MAO Calculator — Calculate Your Maximum Allowable Offer
Know exactly how much to offer on any investment property. Our MAO calculator combines ARV, rehab costs, and your profit targets to generate the perfect offer price.
Instant MAO Calculation
Enter ARV and rehab costs to instantly calculate your maximum allowable offer for any deal.
70% Rule Built-In
Uses the industry-standard 70% rule with customizable profit margins for your strategy.
Profit Margin Control
Adjust your target profit percentage to see how it affects your maximum offer.
Deal Score Analysis
Automatically scores deals based on potential profit and risk factors.
Multiple Exit Strategies
Calculate MAO for flip, wholesale, or buy-and-hold investment strategies.
Quick Offer Decisions
Make confident offers in minutes instead of hours with accurate calculations.
Understanding the 70% Rule for Real Estate Investing
The 70% rule is a foundational principle for real estate investors calculating their maximum allowable offer. It states that you should pay no more than 70% of the After Repair Value (ARV) minus repair costs. This formula ensures adequate profit margin while accounting for holding costs, closing costs, and unexpected expenses.
MAO = (ARV × 0.70) - Repair Costs
Our calculator applies this formula automatically while allowing you to adjust the percentage for different market conditions or investment strategies.
How to Calculate Maximum Allowable Offer
Calculating your MAO requires three key inputs: the After Repair Value (ARV), estimated repair costs, and your desired profit margin. Start by determining the ARV through comparable sales analysis. Next, estimate repair costs using our rehab calculator or contractor quotes. Finally, apply your target profit margin to arrive at your maximum offer.
Our MAO calculator automates this process and provides instant results, helping you make quick decisions on potential deals.
Frequently Asked Questions
Calculate Your Maximum Offer Now
Join thousands of investors making smarter real estate decisions.
Get Free Deal Breakdown