MAO Calculator & Repair Estimate Calculator
Use this free MAO calculator to find your Maximum Allowable Offer and estimate renovation costs for your next real estate deal.
Contract with Cash Buyer = ARV × Investment % − Renovation Estimate. Contract with Seller = that number minus your assignment fee — the most you should pay to lock up the deal.
Rates are per-square-foot rules of thumb by rehab tier — adjust to match material and labor costs in your market. Total = rate per sq ft × square footage.
How to use the MAO calculator and repair estimate calculator
1. Set your investment percentage
Use the slider or type a value to set your target investor percentage, 70% is the industry standard.
2. Enter ARV and renovation costs
Input the After Repair Value and your renovation estimate to see your Contract with Cash Buyer price.
3. Add your profit for the seller contract
Enter your target wholesaler profit to see the maximum you should offer the seller directly.
4. Estimate repairs by rehab tier
Use the Repair Estimate Calculator to quickly price out renovation costs based on square footage and rehab severity.
What is a MAO calculator and the Maximum Allowable Offer?
The Maximum Allowable Offer (MAO) is the highest price an investor should pay for a property while still leaving room for profit after accounting for repairs, holding costs, and selling expenses. A MAO calculator applies the well-known 70% rule used in house flipping. The Contract with Cash Buyer figure shows what an end buyer would pay, while the Contract with Seller figure subtracts your assignment fee, giving wholesalers the real number to negotiate with sellers. If you're also financing part of a deal, our loan calculator can help estimate monthly payments.
How the MAO calculator repair estimate tiers work
Each rehab tier reflects a rough per-square-foot cost: Livable work covers cosmetic touch-ups, Light and Moderate Rehab cover kitchens, bathrooms, and flooring, Heavy Rehab includes systems like plumbing and electrical, and Full Gut / Addition covers a near-complete rebuild. These are starting points, not fixed prices, actual costs vary significantly by region, contractor, and material choices. For broader context on evaluating investment deals, see this overview of real estate investing on Wikipedia.
MAO calculator: frequently asked questions
What's the difference between the two result boxes?
Contract with Cash Buyer is the maximum an end buyer would pay. Contract with Seller subtracts your assignment fee (the wholesaler's profit), giving you the maximum you should offer the seller.
What investment percentage should I use in the MAO calculator?
70% is the industry standard, but it depends on your market and risk. Use a lower percentage for riskier deals or bigger repairs, and a higher one in strong markets.
How accurate is the repair estimate?
The repair estimate uses per-square-foot rules of thumb for each rehab tier. Treat it as a starting point and replace it with real contractor quotes before you make an offer.
What is ARV?
ARV stands for after repair value. It is what the property should sell for once renovated, usually estimated from recent sales of similar homes nearby.
Results from this MAO calculator are estimates for general information only and are not financial, legal or investment advice. Check your numbers with a qualified professional before making an offer.