Rental Property Investor · Tucson, AZ · Member since 2014 · 63 posts · 37 votes
Hi Guys!
I've been going through J Scott's book on flipping houses and estimating rehab costs. My weakness right now is being able to walk into a property and ballpark an estimate so that I can get an idea of what I would offer on a property.
The books are super helpful but learning through other methods would be helpful. I was watching a couple episodes of one of those Rehab shows on TV and although it is so blatantly obvious that everything is scripted, I was actually curious to know how accurate the numbers they use are.
For example I watched an episode about a property bought on auction for 620K and the kitchen renovation cost 60K, living room 15K, new master bathroom for 40K. It was an extremely high end property. They provided numbers before the flip and then after and (surprise surprise) they're always about right.
Are there any seasoned flippers out there who have seen these shows and could comment on the validity of the numbers they provide?
I love those shows for entertainment value, and sometimes for a VERY loose education, but I wouldn't use them for any type of real guideline when you start putting your own money behind it.
Are you planning on doing the work yourself on these projects? If you will be using a contractor my recommendation would be to find one who is willing to give you bids for free and have them walk the property with you. Use their bid to give you an accurate gauge to make offers.
Rental Property Investor · Tucson, AZ · Member since 2014 · 63 posts · 37 votes
11y
Thanks guys. I had a feeling this was the case but I figured why not ask.
@Jeff West: I agree the entertainment is great and I like seeing the creativity with their rehabs. As for doing the work myself, I hope not to do so the next time around (I have twice now). I will most definitely try your approach with a contractor. This is something I have thought about for a while now.
I've been using J's book to vet estimates for rehabs that I get from wholesalers. Going item by item, to see if the numbers match up and if not trying to understand why has been a great education. I also have some more seasoned investor friends who will look at deals I'm considering and ask lots of questions. Here too, I'm finding that working through J's book is improving the way I consider and then present deals.
Investor · Los Angeles County, CA · Member since 2012 · 962 posts · 279 votes
11y
I also watch the shows. They provide entertainment and some familiarity when **** hits the fan. They're definitely just TV though. Also like Max says the design ideas sometimes good
Rental Property Investor · Brookline, MA · Member since 2013 · 1k+ posts · 777 votes
11y
I would say that the designs they come up with are rather amazing. They seem to come up with some impressive ways to change houses to the "open concept" that is popular these days.