Wholesale / MAO calculator — Florida

Frequently asked questions

How do you calculate MAO in wholesale real estate?

A common baseline is the 70% rule: MAO starts with ARV multiplied by your target percentage, then subtracts repairs, closing costs, holding costs, and assignment fee.

Can MAO be negative?

Yes. A negative MAO means the deal does not support your target margin at those assumptions and likely needs a lower purchase price or different terms.

Can I save wholesale calculator results?

This calculator does not save your session. Use a free Veld account to save deal assumptions, compare scenarios, and track properties over time.

Does this include hurricane or flood insurance?

No. Add expected insurance and reserves in your expense inputs. The calculator does not model hazard zones or carrier requirements for you.

What is a good cap rate in Florida?

Residential cap rates in Florida markets like Tampa, Orlando, and Jacksonville typically run 5–7% as of 2024–2025. South Florida and beach markets compress toward 4–5% due to appreciation expectations and higher prices. Wind and flood insurance costs reduce effective NOI—use your actual carrier quotes in the expenses line.

What DSCR do Florida lenders typically require?

Most DSCR lenders in Florida require a minimum of 1.0, with many preferring 1.20–1.25 for lower rates and better terms. Given Florida's higher insurance costs—especially in coastal counties—underwriting at 1.25 or above leaves room for insurance premium increases without failing coverage thresholds. Confirm requirements with your specific lender.

How should I set MAO in Florida wholesale deals?

Start from realistic ARV around $433,600 median home prices, then subtract repairs, holding, and transaction costs before assignment fee. Adjust your ARV multiplier for local buyer demand and renovation risk, not a one-size national rule.