To offer or not to offer? That is the question

[Aaron Kovac]

Hi All,

So as I've been reading the BRRRR book, listening to podcasts and researching/practicing analyzing deals every day, I can't help but think about how you will know what a rehab might cost.

If you’re investing from a distance (like an hour and a half away), don’t yet have boots on the ground, and using just pics online to judge a property, I imagine it’s pretty hard to figure out. How are y’all judging what rehab costs might be? Visiting yourself (alone or with a GC/inspector)? Establish boots on the ground?

More or less, as I'm analyzing homes I find on the MLS for practice purposes, I look at pictures of these beat up old houses and never having done a rehab before- I have no idea whether one house will require 10k, 20k or even 50k. As well as which skilled professional might be able to assist with that.

Hopefully this makes sense, but would love to learn what others are doing out there! TIA

[John Warren]

@Aaron Kovac I am very involved in all of the rehab work that I have going here in the Chicago area, and I can't imagine trying to rehab an hour away with no boots on the ground. I think your better option in that case is to potentially partner with someone who knows what they are doing or to invest closer to home. I made the mistake early in my career of always thinking the grass was greener in another market, and I wouldn't be surprised if you are doing the same. Is there truly no opportunity in your local market? Have you worked to build relationships with brokers, sellers, etc?