Example: buying a property for 10K that you KNOW will ARV/appraise for minimum 40K (based on surrounding comps), that OBVIOUSLY can be rental-grade-rehabbed for less than 20K (cosmetic, paint, kitchen, floors, etc) and that will easily rent to great tenants for $800 (again, based on surrounding comps). 

My target purchase price is under $1.7M and prefer cosmetic fix to start with.

I like to look at deals on a total return basis and a cosmetic value add boosts that greatly.

And also know that if you make more than $200-250,000 in combined investment income in a year there is a 3.8% Medicare surcharge on top of that 22% or whatever percentage.Best advice - start with a very cosmetic flip.  

Does anyone know what’s the average cost for cosmetic/ full gut rehab in Seattle Washington per sqft.

All they did was cosmetic and patched the roof.

My rules of thumb have been:- $650/unit for 2000s or newer and $250 for cap ex- $750/unit for 1980s-2000s and $275 for cap ex- $850/unit for 1960s-1980s and $300 for cap exThere is definitely some nuance here, but let's assume these properties have had "cosmetic updates" throughout, but have never been full guts.

You buy cash, do a cosmetic rehab to force equity, and then refi out.

TravisIf I'm GC'ing the project and paying subs, I usually pencil $50/sf for cosmetic rehab, $75/sf for medium rehab and $100/sf for full gut as a starting point.

Most of the changes will be cosmetic and one needs a more work, so I want to pull about 150 from one of the houses.