Is there a quick way to estimate repair costs?

5 Replies

It looks like I may have a meeting (my first with any motivated seller :-D) tomorrow with a highly motivated seller.  

The question: Is there a way to do a rough estimate of repair costs on a SFR? We're going with the 70% rule (70% of ARV minus repair costs).

The details (those we know, anyway): Partially gutted 1,546 sf home; 4 Beds, 2 baths. Assuming the foundation is sound. Roof appears to have some life left in it. Windows need replacing, exterior needs paint. No drywall in interior. lacking all fixtures and appliances. 

We just need a very rough estimate so that we can come up with a ballpark figure.

Thanks in advance for your help!

Stacey, Tacoma, WA

I got this from one of the other members here.  It is rough, but very helpful!!

@James Stevens  That cheat sheet looks like a great jumping off point.  Folks should keep in mind that labor rates around the country vary as wildly as the real estate market does.

@Stacey Olson  You are very welcome.  As I said, that was passed on from another member here on BP.  And yes @Andy Thompson  labor rates and other markets do vary a lot in different places, but like I mentioned, "It's rough, but very helpful."  Like you said, "it''s a great jumping off point."  Obviously each person can tweak the numbers to match their scenario, but it gives an excellent guideline.  

Best wishes in your investing.

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