Rehab Cost Calculator
Estimated Rehab Cost
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Cost Per Sq Ft
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Kitchen Budget
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Bathroom Budget
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Estimating House Flip Renovation Costs
Accurate rehab cost estimation is critical for profitable house flipping. This calculator provides rough estimates based on property size, condition level, and specific renovation needs. Actual costs vary significantly by location, labor rates, material quality, and unforeseen issues discovered during renovation.
Cosmetic renovations (paint, flooring, fixtures, landscaping) typically cost $10-$25 per square foot. Moderate renovations that include kitchen and bathroom updates run $25-$50 per square foot. Major gut renovations with structural work, new systems, and complete finishes can cost $50-$100+ per square foot.
The 70% rule is a common guideline for house flippers: your maximum purchase price should be 70% of the after-repair value (ARV) minus repair costs. This builds in profit margin and a buffer for unexpected expenses. Always add a 10-20% contingency to your rehab budget for surprises behind walls and under floors.
Frequently Asked Questions
What is the 70% rule in house flipping?
The 70% rule states: Maximum Purchase Price = ARV x 70% - Rehab Costs. For a property with an ARV of $300,000 and $50,000 in rehab costs, the maximum purchase price would be $160,000.
How much should I budget for contingencies?
Add 10-20% to your total rehab budget for unexpected issues. Older homes may need more contingency. Common surprises include hidden water damage, outdated wiring, plumbing issues, and foundation problems.
What renovations give the best ROI?
Kitchen and bathroom updates typically provide the best return. Minor kitchen remodels recoup about 75-80% of costs. Other high-ROI improvements include new paint, flooring, curb appeal, and updated fixtures.
How long does a typical house flip take?
A cosmetic renovation takes 1-3 months. A moderate renovation takes 3-6 months. A major gut renovation can take 6-12 months. Factor in holding costs (mortgage, taxes, insurance, utilities) for each month of renovation.