## Start with the full formula
FlipperForce describes maximum purchase price as the price indicated by a detailed analysis of the proposed project's costs and desired profit:
**MPP = after-repair value - buying costs - holding costs - selling costs - finance costs - works - desired profit**
The same source presents a percentage rule as a quick initial screen. It says a deal that passes that screen should then receive the full MPP analysis. This article uses the full formula and a controlled UK example; it does not use a fixed percentage of value.
## Build the cost stack
Create a separate input for every term in the formula. The after-repair value is the value assumption. Buying, holding, selling, finance and works are deducted as project costs. Desired profit is also deducted, so the result is the price supported by those inputs rather than profit calculated after a purchase price has been chosen.
For a purchase in England or Northern Ireland, GOV.UK says [SDLT can apply above the relevant threshold](https://www.gov.uk/stamp-duty-land-tax). The amount depends on whether the property is residential, non-residential or mixed use and whether the buyer qualifies for a relief or exemption. GOV.UK links to the official [HMRC SDLT calculator](https://www.tax.service.gov.uk/calculate-stamp-duty-land-tax/) for a specific purchase or transfer. Scotland and Wales use different property transaction taxes.
For bridging finance, the Bricks & Yield [bridging loan cost calculator](/tools/bridging-loan-cost-calculator) uses this calculation path:
**Total finance cost = monthly interest multiplied by term, plus arrangement, exit, broker, valuation and legal fees**
Keep the facility, term, quoted rates and fees with the calculation. The public workflow says actual terms must be confirmed with the broker or lender.
## Complete worked MPP example
The following controlled figures are illustrative inputs, not market benchmarks or a price recommendation:
| MPP input | Amount |
| --- | ---: |
| After-works value | GBP 239,125 |
| Buying costs | GBP 8,000 |
| Holding costs | GBP 4,000 |
| Selling costs | GBP 7,000 |
| Finance costs | GBP 10,125 |
| Works | GBP 25,000 |
| Desired profit | GBP 35,000 |
Put every row into the full formula:
**GBP 239,125 - GBP 8,000 - GBP 4,000 - GBP 7,000 - GBP 10,125 - GBP 25,000 - GBP 35,000 = GBP 150,000 MPP**
The finance line uses a matching controlled bridge example: GBP 112,500 borrowed at 1% monthly for six months, plus a 2% arrangement fee and 1% exit fee. Monthly interest over the term is GBP 6,750. The arrangement fee is GBP 2,250 and the exit fee is GBP 1,125. Those three amounts total GBP 10,125 before legal, valuation, broker and contingency costs.
The [BRRRR cash snapshot](/tools/brrrr-cash-snapshot) separately compares purchase price, acquisition costs and works with a refinance loan based on post-refurb value and LTV. Keep that refinance result separate from the MPP result.
## Test a lower value and a longer term
Here are two controlled variations of the same example:
| Case | Changed input | Calculation | MPP |
| --- | --- | --- | ---: |
| Base | None | GBP 239,125 less GBP 89,125 total deductions | GBP 150,000 |
| Value downside | After-works value falls by GBP 10,000 | GBP 229,125 less GBP 89,125 | GBP 140,000 |
| Three-month delay | Finance costs rise by GBP 3,375 | GBP 239,125 less GBP 92,500 | GBP 146,625 |
The delay amount is three additional months of interest at 1% of the GBP 112,500 bridge: GBP 1,125 per month multiplied by three. All other controlled inputs stay unchanged. This shows the direct effect of each changed assumption; it does not forecast what a live valuation or delay will be.
## Record the decision evidence
The [investor pack readiness checker](/tools/investor-pack-readiness-checker) records core deal numbers, an assumptions table, a risk register and proof gaps. Its proof list includes sold comparables, rent evidence, works estimates, EPC, tenure, licensing and planning where relevant. Use those fields to keep the evidence beside the value and cost inputs used in the MPP.
The checker can return Send, Needs Evidence, Renegotiate or Kill. It is a screening workflow and does not itself verify evidence or value a property. A reviewer can therefore see both the calculated price and any evidence that is still missing before the result is used in an offer decision.