The expenses are subtracted from the rent, then the rest (CF) is split 50/50. 

Especially after you subtract 6-10% in selling costs. 

You need to subtract property taxes, insurance, maintenance, capital expenditure allowance, and your note payment.

@James Baldwin I would subtract out commissions and closing costs and show him how much cash he will walk away with if he sold with an agent.

Take 75% of your rent (not yoru profit/loss) and subtract your princpal, interest, tax, and insurance payments. 

Lock up the house under contract at 84% of After Repair Value minus the rehab budget using the chart in this video:How To Come Up With Your Offer Price | Brent Daniels LIVE (29min 30sec)  (This is the price you will have to assign the deal to a Flipper) Then subtract out your wholesale fee... this final price is what you have to get the deal under contract at. 

Subtract all that from the value of the home and you will have the max you can offer for the home.

Use 50% of rent for running costs then subtract your mortgage and use a realistic interest rate 3% is not a rate an investor will get now or probably ever in the future.. if you stress test it like that then you know what you got and if you do a little better fine  you could depending on whats going on have 60% in costs..

If you subtract $200k from $630k, you end up with only $430k. 

Subtract the cost to remodel/build and your time.