How to Analyze Any Real Estate Deal in 30 Minutes
Most wholesale deals die because the numbers were wrong. Not because the seller backed out. Not because the buyer ghosted. The numbers were wrong. The ARV was inflated. The repairs were underestimated. The offer was too high for any exit strategy to make sense. And the wholesaler either loses their earnest money or spends weeks marketing a deal that nobody bites on.
Here is the thing: analyzing a deal is not complicated. It is a repeatable, step-by-step process. Once you know the steps, you can accurately analyze any residential property in about 30 minutes. You do not need to be an appraiser. You do not need a contractor on speed dial. You need a system.
This guide walks through that system from start to finish. We will use real numbers from the Houston metro area, because that is where a lot of wholesalers operate and because the price points ($150K-$300K) are typical for bread-and-butter wholesale deals. Every step has actionable takeaways you can apply to your next deal today.
What we will cover
- Why proper analysis matters
- Pull comparable sales (comps)
- Calculate after-repair value (ARV)
- Understand after-repair rent (ARR)
- Estimate repairs
- Calculate your maximum allowable offer (MAO)
- Choose your exit strategy
- Package and present your analysis
- Common analysis mistakes
- How Deal Run handles all of this
Why proper analysis matters
Let's say you get a lead on a 3-bed, 2-bath ranch in Cypress, TX. The seller wants $165,000. You pull some quick comps, see a few sales around $250K, and think you have an $85K spread. You lock up the contract at $165K with a $5,000 earnest money deposit. You start marketing to your buyer list.
Then reality hits. Those $250K comps were fully renovated properties with new kitchens, updated bathrooms, and fresh roofs. Your subject needs all of that work, which will cost a flipper $55,000. A flipper buying at your asking price of $195K plus $55K in repairs is all-in at $250K on a $250K ARV. There is zero profit margin for them. No one makes an offer. You spend three weeks marketing a dead deal, burn credibility with your buyer list, and eventually cancel the contract. You might get your earnest money back. You might not.
This happens every day. Not because wholesalers are lazy, but because they skip steps in their analysis or do not know what to look for. The solution is not working harder. It is working through a complete analysis checklist every single time.
The 30 minutes you spend analyzing a deal properly will save you weeks of wasted marketing and thousands in lost earnest money.
Beyond avoiding bad deals, thorough analysis is what separates the wholesalers who close 2 deals a month from those who close 2 deals a year. When you send a deal to an experienced flipper or landlord with tight comps, a realistic repair estimate, and a clear MAO breakdown, they trust your numbers. They make offers quickly. They come back for your next deal. Your analysis is your reputation.
Step 1: Pull comparable sales
Everything starts with comps. Comparable sales are recently sold properties similar to your subject that tell you what the market is actually paying. Not what Zillow says. Not what the seller thinks. What real buyers have recently closed on.
We have a complete guide to running comps that goes deep on this topic. Here is the summary of what matters for your deal analysis.
Start with tight parameters
Begin your search with these filters:
- Radius: 0.5 miles from your subject property. This keeps you in the same neighborhood, same school zone, and usually the same price tier. If you are in a rural area with fewer sales, you may need to expand to 1 mile.
- Time frame: 3 months of sold data. Recent sales reflect current market conditions. If 3 months does not give you at least 3 comps, expand to 6 months. Only go to 12 months as a last resort, and note it when you do.
- Bed/bath: Same configuration as your subject, plus or minus one bedroom. A 3/2 subject should be compared to 3/2 and 3/1 or 4/2 sales. Do not compare a 3/2 to a 5/3.
- Square footage: Within 20% of your subject. If your subject is 1,600 sqft, search for 1,280 to 1,920 sqft.
- Property type: Single-family to single-family. Do not mix townhouses, condos, or duplexes into your single-family comp set.
Filter by condition
This is where most wholesalers go wrong. They pull five sold comps and average the prices without considering condition. But a renovated flip that sold for $265K and a distressed bank-owned sale at $175K are not the same data point, even if they are next door to each other.
You need two sets of comps:
- Renovated comps tell you what the property will be worth after repairs (your ARV). Look for sales described as "updated," "remodeled," or that have listing photos showing new finishes.
