MAO (Max Allowable Offer) Calculator

Calculate a Max Allowable Offer for wholesaling using ARV, repair costs, fees, and buyer margin. Built to help you find a defendable offer number and avoid thin deals.

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Inputs

Results

Max allowable offer (MAO)
$165,000
Investor max all-in (ARV × %)
$210,000
Quick check
Deal can work (on paper).
Formula
MAO = (ARV × MAO%) − Repairs − Assignment Fee − Other Costs

Tip: Many buyers vary between 65–75% depending on market, financing, and rehab complexity.

How to Use This MAO Calculator for Wholesaling (Mini Guide)

Use this to back into the highest price you can offer while still leaving room for repairs, your assignment fee, and the end buyer’s margin.

Mini Guide
On this page

MAO in plain English

MAO (Max Allowable Offer) is the highest contract price that still makes the deal work after repairs, fees, and costs.

If your contract is above MAO, the deal usually breaks unless something else changes (ARV, repairs, fee, etc.).

How to set inputs so your MAO is real

ARV: use comps you can defend — don’t anchor to the highest sale.

Repairs: be conservative; underestimating repairs is the #1 reason deals die or get retraded.

MAO %: many buyers land around 65–75% depending on market and rehab risk.

Other costs: include title/closing, holding utilities, cleanup, etc.

How to use it during negotiation

Start with ARV you can defend, then repairs with a buffer.

Pick a MAO % that matches your buyer (ask them!).

Your output is your walk-away number — don’t negotiate above it unless you’re intentionally reducing your fee.

Quick checks to avoid dead deals

If it only works with optimistic ARV + low repairs + high % — it’s probably thin.

If it works with conservative repairs and a lower % — you likely have a real assignment opportunity.

Try it with local assumptions

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FAQ

What is MAO in wholesaling?
MAO (Max Allowable Offer) is the highest price you can contract a property for while leaving enough room for repairs, your assignment fee, and the end buyer's margin.
What MAO % should I use?
Common heuristics range from 65% to 75% depending on market heat, financing, and rehab risk.
Does this include closing costs?
You can include them in the 'Other costs' field. Different buyers will treat these differently.