Rehab Estimation Case Study - By a newbie, for newbies (and constructive criticism!)

[Manuel A.]

So, I've made a video of my last house I checked out, a complete walk through (except exterior, which you'll just have to trust me needs exterior paint and some landscaping that I'll do on my own) and I want to let the other newbie's like myself see how my numbers come out.

I think I'm decent at it now, my first house took me a little over an hour to estimate, like 1hr and 15min. Now I can do a rough estimate in about 40 minutes! Also keep in mind, I've never closed a deal yet, so if that helps others nerves in my situation, I'm glad. And also, I'm sure more seasoned investors can give insight as to thinking my numbers are good/bad. This is all 100% to help others in my situation learn.

Let me give you one tip if you're a newbie like myself before we get into this! In the beginning I thought, "how would I ever account for every little thing?" Every electrical cover, light switch, door hardware, etc... This was important for me, but if I honestly counted all that stuff, I'd go crazy and it would just take a long time. So, for things like that, I just flat out estimate very high. In this example you will see for cabinet hardware, outlet covers, and vent screens I just simply budgeted $750. I may be wrong to do this, but first, the over estimation gives me more safety in case I under budgeted elsewhere, and it lets me keep my sanity while estimating. So... where to start...

Tools I bring with me
1. Clipboard with 2 sheets of paper.
2. Pen
3. Measuring tape
4. My phone (as a calculator, flashlight, gps, etc...) It's a Samsung Galaxy S3, highly recommend it...

So now, here is the video (it's the one on the right I believe):https://www.dropbox.com/sh/u6ucp6f4tnfnhsc/aNrYjaL929

Now, let me give you all of the info I wrote down on a piece of paper about the house:
Windows - All new (except big custom ones in the patio thing.)
Custom Windows - 2 (One is 44in x 83in, and the other is 47in x 52in)
Light Fixtures - 19
Interior Doors - 9
Exterior Doors - 2
Glass Sliding Exterior Doors - 2
Sliding Closet Doors - 3
Furnace - 1
How Water Heater - 1
Cooling Unit (Refrigerated Air) - 1

Besides this, I also have all the floor measurements for the floors! I do plan to leave the hardwood floors that already there in the hallway and living room. Everything except the bedrooms/closets will have carpet...

Here are the measurements:
MBR - 209sqft.
MBR Closet - 31sqft.
Bed1 - 112sqft.
Closet - 14sqft
Bed2 - 119sqft.
Closet - 14sqft.
Bed3 - 132sqft.
Closet - 23sqft.

Kitchen/Dining Room/Front Door Area - 229sqft.
Hallway/Living Room = 452sqft (Shouldn't need this number, but just in case...)
Bath 1 - 21sqft.
Bath 2 - 46sqft.
MST Bath - 66sqft.

Monetarily I broke down the flooring like this:
Tiled areas = 362sqft * $5/sqft(material/labor) = $1,810 I rounded to $1,800flat as I know I over measured in places and $10 bucks isn't much.
Carpet areas = 654sqft. * $2.8/sqft(material/labor) = $1831.20 I rounded to $1850 just cause it's a nice number.

Okay, now here is my numbers that I was happy with when I finished:
Total Flooring: $3,650
Appliances (Fridge, Stove, Dishwasher) = $2,200
Paint interior/exterior= $6,000
Kitchen Cabinets/Granite Tops = $4,500
Fixtures = $1,500
Doors w/hardware 9 = $765
3 toilets = $300
Bath 1 Vanity = $200
Bath 2 Vanity = $650
MST Bath Vanity = $950
Cabinet Hardware, Electrical Covers, Vent Screens, etc = $750
Heat Furnace = $1,400
Water Heater = $400
Refridge A/C = $5,000
Slider Closet Doors (3) = $285
Misc. $1,000
TOTAL = $29,550

After I get this number, I add 10-12% to it. In this case I added 12% bringing me to $33,096, which I round to $33k.

So already after doing this I know I forgot the 2 custom windows and that little problem in the ceiling of the patio thing with black mold on it... But, as you can see, that extra $4k from the extra 12% will give me peace of mind/safety from this. And don't forget the "Misc." bringing it to $5k, just for situations like these :D. Oh, and all of my over estimations on materials/labor and under estimations on ARV :D.

Some things to keep in mind
My city doesn't have much grass anywhere, so no grass would be put into landscaping, which is why landscaping won't cost me anything. I can cut down and haul away anything I need to. I can also get free rocks to lay in the yards, which is a common decoration in my city. Also, if you think all that rock will cost money to be taken out of the patio, think again! Cause I have no problem ripping it out myself. :D I want to be really hands on for my first flip, and the next one's until I feel comfortable.

So, guys/gals, how did I do? And to my fellow novices, I hope this has helped as I would've loved something like this!

ONE QUESTION FOR THE PRO'S!!!
How would you estimate the ceiling problem that has the ripped out panels and black mold? Without bringing a contractor, please. :)

Sorry for any mistakes in my writing or any left out info, I'm fairly tired... But I will fix it if brought up and answer any questions!

Thanks everyone,
-Manuel