Step #3: subtract the cost that a developer allows for for knock down and re-designing/approvals.

Now subtract $216k from $232k. 

Take that, subtract whatever fee you are looking to get & there is your contract price.

First find the market rent for the property and subtract 50% to account for expenses going forward.

Subtract that from the rent remaining after deducting the 50% expenses.

When you subtract the costs your margin is what is left over.Almost all sites so long there are bidders on line they do not end auction.PS: This is purchase with cash.

Subtract your Rehab estimate and Holding costs to get your Maximum Allowable Offer (MAO) amount.  

Typically they will lend you 80% of value, then subtract your current mtg balance(not 80% of the difference).....this is Not 80% of your equity.

Now you subtract the income loss from the unit you would live in

After subtracting loan balance and sellers fees, net for selling all would be $350K-850K (There is obviously a lot of uncertainty here, high value is based on a recent pitch from a realtor who specializes in investment property; low-range is based on skepticism of that).