Ark7 publishes flipping primer, urges caution

Ark7 published a primer on May 22 aimed at beginner house flippers, laying out the basic math and project planning it said investors should complete before buying a property. The company’s guide walks through after-repair value, or ARV, renovation budgeting, inspections, contractor selection, financing and contingency planning. It also framed the advice against a weaker profit backdrop for flipping than in prior years. Ark7 said profits had fallen to a 17-year low, citing ATTOM Data. ### What did Ark7 tell first-time flippers to calculate before buying? Ark7 said beginners should start with ARV, the projected resale price after renovations are complete, because that number anchors the rest of a flip model. The company said buyers should use conservative assumptions when estimating resale value rather than projecting a best-case sale price. The May 22 guide said investors should also map renovation costs in detail before closing, rather than relying on broad per-square-foot guesses alone. Ark7 listed labor, materials, permits and inspections among the line items that should be included in a project budget. ### Why did the guide put so much emphasis on contingency costs? Ark7 said renovation budgets should include reserves for unexpected repairs and contractor overruns. (ark7.com) The company warned that older properties can reveal hidden issues after demolition or inspection, raising costs beyond the initial estimate. The guide also told flippers to account for temporary housing, carrying costs and permit-related expenses during a renovation. (ark7.com) Those items can widen the gap between a project’s headline construction budget and its total cost, the article said. ### What financing steps did Ark7 outline? Ark7 said flippers need to match the property and timeline to the financing source before starting work. (ark7.com) The guide described financing as part of the early planning process rather than a final step after a property has been identified. The article said capital requirements for a single flip can run from $50,000 to $150,000. (ark7.com) Ark7 also said online real estate platforms have widened access to property investing, but its flipping primer focused on the traditional buy-renovate-sell model and the planning needed to execute it. ### How did Ark7 describe the current economics of flipping? Ark7 said flipping profits had reached a 17-year low, citing ATTOM Data. (ark7.com) The guide put average profit per flip at $65,981 and average return on investment at 25.5%. Those figures gave the article a more cautious tone than promotional how-to material. Ark7 said beginners should build conservative ARV assumptions into their models and include room for overruns to avoid turning a projected gain into a loss. (ark7.com) ### Who was the guide written for? Ark7 said the article was written for people exploring “real estate flipping for beginners in 2026.” The piece was published under the byline “Team Ark7” and positioned itself as an introductory roadmap covering property selection, budgeting, inspections, contractor management and resale planning. (ark7.com) Ark7’s website says the company operates an online real estate investment app and had more than 300,000 active investors and $30 million-plus in property value funded as of May 2026. (ark7.com) The flipping primer sits alongside other beginner-focused guides on the company’s site. ### Where can readers find the next step in the process? The May 22 Ark7 article includes the company’s full flipping checklist, including ARV calculations, renovation estimates, inspector and contractor planning, and financing preparation. (ark7.com) Ark7 published the guide on its blog under “Real Estate Flipping for Beginners: Best Platforms 2026,” where the company said readers can review the full step-by-step framework. (ark7.com)