Estimating rehab costs for BRRRR in San Antonio

[Isabella Johnstun]

Hi Everyone,

I'm a first time homebuyer looking to do a BRRRR in San Antonio but am struggling to estimate rehab costs. Does anyone have a framework they use to calculate rehab costs?

Thanks for your consideration,

Isa

[Matthew Paul]

It depends on what you are starting with , how much work it needs . And what you want the end result to be . 

I could rehab 2 identical houses , side by side , and house number 1 cost $25K  and House number 2 cost $95K .   It all depends on what you want .

[Justin Brickman]

Hey Isabella, I always go out with my GC, so he can give me a good ballpark estimate. May be better to go out a few different times with a GC until you're comfortable working with one.

[Jeremy Medina]

I was always hopeful to find a simple framework or calculator to do this exact thing. I soon realized that the best way is to just get multiple estimates. Find a few GC's local to the market you're interested in. Ideally, and if you are comfortable with it, find and vet local subcontractors yourself to get bids. After you do this a few times, you really start to get general ideas of how much certain projects will cost. If you need plumbing estimates in SA, we are a small family/Verteran-owned/operated plumbing business. We do everything, gut-job remodels, new construction, and lots of service repairs for property management companies.

[Jake Baker]

@Isabella Johnstun

Light Cosmetic ($40-$50 x Sq. Ft)
Medium Cosmetic ($45-$55 x Sq. Ft)
Heavy Cosmetic ($55-$65 x Sq. Ft)
Studs Down ($80-90 x Sq. Ft)
Luxury ($150-200 x Sq. Ft)

The first thing I look at before viewing a property is the permit history. This can tell me a lot about the age of the plumbing, roof, HVAC, etc before actually walking it.

[Isabella Johnstun]

Thank you so much, this is so helpful!

[Deborah Brancheau]

Quote from @Jake Baker:

@Isabella Johnstun

Light Cosmetic ($40-$50 x Sq. Ft)
Medium Cosmetic ($45-$55 x Sq. Ft)
Heavy Cosmetic ($55-$65 x Sq. Ft)
Studs Down ($80-90 x Sq. Ft)
Luxury ($150-200 x Sq. Ft)

The first thing I look at before viewing a property is the permit history. This can tell me a lot about the age of the plumbing, roof, HVAC, etc before actually walking it.

@Jake Baker - Is this breakdown for San Antonio specifically? I see you're from SD (me too!) and prices here are nuts. I was using a breakdown like yours for SA but I wasn't sure if my "SD mind" was ratcheting the numbers up.

[Jake Baker]

@Deborah Brancheau

I would say this is for the average size market. Yes, I am in San Diego. I primarily flip in Jacksonville FL. San Diego is definitely on the higher end. This is just a rule of thumb that I use. Every house is unique :)

[Matt Spenn]

Hi Deborah,

Do you have a certain area of town you're considering or an age of house, or do you already have the home? 

Homes in each part of San Antonio have unique issues. There are certain neighborhoods that have notoriously bad foundation issues due to the soil composition. Many of the older homes that haven't been renovated will not have insulation or HVAC, and will certainly be needed to be comfortable during our really hot summers.

We ended up doing a BRRRR (Which we ended up selling due to the hot market a few years ago), and it was almost a complete gut, so I'd be happy to discuss numbers with you. We're getting ready to do another project soon as well.

Let me know how I can help!

[Rick Pozos]

Hey @Isabella Johnstun I think the biggest factor is going to be the neighborhood. You are going to want to finish it out to the neighborhood. If it's a lower class neighborhood you are probably going to put in $75 ceiling fans. Higher neighborhood, maybe $300. Multiply that times faucets, cabinets, shower fixtures, flooring, etc.

[Melanie Thomas]

Consider researching average renovation costs for similar projects in San Antonio. You can also consult with local contractors for estimates tailored to your specific needs. Find you a great GC and treat him well! Good luck with your BRRRR venture and happy investing!

[Matthew Tyson]

I'm not a GC, but have rehabbed several BRRRR and Flip properties in SA. If you need any pointers feel free to reach out.

[Deborah Brancheau]

Quote from @Matt Spenn:

Hi Deborah,

Do you have a certain area of town you're considering or an age of house, or do you already have the home? 

Homes in each part of San Antonio have unique issues. There are certain neighborhoods that have notoriously bad foundation issues due to the soil composition. Many of the older homes that haven't been renovated will not have insulation or HVAC, and will certainly be needed to be comfortable during our really hot summers.

We ended up doing a BRRRR (Which we ended up selling due to the hot market a few years ago), and it was almost a complete gut, so I'd be happy to discuss numbers with you. We're getting ready to do another project soon as well.

Let me know how I can help!

Wow. Thanks so much. I'm really interested in San Antonio and was about to move on a property there. But we just got drawn over to Memphis. I have a friend that's a wholesaler/flipper there and she's doing really well. She's got a property that looks perfect for me right now so we're going to be deciding in the next couple days.

I know I'll be back looking in SA once this property gets listed. There seems to be so much going on there and the environment is similar to San Diego (similar types of houses, wonderful Hispanic influences). I feel like I could live there and never leave SD. ;)

I always need advice and guidance so I'd love to connect when we're ready. Plus we'll have our first flip under our belt so lenders will like us even more than they do now. :)