- As-is comps tell you what the property is worth right now, in its current condition. These are your floor. Look for sales with original finishes, dated kitchens, or that sold to investors.
Reviewing listing photos and descriptions lets you sort comps into condition categories. Properties with new kitchens, updated bathrooms, and modern finishes are renovated. Properties with original finishes but maintained systems are dated but livable. Properties with visible damage or heavy deferred maintenance are distressed. Sorting comps into these condition buckets gives you much more accurate valuations. Deal Run's comp analysis helps you evaluate condition on every comparable.
How many comps do you need? Three is the minimum to establish a pattern. Five is better. If you cannot find at least three solid comps within a mile and six months, the property may be in a market with low transaction volume, which means it will also be harder to sell to a buyer. That is worth knowing before you lock it up.
Check actives and pendings as leading indicators
Do not stop at sold comps. Active and pending listings are your future solds and act as a leading indicator of where the market is heading. If renovated active listings similar to your subject have been sitting for 60+ days, that is a clear signal that the market does not support their list price. Your ARV should reflect this -- it needs to come in lower than what those stale actives are asking, because they will likely sell for less.
Call the listing agents on active and pending renovated properties near your subject. Ask about traffic, whether they have gotten close to pending, and what buyer feedback sounds like. This takes five minutes and gives you real-time market intelligence that sold data cannot provide. If three listing agents all tell you traffic is slow and buyers are offering below asking, that changes your ARV calculation even if the recent solds still look strong.
What to record for each comp
For every comp you pull, note these data points. You will need them for your ARV calculation and for your buyer package later:
- Address and distance from subject
- Sale date and sale price
- Square footage, bed/bath count, lot size
- Year built
- Condition (renovated, dated, or distressed — based on listing photos and descriptions)
- Days on market (tells you if the price was right or if it sat)
- Any notable features (pool, extra garage, corner lot, flood zone)
Step 2: Calculate after-repair value (ARV)
ARV is the price your subject property should sell for after a buyer completes all necessary renovations. It is the most important number in your entire analysis because every other calculation flows from it. If your ARV is wrong, your MAO is wrong, your marketing price is wrong, and the deal does not work. Full details in our ARV calculation guide.
How to calculate it
Take your renovated comps (properties that clearly show updated finishes in listing photos) and find the ones most similar to your subject in size, build, and location. Then make lump-sum dollar adjustments for any differences -- size, bed/bath count, garage, pool, lot size. The adjusted sold prices of your best comps, weighted by similarity, give you your ARV.
Worked example: 3/2 Ranch in Katy, TX
Subject: 1,650 sqft, 3 bed / 2 bath, built 1998, needs full cosmetic renovation. Original kitchen, worn carpet, dated bathrooms.
Renovated comps:
Comp A: 1,580 sqft, sold $258,000, 0.3 mi away, 2 months ago, condition 9/10
Comp B: 1,720 sqft, sold $272,000, 0.4 mi away, 4 months ago, condition 8/10
Comp C: 1,610 sqft, sold $262,000, 0.6 mi away, 1 month ago, condition 9/10
Comp D: 1,690 sqft, sold $268,000, 0.5 mi away, 3 months ago, condition 8/10
Adjustments: Comp A is 70 sqft smaller, adjust up +$5,000 = $263,000. Comp B is 70 sqft larger, adjust down -$5,000 = $267,000. Comp C is 40 sqft smaller, adjust up +$3,000 = $265,000. Comp D is 40 sqft larger, adjust down -$3,000 = $265,000.
Weighted average: Comp C (closest match, most recent) 35%, Comp A 30%, Comp D 20%, Comp B 15% = $265,000
Adjustments to make
No comp is identical to your subject. You will need to adjust for differences:
- Square footage: Use lump-sum adjustments based on the size difference. A comp that is 100-200 sqft different might warrant a $5,000-$15,000 adjustment. But if there is a huge size difference (say your subject is 1,650 sqft and a comp is 2,100 sqft), consider dropping that comp entirely rather than adjusting.
- Garage: A 2-car garage versus a 1-car adds $8,000-$15,000 in most Houston-area markets.
