Fix and Flip Profit: $400K Sale Price, $250K Purchase, $60K Renovation
A fix-and-flip with a $400,000 sale price, $250,000 purchase, and $60,000 renovation could net approximately $55,000 in profit.
How to use this tool
- Enter the after-repair value: the expected sale price after renovation.
- Enter the purchase price and renovation budget.
- Estimate holding costs (interest, taxes, insurance, utilities while you own it).
- Estimate selling costs (commissions and closing costs at sale).
- Read the net profit, total cost, and ROI.
Estimate the net profit for a fix-and-flip project targeting a $400,000 sale price with a $250,000 purchase and $60,000 in renovations.
Frequently asked questions
- What is a good ROI on a house flip?
- Many flippers target a net profit of at least 10-20% of the all-in cost, or a fixed minimum profit such as $25,000-$50,000 per deal, to compensate for the time, risk, and capital. The right target depends on your market and capital cost.
- Why include holding and selling costs?
- They are real and large. Holding costs accrue every month you own the property, and selling costs (commissions plus closing) often run 6-10% of the sale price. Leaving them out overstates profit dramatically.
- Is this ROI annualized?
- No. It is the simple return on total cost for the whole project. A 20% return earned in six months is far better than the same 20% over two years, so also track your timeline.