Sorry I don't have the time to dig into your numbers but are you plugging into the formula the capital cost of your investment before refi? 

Sounds like he’s a had a little success with a formula on paper and forgot this is still a people and relationship business KISS - if you gotta deal in a high demand CLE area let’s chat 

IDK what the formula is, but the "wholesalers" that have sent me leads are asking about 90 pct of retail. 

Personally I would the the same formula all the others use, cap rate.

Is there a formula for determining ARV?

My question is, for the offers, I used a formula to ensure my offer + taxes owed totaled 60% of the assessment value.

Same formula but just more time involved.It was the book that motivated me to quit college and get into real estate.

So instead of trying to come up with some kind of "formula" based on asking prices, learn how to determine ARV's, rental rates and rehab costs.

I would probably pass due to the high purchase price and not fitting my formula.

The formula that I used for this is: ((D8/2) - (D22*D5)) / ((D13/12*(1+D13/12)^D14) / ((1+D13/12)^D14 - 1))D8 = Gross RentsD22 = Minimum cashflow per unit ($100 in this case)D5 = Number of unitsD13 = Interest (7% in my example)D14 = Term (360 months)As Jon said, it doesn't look like a killer deal, but you'll build equity super fast on a 10 year loan, and it'll cash flow at least a little.