Originally posted by @Brian Fouts:
SF method. Light, medium, or heavy rehab. $10, $20, or $30 per SF. This is very rough, but can quickly tell you if it is worth proceeding or not.
$10 would be some paint and carpet.
I would disagree with ever trying to use this method until you've become an expert at estimating costs...
In general, costs will depend on:
- Location
- Type of house
- Level of finishes
- Type of contractor
- Your negotiating ability
- Time of year
- Lots of other stuff
The example above of $10/sf for paint and carpet may work in some areas, for some types of houses, with some contractors and some level of finishes. Or it may not.
For example, in Atlanta, on the types of houses I typically rehab and the types of contractors I typically use, I can do paint and carpet for half that (about $5.25/sf). For about $10-12/sf, I can do a complete cosmetic renovation, including paint, carpet, light fixtures, plumbing fixtures, cabinets, countertops and all door hardware.
But, when I try to do the same in Maryland or Wisconsin, I can easily spend double that.
In NY and California, where I'm getting ready to do a couple rehabs, I will probably spend 3x that.
If you know your area, know the types of houses and finishes you're accustomed to, know the types of contractors you'll use, etc., you may be able to estimate based on square footage, but for most place where I've rehabbed, it's taken 10-15 rehabs before I start to see the price patterns emerging.
