Hi Jonathan,Congrats on your first big renovation deal—it’s an exciting challenge!

We got three estimates from masonry repair companies ranging from $7,500 (patch) to $35,000 ("do this repair now or you will need a major $80K repair").

We can buy the house for maybe 125k and he estimates 120k in renovations.

I then created an excel sheet with those estimates to know (a) what to offer for land to make my numbers and (b) to hold the sub to what they estimated for me.  

I plan on doing most the renovations myself which requires equipment (such as tools).

@Chris Kay it depends what level of renovation you are doing!

I'm in the midst of renovating a property in a high end neighborhood.

For instance instead of having to stay glued to new listings, find the ones that show potential, then estimate rent, then put them in your calculator, then look at comps for ARV, then finally calculate offer price etc. 

Here's a breakdown of the situation:Current Occupancy: 80% (16/20 units occupied).Current Gross Rent Roll: $14,265/month.Market Rent Potential: $17,665/month (100% occupancy).Renovation Needs: 15 units require full renovation ($10K/unit), 4 units are 75% renovated ($2.5K/unit), totaling $160K in renovation costs.Vacancy Loss: $41,820/year in lost income due to current vacancies.Cap Rate AnalysisThe seller lists the cap rate as 9.59%, but this is based on the projected NOI of $119,858 (assuming full occupancy and market rents).

First, estimate what the renovation would cost, how long it would take, and how much extra you could potentially sell the property for once it’s fixed up.