Even though I was living in Oakland, California at the time this is what I didI interviewed agents that had multiple listings of duplexes, triplexes and fourplexes because they are used to working with investors and they also know who the good PMs and contractors are. 

The other frustrating piece to that pie is that folks assume because properties are going for cheap in an area that contractor rehab work is going to be 'discounted' as well, and it is NOT discounted, it's the same going rate, if not MORE in less expensive neighborhoods because it is MORE COMPETITIVE in those areas for licensed contractors.

Would it be cheaper to buy supplies and pay contractor hourly or allow contractor to do it all and pay large lump sum ? 

then ( at least in Oregon) contractor would sue lot owner for unjust enrichment.. and lot owner ends up paying double for many of the trades..

A leak causing water to flow under the sub-floor and into the crawlspace can lead to significant structural issues if not addressed promptly, and you’d likely need a plumber and possibly a contractor to assess and fix the damage.

You are new, so you don't have a pool of contractors, or know what things really cost, or what a scope of work truly entails and if you are getting fair bids or not.  

The future owner would like to do the work themselves or with an unlicensed (and very affordable) contractor, but to get a permit they need a licensed contractor.  

Now with a blank canvas I got my contractors together and painted the picture.

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If you use a handyman or contractor then you can deduct the entire amount.