Real Estate Investing Forums

Real Estate Investing => Rehabbing, Fix and Flip, Rental Properties => Topic started by: blanketrealestate on August 13, 2019, 11:40:06 am

Title: rehab
Post by: blanketrealestate on August 13, 2019, 11:40:06 am
Hi looking to do my first fix and flip purchase price is 95k ..I Need advice from a contractor , or anyone who has information on a estimate on a remodel of a 2bed 1 bath 829sq ft Bungalo
Title: Re: rehab
Post by: nicmauro on August 22, 2019, 06:15:34 pm
Honestly, it sounds like you need to find a local contractor.  Get an idea of what the max you can spend on the rehab is and then find 3 or 4 solid contractors you would consider working with.  Have them meet you, walk the property and put together a written estimate.  Maybe there is a local REI group you can get some suggestions from?
Title: Re: rehab
Post by: Mike-FamilyHomeBuyers on October 30, 2019, 04:33:15 pm
I would recommend getting a few quotes from local contractors.  Also try to find a local Real Estate Investor Association where you can network with other investors and get contractor recommendations from them.
Title: Re: rehab
Post by: Gold River on November 13, 2019, 05:32:05 am
Hi,

    I am a highly experienced fix and flipper who is also a contractor. You can figure about $35 per square foot or $29,015 plus carrying and overhead cost's.

This is provided there are no major roofing, electrical, plumbing or mechanical replacements required with the remodel. If your going to have a General Contractor perform the work include about $7,800 in contractor overhead and profit.

Figure about 6 to 8 weeks from start to finish to complete!

Good luck,

                 GR
Title: Re: rehab
Post by: REISociety on November 13, 2019, 12:30:38 pm
Where are you located?
Title: Re: rehab
Post by: REI GUY on December 20, 2019, 11:08:28 am
For new investors, you will need to assemble a team of contractors (some specialist, such as HVAC, electrical, roofing, etc., and some generic, like general contractors or handymen) that you can trust and "learn' from them. Pick their brains, ask tons of questions, observe their work and learn what it takes to rehab a property.

What worked for me 19+ years ago when I did my first flips (and still practice this) is to walk the property ALONE, IN EVERY ROOM, including the basement, and make notes in each room what you hope to have accomplished during the rehab IN THAT ROOM (ex: replace light fixture, replace interior door, door hardware, repair drywall, paint interior walls/ceilings, replace kitchen cabinets, etc.).

Walk the entire property this way and then create a sheet that reflects this for each area of the property. Then, schedule walk throughs with contractors and cover each area of the property the same WITH THEM, while pointing out in that room what is to be improved during the rehab. This will make it very clear to the contractor what you hope to accomplish during the rehab, so that they can accurately prepare an estimate accordingly. I have even supplied a total of light fixtures, door knobs, outlets, etc. to contractors to be precise of what I want. Be open to the contractor's suggestions during the walk through and "ask questions" of how they would best help you to get maximum value for the flip, remembering that typically values are gained in renovating baths & kitchen areas.

Get multiple bids from various contractors, compare them and then negotiate accordingly. Eventually, after doing enough flips, you will get a system in place and understand what the average cost is for replacing certain items during a rehab based on the local standards (ex: price to replace an interior door with hardware, price to replace a standard sized window, etc.)

Hope this helps.
Title: Re: rehab
Post by: JaxNursesBuyHouses on January 19, 2020, 10:51:52 am
Just starting out I used the numbers of 5k for plumbing, 5k electric, 5k HVAC, and 10k for Roof. I would just use round numbers for 3/2 1300 sq. ft and below in Florida market. These are not hard numbers but can help you determine if the deal is viable quickly.

Every markets will vary considerably, I would get bid from multiple contractors. Sometimes their bids will vary based on level of work they have at the moment. Always obtain multiple quotes for services needed.

Hope this helps!