- Pool: Adds $10,000-$20,000 in Texas for retail and flip buyers. But pools scare off most landlords -- they carry $5K-$20K in hidden rehab costs (resurfacing, pump/filter replacement, decking repair, fence code compliance), higher insurance premiums, liability exposure, and ongoing maintenance that cuts directly into cash flow. If your buyer pool is mostly investors, treat a pool as neutral or negative in your adjustments.
- Lot size: If your subject is on 0.15 acres and a comp is on 0.5 acres, that comp has a premium that does not apply to you. Adjust down or drop it.
- Age and style: A 2015-build comp is not a good match for a 1985-build subject even if all other metrics match. Newer builds trade at a significant premium.
Common ARV mistakes
The three mistakes that inflate ARV most often:
- Using comps that are too far away. A comp 2 miles away might be in a better school district, a gated community, or on the other side of a highway. Distance matters more than most people realize.
- Mixing condition levels. Averaging a $280K renovated sale with a $190K distressed sale gives you $235K, which is neither the as-is value nor the after-repair value. It is a meaningless number. Separate your comps by condition.
- Ignoring days on market. A comp that sold for $280K but sat for 180 days tells a different story than one that sold for $265K in 12 days. The $265K property was priced right. The $280K was probably overpriced and the seller finally accepted a lower offer. Check what they actually closed at, not the original list price.
Step 3: Understand after-repair rent (ARR)
This is where a lot of wholesalers leave money on the table. If you are only calculating ARV, you are only speaking to flippers. But landlords and BRRRR investors do not care as much about what a property will sell for. They care about what it will rent for.
ARR stands for after-repair rent. It is the monthly rent a property should command once it has been brought to rentable condition. For our full comparison of ARV versus ARR and when each matters, see the dedicated article. Here is what you need to know for your deal analysis.
Why ARR matters for wholesalers
The buyer mix varies by market, but landlords and BRRRR investors make up a significant share of wholesale transactions. In today's interest rate environment, flippers are increasingly active, but rental buyers remain a major force. These buyers evaluate deals based on cash flow and cap rate, not flip profit. If you send a deal to a landlord and only show them flip numbers, you are making them do extra work. Many will just move on to the next deal.
When you include rental comps and ARR in your analysis, you are speaking the buyer's language. A landlord wants to see: purchase price, estimated repairs to rentable condition, total investment, expected monthly rent, and cash-on-cash return. Give them those numbers, and they can make a decision in minutes.
How to pull rental comps
Rental comps work similarly to sales comps but with a few differences:
- Radius: Same as sales comps, 0.5 to 1 mile. Rents are hyper-local.
- Time frame: 3-6 months of active or recently leased properties.
- Condition matters even more. A tenant paying $1,800/month for a renovated unit will not pay $1,800 for a dated one. You need rental comps that match the anticipated post-repair condition of your subject.
- Look at both active and leased. Active listings tell you what landlords are asking. Leased comps tell you what tenants are actually paying. If there is a big gap, rents are likely being cut before lease signing.
Worked example: rental analysis for the Katy property
Subject: Same 3/2, 1,650 sqft in Katy, TX. After cosmetic renovation to rentable condition.
Rental comps:
Rental A: 3/2, 1,580 sqft, leased at $1,750/mo, 0.3 mi, updated condition
Rental B: 3/2, 1,700 sqft, leased at $1,825/mo, 0.5 mi, renovated
Rental C: 3/2, 1,620 sqft, listed at $1,795/mo, 0.4 mi, updated condition
Estimated ARR: $1,775/month
Why this matters for pricing: A landlord buying at $185K with $30K in rental-grade repairs is all-in at $215K. At $1,775/mo rent, that is a 9.9% gross yield. Most landlords in this market want 8%+ gross yield. This deal works for a landlord even though the flip margin might be thin.
Rentable condition versus flip condition
This is a critical distinction. Bringing a property to rentable condition costs significantly less than bringing it to retail-flip condition. A rental renovation might mean new LVP flooring, painted cabinets, basic countertops, and a freshened bathroom. A flip renovation means quartz countertops, new cabinets, tile backsplash, and designer fixtures. The difference in cost can be $15,000-$30,000 on a typical 3/2.
This means the repair estimate for a rental buyer is lower, which changes the MAO calculation. We will cover this in Step 5.
