How Are You Finding Deals That Still Fit the 70% Rule in 2025?

[Enrique Toledo]

Hey BP Community,

I’ve done 8 deals so far using my own capital, but I’m about to do my first flip using a hard money lender. They told me the property needs to meet the classic formula: ARV × 70% - rehab costs — which I know is pretty standard.

Here’s the issue:

I’ve been looking at on-market properties, especially ones with high days on market and expired listings. But honestly, most of what I’m finding is way overpriced, and the sellers aren’t motivated to drop the price, even after sitting for months.

I know the market’s shifted and things are tighter in 2025, but I’m curious — how are you still finding deals that fit the 70% rule today?

Are you running ads, talking to agents, going to auctions, using wholesalers, or something more creative?

Would love to hear what’s working for everyone else right now. Open to all advice and strategies.

Thanks in advance!

[Joe Villeneuve]

Why do people insist on using these "percent rules" as if they actually tell you something of value.  The fact that you asked the above question should tell you how useless (not "pretty standard") any percentage formula is.  Please, forget the "shortcut" (see lazy) approach to analysis and just learn how to actually analyze.

I'm sure this may come across as being a bit harsh, if it does I apologize, but I think this needs to be stated in the most forceful way. I know this offends those that think these percentage rules are Gods gift to REI. They're not. They're closer to the Devil's joke.