Use our fix-and-flip calculator with Phoenix-specific market data to estimate ARV, MAO (70% rule), profit, ROI, and cash needed for flips in Scottsdale, Tempe, Mesa, and Chandler.
Phoenix Fix-and-Flip Market Overview
Phoenix continues to attract fix-and-flip investors in 2025, thanks to strong population growth, favorable climate, and steady demand from out-of-state buyers. Median home prices range from $350,000 in central Phoenix to $700,000+ in Scottsdale. Rehab budgets typically run $40,000-$80,000 for cosmetic updates and $100,000+ for major renovations.
Key Phoenix submarkets for flipping:
- Central Phoenix: Older homes near downtown, median ARV ~$400,000, strong demand from young professionals.
- Tempe: Near ASU campus, median ARV ~$450,000, mix of student rentals and family homes.
- Mesa: Family-friendly suburbs, median ARV ~$420,000, lower rehab costs, strong ROI potential.
- Scottsdale: Premium market, median ARV ~$750,000, higher rehab standards, competitive bidding.
How to Use the Calculator for Phoenix Flips
- Enter Purchase Price: Phoenix deals range from $250,000 (fixer in Mesa) to $500,000+ (Scottsdale teardown). Use recent sold comps to validate your offer.
- Estimate Rehab Cost: Budget $40-60k for cosmetic updates (paint, flooring, kitchen/bath refresh), $80-120k for structural work (HVAC, roof, plumbing). Add 15% contingency for Phoenix's hot summer conditions (AC is critical).
- Set ARV: Pull 3+ sold comps within 0.5 miles and 6 months. Adjust for square footage, lot size, pool (adds $20-40k in Phoenix), and finishes.
- Configure Financing: Phoenix hard money lenders typically charge 10-13% APR, 2-3 points, and require 20-25% down. Set holding period to 5-7 months (Phoenix flips move fast in peak season).
- Add Holding Costs: Property tax ~$200-400/mo, insurance ~$150-250/mo, utilities ~$150/mo (AC during summer). Total holding: $500-800/mo.
- Calculate Selling Costs: Agent commission 5-6%, seller closing ~2%, buy-side closing ~1.5%.
Phoenix Flip Example: Mesa Suburban Home
| Input | Value |
|---|---|
| Purchase Price | $250,000 |
| Rehab Budget | $60,000 |
| ARV (Sold Comps) | $420,000 |
| Down Payment | 20% |
| APR / Points | 12% / 2% |
| Holding Period | 6 months |
| Monthly Holding | $500 |
| Projected Profit | $53,650 |
| ROI on Cash | 45.6% |
| MAO (Adjusted) | $197,400 |
Interpretation: At a $250,000 purchase price and $60,000 rehab, you'd net $53,650 profit in 6 months, a 45.6% ROI. The adjusted MAO of $197,400 shows you have room to negotiate down if the seller is asking $250k+.
Phoenix-Specific Tips
- Validate ARV with Recent Comps: Phoenix markets move fast. Use sold data from the last 3-6 months, not list prices.
- Budget for AC & Pool: Phoenix buyers expect working AC and many homes have pools. Budget $8-15k for HVAC replacement and $5-10k for pool resurfacing if needed.
- Understand Seasonality: Peak selling season is Feb-May. List before summer heat to maximize buyer interest.
- Target Growth Corridors: West Phoenix, Surprise, and Goodyear are seeing strong appreciation. Central Phoenix and Tempe offer quick flips but tighter margins.
- Hard Money Options: Phoenix has competitive hard money lending. Shop around for 10-12% APR and 1.5-2 points to improve ROI.
Related Tools & Sources
- Fix and Flip Calculator – compute ARV, MAO, profit, ROI instantly.
- How to Use Fix and Flip Calculator – step-by-step guide.
- Mortgage Calculator – model end-buyer or rental property financing.
- Long-Term Rental ROI – compare buy-and-hold vs flip strategies.
- Best Free Mortgage Calculators 2025 – compare top tools.
- BiggerPockets Forums – real estate investor community and Phoenix market insights.
- CFPB Homeownership Resources – federal guidance on real estate investing.
Run Your Phoenix Flip
Use the Fix and Flip Calculator with Phoenix market data before making an offer.
Methodology & Disclaimers
This calculator is an educational tool only; it is not investment advice or a guarantee of profit. Phoenix market data is illustrative; actual prices, rehab costs, and holding periods vary by neighborhood, property condition, and market timing. Always validate ARV with local comps, obtain contractor bids, and consult licensed real estate and financial professionals before purchasing investment property.