Step 4: Estimate repairs
Repair estimation is where most new wholesalers feel the least confident. You are not a contractor. You have never swung a hammer. How are you supposed to know what a full kitchen renovation costs?
The answer is: you do not need to know it to the penny. You need to be in the right ballpark. Your buyer will do their own detailed estimate anyway. What they are looking for from you is a reasonable repair number that shows you understand the property's condition and have not ignored obvious issues. Our repair cost estimation guide covers this in detail.
The three levels of renovation
Every property falls into one of three buckets. Knowing which bucket your property is in gets you 80% of the way to an accurate estimate.
Level 1: Cosmetic / Light Rehab ($15-$25 per sqft)
The property is livable but dated. Think 1990s oak cabinets, carpet throughout, brass fixtures, popcorn ceilings. Walls are intact, roof has life left, HVAC works, plumbing and electrical are functional. The renovation is paint, flooring, countertops, fixtures, and landscaping.
- Paint interior and exterior: $7,000-$11,000 (interior alone is $3-$4/sqft)
- New flooring throughout (LVP): $4,000-$7,000
- Kitchen update (counters, hardware, backsplash, paint cabinets): $4,000-$8,000
- Bathroom updates (vanities, fixtures, mirrors): $2,000-$4,000 per bath
- Landscaping and curb appeal: $1,500-$3,000
- Total for 1,650 sqft: $22,000-$38,000
Level 2: Moderate Rehab ($25-$45 per sqft)
The property needs more than cosmetics. Maybe the kitchen needs new cabinets, not just paint. One or two bathrooms need a full gut. The roof has 2-3 years left and needs replacement. HVAC is old and should be replaced as part of the rehab. Some drywall repair. Maybe a plumbing issue or two.
- Everything in Level 1, plus:
- Full kitchen remodel (new cabinets, counters, appliances): $12,000-$20,000
- Full bathroom gut and rebuild: $5,000-$10,000 per bath
- Roof replacement: $7,000-$12,000
- HVAC replacement: $5,000-$8,000
- Drywall and texture repairs: $2,000-$4,000
- Total for 1,650 sqft: $42,000-$65,000
Level 3: Full Gut Rehab ($45-$75+ per sqft)
The property is not livable. Fire damage, foundation issues, extensive water damage, outdated electrical (knob and tube or aluminum wiring), galvanized plumbing that needs replacing, mold, structural issues. This is a studs-out renovation.
- Everything in Levels 1 and 2, plus:
- Foundation repair: $5,000-$20,000+
- Electrical rewiring: $8,000-$15,000
- Plumbing re-pipe: $5,000-$12,000
- Structural repairs: varies widely
- Mold remediation: $3,000-$10,000
- Total for 1,650 sqft: $75,000-$125,000+
The walkthrough method
If you can get inside the property (or have photos), walk through it room by room and note what needs to be done. Use this checklist:
- Exterior: Roof (age, missing shingles, sagging), siding (damage, paint), gutters, windows (fogged, cracked, need replacing), landscaping, driveway, fence
- Kitchen: Cabinets (keep and paint, or replace?), countertops, appliances (working?), flooring, backsplash, plumbing under sink
- Bathrooms: Vanity, toilet, tub/shower (re-glaze or replace?), tile, faucets, ventilation fan
- Living areas: Flooring condition, walls (cracks, water stains, holes), ceiling (popcorn? stains?), trim and baseboards
- Bedrooms: Flooring, closet doors, windows, ceiling fans
- Systems: HVAC (age, brand, does it run?), water heater (age?), electrical panel (100 amp? 200 amp? breaker or fuse?), plumbing (copper, PEX, galvanized?)
- Foundation: Cracks in brick exterior? Doors that will not close? Sloping floors? These are signs of foundation movement, common in Houston.
You do not need to price every item during the walkthrough. Categorize the property into Level 1, 2, or 3, then use the per-sqft range for a ballpark. If you have photos, AI repair estimation can analyze them and give you a room-by-room breakdown with cost ranges, which saves significant time.
