Estimating Rehab Costs

[Dan Miller]

As a new wholesaler, I'm still confused how I estimate rehab costs when determining the maximum allowable offer and the profit potential. As a new investor, I have no experience or knowledge of rehab costs, so it would be tough for me, at least initially, to just approximate.

I could see bringing out a contractor to provide estimates if a) I were going to go through on the deal and use that contractor from time to time; or b) was looking at properties individually and had time to go look at each one and bring a contractor out.

However, I assume that an effective wholesaler is putting a large magnitude of offers out there every week, most of which he/she has never seen personally. Second, I assume a contractor, unless paid, would not want to continue providing estimates if he knows that I won't be giving him business (since I won't be owning the property) .

Any advice here? This one is stumping me.

Thanks,
Dan Miller