This decision increased our budget from $15K to $45K, but it turned out to be a wise investment.The increased budget allowed us to enhance the property's overall value significantly, and we were able to sell it for a much higher price than initially anticipated.

Eliminate debt, establish a budget, and save.

We use DealCheck to underwrite deals and QuickBooks Online for everything related to accounting and budgeting.

Over-budgeting is critical to ensure that renovations don’t eat into your profits.Market Fluctuations: If property values in your area do not appreciate as expected, or if you face a market downturn, the amount you can refinance for may be lower than anticipated.Financing Challenges: Securing financing for the initial purchase and rehab, as well as refinancing after the property is rehabbed, may be challenging, particularly if the property is located in an area with fluctuating values or if the rehab work doesn’t immediately improve the property’s appraised value.Tenant Risk: Rent collection and tenant management can be unpredictable.

We're willing to live almost anywhere in the greater Sacramento area based on what we can afford, provided of course that the property is in a decent neighborhood that has a good chance of attracting responsible tenants.As for budget, I believe we could get a conventional loan for properties up to $600k, but my strong preference is to find a distressed property (or seller!)

@Robert Gorra - I've had a similar experience where I've had a really hard time with getting GC's to even give me an estimate, and the few that have have been way overpriced (ie, they want me to put in $20k of cabinets in a budget flip) or have had their prices go up by about 40% and still not give me a firm price when I try to nail down the scope of work.

@Yael DoronIf you're working with a $150,000 budget and aiming for high ROI through rental income, consider nearby areas around Phoenix that still offer affordability and growth potential.

My goal would be to start within 1-2 years and get some more experience with the construction process, project management, financing/budgeting, etc.

Even though the budget of the project will be about 4 times of where I was looking to start with a fix and flip, MF financing looks very encouraging and a silver lining.

Similarly, homes that have unusual layouts or less traditional features often benefit from full staging, as it helps buyers envision how the space can work for them.That said, even in more budget-conscious markets, full-service staging can still provide a significant return on investment, especially if the home has been on the market for a while or if it's empty and lacks warmth.