Rehab on a 1920's house

[Nick Seginowich]

I recently found a 2100sqft, single family home built in 1925, in a great area with some really good numbers. I'm just a little unsure of the rehab as it should need a fairly extensive one. I'm working with a contractor I haven't met before but was referred to me by my realtor and he thinks the rehab should be around 30k just at first look, and if we can do it for 30k I would be pumped! But, with a 1920's house I feel like their might be some really expensive unexpected repairs such as, old plumbing, electrical, sewer line etc... I'm wondering if anyone has some insight into what I should look for and possibly what is a common hassle for a house built in the 20's? Also, this would be my first deal. BTW i'm still deciding between making this a BRRRR deal or just a flip.

Thanks!

[Andrew Syrios]

We've done a lot of older houses (including a few 19th century ones) and while they are generally more expensive, they certainly are doable. A lot of it is checkable beforehand though. For example, if you can go in the basement, you can see whether any of the electrical has been upgraded or if it's still knob and tube. (Now they may have replaced the wiring in the basement, but nowhere else of course.) You can see if it's old galvanized plumbing; which probably needs to be replaced. The walls are made of plaster and lathe, which is harder to patch than drywall, etc.

Just make sure to investigate all of those things carefully and put in a larger contingency for unforeseen expenses than you would with a newer property. If you do that, you should be OK.