Full flip cost and profit calculator
Enter your deal details to see a complete profit and loss statement across optimistic, realistic, and pessimistic scenarios.
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The costs most flippers underestimate
Bridging finance is the single most under-modelled cost in a flip. At 0.85%/month on a £136,500 loan (70% of £195,000), the interest alone is £1,160/month. Over a six-month project that extends to eight months (common), the interest overrun is £2,320 — a meaningful hit to a tight margin.
Renovation contingency is underestimated almost universally. A 15% contingency on £34,500 of works adds £5,175 — which is almost always needed. Asbestos in artex, a structural wall revealed on strip-out, or a drainage issue flagged by building control can each cost £2,000–£6,000 unplanned. Treat the contingency as a cost, not a buffer — if you don't use it, it becomes profit.
Holding costs — council tax, utilities, and insurance during the works period — add up to £2,000–£4,000 over six months and are often not modelled at all. Unoccupied property insurance is typically 2–3× the cost of standard landlord insurance and is mandatory for bridging lender compliance.
Capital Gains Tax is the final surprise. At 24% on the gain for higher-rate taxpayers, CGT on a £30,000 gross profit flip is £7,200 — reducing net profit to £22,800. The calculator above applies CGT to the pre-tax profit automatically, giving the true post-tax return.
Frequently asked questions
What is a realistic profit target for a UK property flip in 2025?
Most experienced flippers target a minimum of £20,000–£25,000 net pre-tax profit, or 10% of the purchase price — whichever is higher. On a £200,000 purchase, this means targeting £20,000+ net after all costs before tax. After CGT at 24%, a £25,000 pre-tax profit becomes approximately £19,000 net.
The profit per month metric is often more useful than the absolute profit figure: £25,000 over five months is £5,000/month — a strong rate of return on capital. £25,000 over twelve months is £2,083/month — less compelling relative to the risk and effort involved. Target a minimum of £3,500–£5,000 net profit per month of project duration.
Can I avoid paying Stamp Duty on a property flip?
SDLT is payable on purchase and cannot be avoided on a standard residential flip. The 5% additional dwelling surcharge applies in most cases (unless the property is your primary and only residence, which is rarely the case for investors). On a £200,000 purchase as an additional property, SDLT is approximately £11,500 — standard SDLT of £1,500 plus the 5% surcharge of £10,000 on the full purchase price (surcharge raised from 3% to 5% on 31 October 2024). This cost is modelled in the calculator and included in the full P&L. Budget for it from the start — it is a real and unavoidable cost.
Should I flip as an individual or through a limited company?
For frequent flippers (more than two or three flips per year), HMRC may treat the activity as a trading business rather than capital gains — in which case income tax (up to 45%) rather than CGT (24%) applies. A limited company pays corporation tax (25% for profits above £50,000) rather than income tax, which may be more efficient for high-volume flipping. The specific position depends on HMRC classification and individual circumstances — specialist tax advice is essential before structuring a regular flipping operation.
For occasional flippers (one per year), individual CGT at 24% is typically the most relevant tax rate. A limited company structure adds administration cost (accounting, filing) that is only justified by meaningful tax savings at scale.
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