Worked example: repair estimate for the Katy property
Condition: Level 1-2 (dated cosmetics, original kitchen needs new cabinets, both bathrooms need full update, HVAC is 18 years old, roof is 15 years old with some wear)
Flip-grade repairs:
Kitchen: full remodel with new cabinets, quartz counters, tile backsplash, SS appliances = $18,000
2 Bathrooms: gut and rebuild with new tile, vanities, fixtures = $14,000
Flooring: LVP throughout = $6,500
Paint: interior ($5,000 at ~$3/sqft for 1,650 sqft) + exterior ($3,500) = $8,500
HVAC: replace (18 years old) = $6,500
Roof: replace (15 years, end of life) = $9,000
Landscaping, fixtures, misc = $3,500
Total flip-grade repairs: $66,000 ($40/sqft, solidly in the Level 2 range)
Rental-grade repairs: $42,000 (painted cabinets instead of new, basic counters, builder-grade fixtures, skip the roof for now if it is not leaking)
Do not lie about repairs
Some wholesalers lowball repair estimates to make their deal look better. This backfires every time. An experienced buyer will walk the property, see that you estimated $25K on a house that clearly needs $60K, and never look at another deal from you. Worse, a newer buyer might trust your numbers, get under contract, and then discover the real costs after they have committed.
Be honest. If anything, round up on your repair estimate. A buyer who budgets $65K and comes in at $58K is happy. A buyer who budgets $45K and comes in at $58K is not.
Step 5: Calculate your maximum allowable offer (MAO)
Now we put the numbers together. MAO is the highest price you can pay for a property and still make money on the wholesale. It is the ceiling for your offer to the seller. For a comprehensive breakdown with multiple scenarios, see our MAO calculator guide.
The MAO formula
The standard wholesale MAO formula is:
MAO = ARV x 70% - Repairs - Your Assignment Fee
Let's break down each piece:
- ARV: The after-repair value you calculated in Step 2. This is what the property will sell for after renovation.
- 70-75% rule: This is the investor's margin. A flipper needs to buy at 70-75% of ARV (minus repairs) to cover their holding costs, closing costs, financing costs, and profit. In competitive markets, wholesale deals commonly trade at 70-80% of ARV, and many buyers and wholesalers work at 75% or higher. In slower markets with higher risk, some use 65%. Start at 70% but understand you may need to go to 75% to get deals done in today's market.
- Repairs: The estimated cost to bring the property to the target condition (flip-grade for flippers, rental-grade for landlords).
- Assignment fee: Your profit as the wholesaler. This is typically $5,000 to $15,000 for most bread-and-butter deals.
Worked example: MAO for the Katy property (flip exit)
ARV: $265,000
ARV x 70%: $185,500
Flip-grade repairs: -$62,000
Assignment fee: -$10,000
MAO = $185,500 - $62,000 - $10,000 = $113,500
This means you should offer the seller no more than $113,500. If the seller wants $165,000, this deal does not work for a flip buyer at these numbers. But keep reading, because it might work for a rental buyer.
MAO varies by exit strategy
This is one of the most important concepts in wholesaling that new investors miss. The MAO is different depending on who your buyer is and what they plan to do with the property. A flipper, a landlord, and a BRRRR investor will each pay a different maximum price for the exact same property.
Three MAOs for the same Katy property
Flip MAO:
$265,000 (ARV) x 70% - $62,000 (flip repairs) - $10,000 (your fee) = $113,500
Rental / Buy-and-Hold MAO:
Landlords typically want to be all-in (purchase + repairs) at 75-80% of ARV, with monthly rent at 1% of all-in cost.
Target all-in: $1,775 rent / 0.009 (0.9% rule in this market) = $197,222
$197,222 - $38,000 (rental-grade repairs) - $10,000 (your fee) = $149,222
Rounded: $149,000
BRRRR MAO:
BRRRR investors want to refinance out at 75% LTV of the ARV, recovering their cash.
$265,000 x 75% = $198,750 (refi amount)
$198,750 - $62,000 (flip-grade repairs, since they'll fully renovate) - $10,000 (your fee) = $126,750
Rounded: $126,000
Notice something? The seller wants $165,000. The flip MAO is $113,500 (does not work). The BRRRR MAO is $126,000 (does not work). But the rental MAO is $149,000. That is closer. If you can negotiate the seller down to $145K-$150K, this deal works for a landlord buyer. And since landlords and BRRRR investors make up a meaningful share of most buyer pools, that is a viable path.
