After-Repair Value Calculator Prompt
Prompt
Estimate ARV for a distressed property purchase or renovation project. [PASTE: Current condition, repair scope, comparable move-in ready values, offer price] Steps: 1) Research market values for renovated comps 2) Calculate weighted average 3) Apply conservative discount 5-15% 4) Estimate total repair cost 5) Calculate profit 6) Determine break-even returns 7) Scenario test +/- 10% Output: ARV analysis, profit estimate, risk-adjusted returns, go/no-go recommendation.
Why it works
Disciplined ARV prevents overleveraging on speculative deals. Scenario testing protects capital.
Watch out for
Underestimating repair costs is common. Build 15-20% contingency and use market-based ARV.
Used by
Finance TeamsData Analysts