Examples would be demo, landscape, cleaning, window repair, trim etc.

In the meantime, the old rentals cover expenses until the market/financing/ circumstances make it viable to demo the oldies and build the new.

Good syndicate deals can be royally screwed up by a bad operator, and inexperienced flippers can demo a house and run out of money, leaving you holding the bag.

The price I got didn't include any demo or replacing the drywall, but that shouldn't be much, since your drywall is getting covered anyway.

Agreed with Jon that -- without knowing more details -- the rehab could certainly be higher than $75K.If prices were the same as in my area and with my contractors, I would expect the prices for the things you mentioned to be somewhere in the area of:- Electrical: $6000- Foundation: $3000-10,000 (depending on scope)- HVAC: $6000-10,000- Plumbing: $2000-6000- Sheetrock/Insulation: $6000-8000So, you're looking at $25-40K just on those things.And that doesn't include:- Demo/Dumpsters- Permits- Windows- Doors- Carpentry- Paint- Flooring- Cabinets- Countertops- Baths/Showers- Finishes/Fixtures- AppliancesAnd that doesn't even address the exterior.In my area $40-45 per square foot is about right...if it's historical, I would guess Jon is right on at $50K/sf, or maybe even a bit more if there is a lot of historical restrictions imposed by the jurisdiction.

As far as permits, I have been told not to pull them (by uneducated or under the radar types) but after reading how it will affect appraisal, and how I could be made to demo the new contruction, I intend to pull permits and have it inspected properly.

I’m not a yuppie and could slum it on the side of the duplex in greater disrepair if need be.There’s an adjacent boarded up house on the city’s demo list for Dec 5.

Another friend of mine had a similar idea (starting a youtube channel) but he wanted to do it with someone else.Me and my friend made a "demo" video so to speak (after me investing about $500 initially for the camera).

You might get something that you can demo to get the lot.

Construction loans can and often do include demo and debris removal for new construction.