After Repair Value (ARV) Calculator

Formula

To calculate the After Repair Value (ARV):

\[ ARV = ACSF \times TSF \]

Where:

$ARV$ is the after-repair value ($)
$ACSF$ is the average cost or price per square foot that repaired homes have sold for in the area ($/ft²)
$TSF$ is the total square feet (ft²)

What is ARV?

ARV, short for after-repair value, is a term used in real estate to describe the value of a home after it has been repaired to modern standards. This term is brought up mostly in the "flipping market" since the goal of that market is to repair and re-sell old homes.

Example Calculation 1

Let's assume the following values:

Average Cost per Square Foot (ACSF) = $150/ft²
Total Square Feet (TSF) = 2000 ft²

Using the formula:

\[ ARV = 150 \times 2000 = 300000 \]

The after-repair value is $300,000.

Example Calculation 2

Let's assume the following values:

Average Cost per Square Foot (ACSF) = $200/ft²
Total Square Feet (TSF) = 2500 ft²

Using the formula:

\[ ARV = 200 \times 2500 = 500000 \]

The after-repair value is $500,000.