This is why running multiple MAO scenarios matters. A deal that looks dead for one exit strategy can be alive and well for another.
Step 6: Choose your exit strategy
Your exit strategy determines which buyers you market to, what numbers you emphasize, and what repair level you estimate. If you do not choose an exit strategy before you market, you end up sending a generic deal blast that does not speak directly to anyone. Detailed breakdown in our exit strategies guide.
Wholesale to a flipper
Best for properties in desirable retail neighborhoods where renovated homes sell fast (under 30 days on market). Your buyer is looking for a clear flip profit of $30,000-$50,000+ after all costs. Emphasize ARV, comparable flip profits in the area, and a conservative repair estimate. Flippers want to see that the math works with room for cost overruns.
Key numbers to present: ARV, flip-grade repair estimate, all-in cost, projected net profit after holding costs and closing costs.
Best property profile: Cosmetic to moderate rehab in a neighborhood with strong retail demand. Avoid full guts for flipper exits unless the buyer is very experienced.
Wholesale to a landlord
Best for properties in stable rental neighborhoods with low vacancy rates. Your buyer cares about monthly cash flow, not resale price. They want to know the rent, the expenses, and the cap rate. Landlords will pay more than flippers for the same property if the rental numbers work because they are not looking for a quick flip profit. They are building long-term wealth.
Key numbers to present: ARR (monthly rent), rental-grade repair estimate, total investment, gross yield, estimated monthly cash flow after mortgage, taxes, and insurance.
Best property profile: Properties in B and C neighborhoods with strong rental demand, near employment centers, schools, and highways. A property in a $180K neighborhood that rents for $1,600/month is more attractive to a landlord than a property in a $350K neighborhood that rents for $2,200/month because the ratio is better.
Wholesale to a BRRRR investor
BRRRR stands for Buy, Rehab, Rent, Refinance, Repeat. These buyers want to force appreciation through renovation, stabilize with a tenant, then refinance to pull their cash out and do it again. They need the ARV to be high enough that a 75% LTV refinance covers their total investment.
Key numbers to present: ARV, full renovation cost, total investment, ARR, and the refinance math. Show them that the refi proceeds cover their purchase + repairs.
Best property profile: Properties that need significant work (which creates the forced appreciation gap) in neighborhoods where both sale prices and rents are strong. BRRRR investors are the sweet spot between flippers and landlords.
Double close (rare, but it happens)
When you cannot assign the contract (some sellers or title companies will not allow it), you close on the property yourself, then immediately resell to your buyer. Same analysis applies, but you need to account for double closing costs (two sets of title fees, two sets of closing costs). This adds $3,000-$5,000 to your cost, so adjust your offer accordingly.
Pro tip: market to the right buyer type. Do not blast your deal to your entire list with generic numbers. Segment your buyer list by strategy (flipper, landlord, BRRRR) and send each segment the numbers that matter to them. A flipper does not care about cap rate. A landlord does not care about flip profit. Speak their language, and you will get faster responses. Learn more about building and segmenting your buyer list.
Step 7: Package and present your analysis
You have the comps. You have the ARV and ARR. You have the repair estimate and the MAO for each exit strategy. Now you need to package this into something a buyer can look at and make a decision in five minutes.
Most wholesalers send a deal blast with an address, a price, and maybe one photo. That is not enough for a serious buyer to act on. The more work you do for your buyer upfront, the faster they move.
What to include in your deal package
- Property overview. Address, bed/bath, sqft, year built, lot size. Include a photo or Google Street View image. State the asking price clearly.
- Comp package. Your 3-5 best comps with address, sale price, sqft, condition, distance, and sale date. Show the adjustments you made and your derived ARV. If you have rental comps, include those too with your ARR.
- Repair estimate. Line-item breakdown by category (kitchen, bathrooms, flooring, paint, systems, exterior). Show both flip-grade and rental-grade totals so the buyer can choose their approach.
- Deal math summary. A clear one-page breakdown showing: asking price, ARV, repair estimate, all-in cost, projected profit (for flippers) or projected cash flow (for landlords). Make it easy to scan.
