Now that you've seen the long form, you can usually safely estimate your fixed costs at 9% of ARV, simplifies the formula to:Max Offer = ARV - Flipper Profit Target (15% ARV) - Your Fee (Fill in the blank here) - Rehab - Holding Costs - Fixed Costs (9% ARV)Hope this helps.

I think this chart was over simplified in that respect. thanks, Matt

Let us simplify this further.

To simplify the puzzle at tax time, is it a typical practice to designate a new bank acct. to be used only for property-related transactions such as collected rent, security deposits, purchases for rehab and maintenance, etc.?

If the "equity" (simplified, the value of the house less the amount owed) is $50,000, then the lender is still owed $150,000.

Selling multiple relinquished properties in a bundled sale to one buyer will simplify your 1031 Exchange transaction, while selling multiple relinquished properties to multiple buyers will complicate your 1031 Exchange since you will have multiple closings. 

Plus a screen capture video can really simplify many instructional posts versus reading the explanation and going back-and-forth to static screen shots.  

Go flat in the garage, it is not as critical.If you are doing a lot of painting, simplify your project by using the same color for each project.

It appears that the wholesaler set up this deal to be a simplified MAO of 80% ARV.

I know this is over-simplifying things...but I imagine if you bought a property using Mike's formula (great book, by the way), that the cap rate would probably be exceptional and you would want to buy regardless.