Average Cost Of Your Rehabs?
I was wondering how much you usually spend per rehab. I know this could vary greatly per house depending on the shape of the house, but on average how much work is needed for your rehabs that you plan on keeping as rentals. We are thinking of buying a few more and was just wanting an idea of how much $$ others usually have to sink in a house to get it into rentable condition. Thanks.
If I am planning to keep it as a rental, I would not spend more than $15000 to $20000.
here 10K to 20K
it is very easy for cost to get out of control. be careful in what improvement you chosse to make as some will not bring the value up as much as you are investing.
I have a duplex and a year ago that I put $30,000 in the duplex and had it appraised. It came in 4k more than when i started
John
You need to be smart about rehabing. It all depends if you are able to finance it or not. I suggest spending less moeny as possible when you are paying Cash.
All about present and future values. Review this concept online (google it), it is essential for the real estate investor.
Go see all the houses for sale within that neighborhood, that is the only way to understand the neighborhood, your buyers will be doing this.
In investing never do anything without already knowing what the outcome will be.
I am comparing apples to apples and I have gone through a bunch of houses in this area. These are all rowhouse built between 1890 and 1915. Basically, 12 or 13 feet wide and 40 to 55 feet long; the floorplans are pretty much the same. There is only so much you can do with a rectangle. That $192K house I mentioned was the same type of apple, just 300 sq. ft. smaller.