- Property details. Owner info, mortgage status (if known), equity position, tax info, any motivation flags (foreclosure, tax lien, code violations, divorce). This context helps buyers understand why the seller is willing to sell below market. Deal Run pulls this data automatically.
- Photos. As many as you have. Interior and exterior. Buyers want to see the condition with their own eyes. Even if the photos are rough cell phone shots, they are better than nothing.
Formatting matters
Your deal package does not need to be fancy, but it needs to be organized. A buyer should be able to open your email or view your deal page and find the asking price, ARV, repair estimate, and deal math within 10 seconds. If they have to scroll through a wall of text or open multiple attachments, you have lost them.
The best wholesalers send a one-page deal summary with a link to a full deal page that has all the details, comps, and photos. The email gets them interested. The deal page closes them.
Common analysis mistakes
After everything we have covered, here are the mistakes that still trip up even experienced wholesalers. We cover these in depth in our common deal analysis mistakes article, but here is the quick list.
1. Anchoring to the seller's price
The seller says they want $180K. You run comps and find an ARV of $240K. You think: "I can offer $180K, sell at $200K, and make $20K." But you have not done the math from the buyer's side. $200K asking price + $55K repairs = $255K all-in on a $240K ARV. Your buyer loses money. Always start from the ARV and work backward. Never start from the seller's price and try to make the numbers fit.
2. Ignoring holding costs
A flipper does not just pay the purchase price and repair costs. They also pay for financing (hard money at 10-14% interest), property taxes, insurance, utilities, and closing costs on both the buy and sell side. On a typical 4-month flip, holding costs add $8,000-$15,000 depending on the purchase price and loan terms. The 70% rule accounts for this, but if you are using a tighter margin like 75%, you need to break out holding costs separately.
3. Using the wrong comps for the exit strategy
If your buyer is a landlord, showing them flip comps (retail sales to owner-occupants) is not helpful. They want to see what investors have paid for similar properties. If your buyer is a flipper, showing them distressed sales as comps is useless. Match your comps to your buyer's exit strategy.
4. Not accounting for market direction
If prices in your market have been declining for three months, your six-month-old comps are probably too high. If prices are rising, your comps might be too low, but it is safer to be conservative. Use the most recent sales and weight them more heavily in your analysis.
5. Forgetting about flood zones and HOA
In Houston especially, flood zone designation can make or break a deal. A property in a FEMA-designated flood zone requires flood insurance, which can add $2,000-$5,000+ per year to carrying costs. This kills rental cash flow and scares off many flippers. Check the flood zone before you analyze the deal, not after. Same goes for HOA dues, which add monthly cost and restrict renovation options.
6. Relying on one data source
Zillow's Zestimate, your county appraisal district value, and your comp analysis will almost never agree. That is fine. The county value is usually low (that is the tax assessed value). Zillow's algorithm is often off by 5-15% in either direction. Your comp analysis, if done correctly, is the most reliable number because it is based on actual recent local sales filtered by condition. Use multiple sources to cross-check, but rely on your comps for the final ARV.
How Deal Run handles all of this
Everything in this guide is what Deal Run automates into a single workflow. Here is what happens when you type an address into Deal Run:
Address autocomplete. Start typing and Deal Run pulls the property details automatically: owner name, mortgage balance, equity position, tax assessed value, year built, sqft, bed/bath, lot size, and motivation flags like foreclosure, tax delinquency, or code violations. See property details features.
Instant comps with condition data. Both sale comps (for ARV) and rental comps (for ARR) are pulled automatically within your chosen radius and time frame. Review listing photos and property data to evaluate condition and filter renovated vs. distressed comps. Adjust radius, time frame, bed/bath, and sqft range with filters. View comps on a map or in a sortable grid. See comp analysis features.
Photo-based repair estimation. Upload photos of the property (or have the seller send them) and Deal Run's AI analyzes each room, identifies what needs repair, estimates costs by category, and gives you a total for three renovation levels: cosmetic, moderate, and full. You get a line-item breakdown you can include directly in your deal package. See repair estimation features.
MAO calculator with multiple exit strategies. Plug in your ARV, repairs, and desired assignment fee, and the calculator shows you the MAO for flip, rental, BRRRR, and wholesale exits side by side. Adjust the investor margin percentage, holding cost estimates, and financing terms. See exactly where the deal works and where it does not. See exit strategy features.
