Rehabber · Albuquerque, NM - New Mexico · Member since 2011 · 283 posts · 38 votes
So today I went and priced almost everything I needed in Will's check list in his files as per his suggestion. So I got to Lowe's and realized,
"Wow... how do I know what price of light fixtures, doors, sinks, windows, bath tubs, roofing material, etc... do I write down? The good looking expensive one's or the really cheap but much worse looking ones or these ones that are average priced but are kind of close to the expensive ones but lack much more in aesthetic quality of which I'd rather pay a little more for the much better looks?"
Considering I'm going to be looking to buy in what my city is to be considered a SLIGHTLY upper middle class neighborhood, what items should I buy? The expensive but wayyyyy better looking stuff, or the much cheaper, but wayyyyyy less as good looking stuff.
Example, an okay looking chandelier for $150, or $250 for a much better looking one? Same for the other many items as you probably know...
Investor · Fort Worth, TX · Member since 2011 · 1k+ posts · 450 votes
14y
Whatever you do, I'd recommend adding 20 percent to your estimate if this is your first rodeo. Screws, disposable supplies and other misc. hardware can rip a hole in your wallet...bigger than your wallet, lol!
Rehabber · Albuquerque, NM - New Mexico · Member since 2011 · 283 posts · 38 votes
14y
Also, does anybody have any (through the analysis of many flips) analysis of the trade off of the more money spent for better looking items but perhaps resulting in a faster average DOM's compared to less money spent on less aesthetically pleasing items perhaps resulting in a longer average DOM's. And what those DOM's compare at.
Of course, it's pretty doubtful someone would have this data but I thought I'd ask anyway. Who knows....
Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
14y
Manuel,
You need to know what is expected in your market area. You also should know what your competition has or is using. I don't just mean other rehabbers but other houses on the market. You should find out if having a lower price is more important or if having higher quality product is more important. You need to know what the market wants. Good luck. - Ned
Lender · Tyngsboro, MA · Member since 2009 · 3k+ posts · 2k+ votes
14y
You could also write two sets up prices: One for lower end starter homes, and one for more upscale. Even a third for rentals. That way you'd have guidelines regardless of what kind of property you ran across
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
14y
Yep, time to go to open houses in that price range. See what others are using or what sellers are offering. Take pictures (if the place is empty, as an occupied home could be a problem, they might think you're casing the joint).
Light fixtures can set the tone for the decor and I suggest you stay neutral, not flashy, tasteful but not expensive. many have their own for upper end homes or they will decorate later, a hundered dollars more is probably just money out of your pocket, IMO. I have never seen a chandelier sell a house!
Real Estate Investor · Hartville, OH · Member since 2010 · 148 posts · 174 votes
14y
Agree with Bill. See what other houses in your area are using, what you are up against. Also although difficult to do, seperate your own personal tastes in what you would do in your own home from what you would do in a flip/rental.
Investor · Fort Worth, TX · Member since 2011 · 1k+ posts · 450 votes
14y
Whatever you do, I'd recommend adding 20 percent to your estimate if this is your first rodeo. Screws, disposable supplies and other misc. hardware can rip a hole in your wallet...bigger than your wallet, lol!