It feels like there’s always a surprise—whether it’s skyrocketing material prices or finding something unexpected during the demo—that eats into the budget and profits.I know there’s always more to learn, so I’m curious—how do you approach rehab budgeting?

This provides you with a safety net for any unexpected expenses during the rehab process while also potentially allowing you to secure higher leverage on the purchase price.

Everytime i engage in a product its more unexpected money being required and I just do not like that.Good information.

I was really excited to be a real estate investor but having 3 out of 4 tenants break leases and cause excessive property damage as well as unexpected turnover cost from excessive damage, is making want to get out.Thank you for your any input you would like to share. 

Budge for unexpected repairs.

What are your long term goals (eg do you want to buy another house) and do you have a large savings set aside for unexpected expenses? 

After a couple of months of hard work and more than a few unexpected surprises during rehab, I sold the property for $145,000.

After a couple of months of hard work and more than a few unexpected surprises during rehab, I sold the property for $145,000.

If you intended me to take something else from that picture, such as an unfortunate motor vehicle accident, let me know.

It’s crazy how trying to stand firm can sometimes backfire in unexpected ways.