I always offer the MAO?

No. MAO is a walk-away ceiling under the entered assumptions, not necessarily an opening or target offer.

Does the calculation include taxes?

It includes property-related costs only when you enter them. It does not estimate income or entity taxes.

From calculation to operating record

Keep the assumptions, evidence, work, and outcome together.

Start free. No card required. AI outputs remain drafts until you approve them.