Often in seeing advertisements or marketing materials for investment real estate you will see the term "ARV".
Simply put; ARV is After Repair Value, (sometimes called After Rehab Value) the value of a particular property or portfolio of properties after they have been remodeled. It is calculation used to determine the market value of a property after it has been repaired. Allowing the investor to determine their potential return on investment (ROI).
| Purchase Price | $56,000
|
Repair Cost
| $24,000
|
ARV
| $100,000
|
ROI
| $20,000
|
