After-Repair Value (ARV) Calculator
Estimate a property’s after-repair value from comparable sales price-per-square-foot and your subject’s finished size.
How it works
Price per sqft (each comp) = comp sale price ÷ comp size · Average PPSF = mean of comps · ARV = average PPSF × subject living area
After-repair value is what a property should sell for once renovated to match its neighbors. The standard way to estimate it is the price-per-square-foot method: take recent sales of similar, already-finished homes, divide each sale price by its living area, average those figures, and multiply by your subject’s square footage. It is the same logic an appraiser uses, simplified. The quality of the estimate depends entirely on the comps — they should be nearby, recently sold, and similar in age, style and condition to the finished product.
Worked example
Three comps sold at $285,000 / 1,500 sqft ($190), $320,000 / 1,750 sqft ($182.86) and $298,000 / 1,620 sqft ($183.95). Their average price per square foot is about $185.60. For a subject with 1,600 sqft of finished living area, estimated ARV is 185.60 × 1,600 ≈ $296,960.
Frequently asked questions
What makes a good comparable sale?
The best comps are homes that sold in the last 3–6 months, within about a half-mile, of similar size, age, style and lot, and in finished condition matching your planned renovation. The closer the match, the more reliable the price-per-square-foot figure.
Is price per square foot always accurate?
It is a solid first estimate but has limits: smaller homes often sell at a higher price per square foot than larger ones, and features like a garage, extra bath, or premium lot are not captured by area alone. Adjust for major differences or get an appraisal before relying on the number.
How does ARV feed into a flip analysis?
ARV is the anchor for the 70% rule and for BRRRR refinances: your maximum purchase price and your refinance loan are both computed as a percentage of ARV. A too-optimistic ARV cascades into overpaying, so estimate it conservatively.
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Educational estimate, not financial or investment advice. Real returns depend on financing, local costs and market conditions.