What is the 70% Rule in Flipping Houses?

By |2019-06-23T17:53:00-04:00June 24th, 2019|Categories: Hard Money|Tags: , , , |0 Comments

If you've been involved in investing for a while - or if you've been doing plenty of research on flipping properties to make some cash - you've heard of the 70 percent rule. But what is it, and how do you figure out how much it is? What is the 70% Rule in Flipping Houses? The 70 percent rule says that an investor should pay 70 percent of a property's after-repair value, or ARV, minus the repairs necessary. 70% Rule: Examples So let's say a home's ARV is $200,000 and it needs $50,000 in repairs and upgrades to make it