Yet another rule of thumb for renovation estimates

[Assaf Furman]

I had an interesting conversation with a rehabber who gave me a formula for estimating renovation costs on SFR. He says that in our area, you can take the age of the house, multiply by 15$/sqft for the first decade and 5$/sqft for each additional decade.

For example: if the age of the house is 30 and the area is 1000 sqft, that makes (15+5+5)*1000=$25000.

Does anyone else use something similar to this?

Keywords: fix, flip, rehab