New Investor help - Good GC's and Rehab Costs

[Chris Summons]

Hello Everyone,

I’m beginning an exciting journey as a new real estate investor, diving into the BRRRR strategy here in the Fort Worth area. I’m excited about learning the ropes, and building a strong foundation in this community. I could really use your guidance in two key areas:

1. Trusted General Contractors

Finding reliable, investor-friendly General Contractors is critical to success, and I’m looking for good recommendations. My ideal contractor is someone who:

• Understands the needs of the restoration investor
• Delivers quality work on time and within budget.
• Communicates clearly and is easy to work with.

I’ve just started networking with local investment groups, but I wanted to engage the BP community as well. If you’ve worked with a GC in Fort Worth that exceeded your expectations, I’d be grateful if you could share their contact information.

2. Estimating General Rehabilitation Costs

While I know costs can vary greatly depending on the specifics of a project, I’d appreciate any ballpark figures based on your experiences. Most of the homes I’m eyeing are around 1,500 square feet and will likely need:

• Gutting down to the studs.
• Minor foundation repairs.
• A full interior rehab with builder-grade materials (floors, drywall, fixtures, etc.).

I would also like to ask, what’s a realistic per-square-foot estimate for a project like this in Fort Worth? Hearing about your actual numbers and lessons learned would provide invaluable perspective as I start planning my budget and contingencies.  Is this type of information posted anywhere?

I truly appreciate any insights, advice, or contacts you can share. As a new investor, I’m eager to learn, contribute to this community, and make thoughtful, informed decisions.

Wishing everyone a wonderful Thanksgiving—thank you in advance for your generosity and support!

[River Sava]

Hi Chris - 

 Building a solid team is crucial, especially with a strategy like this. Your Core 4 (real estate agent, lender, contractor, and property manager) will play a huge role in your success. It’s great that you’re already networking with local groups, that will be the best way to connect with those who specializes in your market. 

As for rehab costs, it's going to vary. A rough estimate would be around $60 to $100 per square foot. This range accounts for variability in labor costs, material prices, and foundation work. Minor foundation repairs typically add a few thousand dollars. Also, I suggest adding at around 10-15% for contingencies to cover unexpected costs.

Good luck, and happy to send over some resources as your start out!