If you're not having conversations with your hard money lenders like, 85-90%+ of the purchase price, 100% of your rehab costs and maybe even financing your mortgage payments, advanced draws on your construction budget, you might be risking more money out of pocket than you need to.

If a buyer is offered a 2-1 buydown (starting at 5.25%, increasing to 6.25% and then to 7.25%) with all closing costs covered except for $3,000 (to be paid by the buyer) on new construction through the seller's preferred lender, and signs the purchase contract in April 2024, the house will be completed by the end of September 2024.

Is there an order of magnitude we can use to estimate what it will cost us?

Depending on how much there is and where will affect the cost to get rid of it.

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620, many blemishes, but should have no evictions in last 2 years.

It’s costing you thousands of dollars post-tax plus wrecking your DTI. 3) sell your current home tax free and buy a duplex or fourplex.4) AGAIN: figure out the ownership structure and the breakup structure.

This improvement suggests a growing buyer interest and possibly limited inventory, creating favorable conditions for quick turnovers.Toledo OH - RE Analysis (April 2024) - House Sales (1).pdfDemographics and Economic FactorsPopulation and Economic CharacteristicsPopulation Size: With a smaller population of 5,341, 43620 offers less competition in buying and selling, which is beneficial for flippers targeting niche market needs.Income Levels: The lower median household income ($27,442) suggests a demand for affordable, refurbished homes—ideal for flipping projects aimed at cost-sensitive buyers.Housing and Ownership TrendsRenter-Occupied Properties: A high percentage (68%) of renter-occupied properties indicates a transient population, potentially less targeted for flipping.

@Barbara BertaDoing a 30 min. consult with a Real Estate Attorney will probably be well worth the cost.  

That's three months of mortgage and utilities, the cost of flooring, and the cost of painting.

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!