One-click marketing package. When your analysis is done, generate a shareable deal page with your comps, repair estimate, deal math, and photos. Send it to your buyer list via built-in email blast. Track who viewed the page, who clicked, and who submitted an offer.
The entire workflow, from typing an address to having a complete analysis ready to send to buyers, takes about 10 minutes. Not 30. The 30-minute estimate in the title of this article assumes you are doing it manually, which is how most wholesalers start. The point is that you can do it manually in 30 minutes if you follow the steps above. And you can do it in 10 with the right tool.
Putting it all together
Let's run through the complete analysis one more time on a new property so you can see the entire flow.
Full analysis: 4/2 in Spring, TX
Subject: 2,100 sqft, 4 bed / 2 bath, built 2003, on 0.18 acres. Single-story. HOA $45/mo. Not in a flood zone. Original condition throughout, seller is a tired landlord who has not updated anything since purchase. Asking $195,000.
Step 1 — Comps (0.5 mi, 6 months):
Renovated Comp A: 2,050 sqft, sold $298,000, condition 9/10, 0.3 mi, 2 months ago
Renovated Comp B: 2,200 sqft, sold $315,000, condition 8/10, 0.4 mi, 4 months ago
Renovated Comp C: 1,980 sqft, sold $287,000, condition 9/10, 0.5 mi, 1 month ago
As-is Comp D: 2,100 sqft, sold $218,000, condition 4/10, 0.4 mi, 3 months ago
Step 2 — ARV: Comp A is 50 sqft smaller, adjust up +$4,000 = $302,000. Comp B is 100 sqft larger, adjust down -$8,000 = $307,000. Comp C is 120 sqft smaller, adjust up +$9,000 = $296,000. Weighted average (Comp A 40%, C 35%, B 25%) = $303,000
Step 3 — ARR: Rental comps show $1,950-$2,100 for renovated 4/2s. ARR = $2,025/month
Step 4 — Repairs:
Level 2 moderate rehab. Kitchen: new cabinets and quartz ($20,000). 2 baths: full remodel ($14,000). Flooring: LVP throughout ($7,500). Paint: interior + exterior ($5,500). HVAC: 20+ years old, replace ($7,000). Water heater: replace ($1,500). Fixtures, hardware, landscaping ($4,000).
Flip-grade total: $59,500 ($28/sqft)
Rental-grade total: $36,000 ($17/sqft)
Step 5 — MAO:
Flip: $303,000 x 70% - $59,500 - $10,000 = $142,600
Rental: $2,025/mo rent, target 9% gross yield. All-in target = $270,000. $270,000 - $36,000 - $10,000 = $224,000
BRRRR: $303,000 x 75% refi = $227,250 - $59,500 - $10,000 = $157,750
Step 6 — Exit strategy decision:
Seller wants $195K. Flip MAO is $142K (too low, does not work). BRRRR MAO is $157K (still does not work). Rental MAO is $224K (works with room to spare). This is a landlord deal. Market it to buy-and-hold investors with rental numbers.
Step 7 — Marketing price:
If you negotiate the seller to $185K and add a $10K assignment fee, your asking price is $195K. Buyer is all-in at $195K + $36K repairs = $231K. Monthly rent of $2,025 = 10.5% gross yield. Strong cash flow deal for a landlord. This deal moves fast.
That is the entire process. Seven steps. Once you have done it ten times, you will run through it on autopilot. The first few times, use this guide as a checklist. Print it out or keep it in a tab.
The bottom line
Deal analysis is not optional and it is not something you can eyeball. It is a systematic process: pull comps, calculate ARV and ARR, estimate repairs, run the MAO for multiple exit strategies, choose your buyer type, and package the numbers into something a buyer can act on. Every step matters. Skip one, and the whole analysis falls apart.
The wholesalers who consistently close deals are the ones whose numbers are right. When you send a deal with solid comps, a realistic repair estimate, and a clear MAO breakdown, buyers trust you. They respond faster. They come back for your next deal. And they refer other buyers to your list.
Your analysis is not just math. It is your reputation.