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Updated about 18 years ago,
Suggestions on Rehap Project
I am thinking about purchasing my first rehab house. I am a little nervous about this and would like any advise. The house is a large 2 1/2 story home in a small town in Indiana. It has six bedrooms on the second floor. The bathroom on the 2nd floor needs to be gutted and redone. The bedrooms just need painting. It needs some new electrical run and the kitchen needs to be redone. I had a contractor give me an estimate on the inside work at $20000. I can buy the home for 20 -$25,000. I am pretty certain I can sell it for around $70,000. If I fix up the outside with new siding and a new roof, I would need an additional $15,000. Then I should be able to up the price to around $90,000. I don't have the money to pay for this out of pocket, so I would like to borrow the full amount if possible. I could have it ready to sell in less than 2 months. Any advise for a nervous newbie?