MYTH BUSTERS....Is being cheap really expensive?
Real Estate Agent · San Antonio, TX · Member since 2017 · 523 posts · 362 votes
MYTH BUSTERS....Is being cheap really expensive?
Most Popular Reply
Real Estate Investor · Des Moines, IA · Member since 2016 · 922 posts · 533 votes
8yOne of the sayings that really annoys me 'to the max' is the following:
You get what you pay for. I couldn't disagree more.
I could list off the top 10 deals that I've obtained that did not fit this, in a good way.
I could list off the often inherent conflict of interest that is usually present from people that say this - ie: the window supplier/installer that is selling the $700 windows with little added value, etc. It's usually the folks that don't understand the difference between VALUE and PRICE that say this, or have something to gain by making people believe it.
All this said, we have at times had a lot of time sucked up because of the purchase of say a used dishwasher from Menards, as an example.
I think a better way of thinking about decisions is constraints. Constraints are different for different people at different times. At times, (and I'm speaking from experience) we could afford nothing other than getting the $50 used dishwasher and doing our darnedest to make sure that it worked, that we were protected if it didn't, etc. That's looking for value. There are other times when time is more of a precious commodity and one can't afford the time that may come with testing and understanding the problem of the used dishwasher, and getting a replacement heating element for it, and swapping it in.
The takeaway here though is that unfortunately there's not a simple answer. It depends on who you are and where you are. We are transitioning to where money is less of a constraint (although it always is to some extent) - and where time is more valuable. It seems that's a common transition and trade-off. But, it's not the only one. It's just one and it just speaks to a couple constraints that should guide decisions (money and time). Other common constraints that should also guide decisions include:
- capabilities
- gumption/can-do (ie this is essentially your 'charge' or energy to execute and grind through tough times) - I've found understanding this about yourself is essential as mis-estimating here can be brutal, hard on outside relationships, among other things
- I'm sure there are plenty of others!
29 Replies
- Downers Grove, IL · Member since 2017 · 366 posts · 165 votes8y
Never get tired of your question! Anyone who grew up poor or from a family that lived frugal most likely struggles with the question in some form ore another until they take their last breath.
- Real Estate Investor · Des Moines, IA · Member since 2016 · 922 posts · 533 votes8y
One of the sayings that really annoys me 'to the max' is the following:
You get what you pay for. I couldn't disagree more.
I could list off the top 10 deals that I've obtained that did not fit this, in a good way.
I could list off the often inherent conflict of interest that is usually present from people that say this - ie: the window supplier/installer that is selling the $700 windows with little added value, etc. It's usually the folks that don't understand the difference between VALUE and PRICE that say this, or have something to gain by making people believe it.
All this said, we have at times had a lot of time sucked up because of the purchase of say a used dishwasher from Menards, as an example.
I think a better way of thinking about decisions is constraints. Constraints are different for different people at different times. At times, (and I'm speaking from experience) we could afford nothing other than getting the $50 used dishwasher and doing our darnedest to make sure that it worked, that we were protected if it didn't, etc. That's looking for value. There are other times when time is more of a precious commodity and one can't afford the time that may come with testing and understanding the problem of the used dishwasher, and getting a replacement heating element for it, and swapping it in.
The takeaway here though is that unfortunately there's not a simple answer. It depends on who you are and where you are. We are transitioning to where money is less of a constraint (although it always is to some extent) - and where time is more valuable. It seems that's a common transition and trade-off. But, it's not the only one. It's just one and it just speaks to a couple constraints that should guide decisions (money and time). Other common constraints that should also guide decisions include:
- capabilities
- gumption/can-do (ie this is essentially your 'charge' or energy to execute and grind through tough times) - I've found understanding this about yourself is essential as mis-estimating here can be brutal, hard on outside relationships, among other things
- I'm sure there are plenty of others!
- Real Estate Investor · Des Moines, IA · Member since 2016 · 922 posts · 533 votes8y
Oh one other thought, too
There's no simple answer here as different things work for different people
We try to focus more on quality (or put another way, these are items that we've found some of the most value - perceived or real - in terms of our rentals on the following):
- Lighting (do lots of recessed down-lighting with LEDs)
- Granite
- Hardwood Flooring (this is actually CHEAPER, but more TIME INTENSIVE)
- Metal Roofing (this is an aesthetic, and lifecycle cost consideration
In almost all those cases, I have more of a DIY/active management proclivity on these items because they would tend to be very COSTLY to bring in a 3rd party to do. They add a lot of VALUE to what we offer and our rents and customer willingness to pay has born this out. And to touch back on my previous post, focusing our efforts and time on areas where there is the most value and we can develop our own capabilities can alleviate constraints in the future.
So as in most things, there's no simple answer.
And a counter example we have a very successful mentor that tends to go for cheaper but hardy materials with big houses. Seems to be doing just fine at least judging by the number of units he is up to.
- Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes8y
if you cant afford to do it right , how can you afford to do it over
- Rockaway, NJ · Member since 2016 · 2k+ posts · 2k+ votes8y
It would take awhile to come up with a comprehensive list, but when I ponder this question I ask myself, what would happen if this part fails?
someone in another thread mentioned that they used cheap water shutoff valves under their sinks, leading to them breaking several years later when he tried to shut off the water. obviously that was a mess, and it would have been better to buy higher quality valves to begin with.
on the other side of the coin, when I remodeled my primary last year, I wanted black outlet and switch covers. instead of buying 25-35 of them at $4 a pop, I bought a $10 can of spray paint, and painted the white ones. If they don't look good in a few years, I lost $10 and will buy black ones. no harm done.
I also find price ranges to be a bell curve. the cheapest is probably overpriced for the value you get, and will break sooner. The more expensive end is likely something you are spending extra on solely for a name. usually the middle is the right mix of value and price.
hope my thoughts are helpful!
- Walnut Creek, CA · Member since 2015 · 3k+ posts · 2k+ votes8y
Expensive doesn't mean quality. You need to understand and research what your doing. Generally speaking supplies are most of the time going to have a fixed price and be similar everywhere. If you hunt you can find deals or find similar products are reduced rates. Things get a lot more tricky when you get into services and construction.
In these you need to understand the bids and the job. Sometimes a contractor will inflate the scope of work to get more hours out of you (costs you more) or order material that is nicer than it needs to be. If you're doing a a big job expect to get multiple bids... but you should be comparing them to your own internal estimate. That might sound difficult and might not work if you don't know what your doing.... or what things "should" cost. One way around that is looking at the bids... if ea one nearly identical then you can reasonably believe that's the market rate. - Real Estate Agent · San Antonio, TX · Member since 2017 · 523 posts · 362 votes8y
@Jim Goebel Thanks for the insight and advice I appreciate it definitely going to use some of the items on your list because you are right it does depend on where you are but you do want to get the most value regardless
@Matthew Paul That's one of my favorite quotes and mindsets! I feel like many people over look this and then get screwed in the end because they bought a cheap product that doesn't provide a quality solution to their problem, just a quick fix or band aid.
@Andrew B. That's usually the case in most instances there are two sides of the spectrum and it's usually best to be in the middle not on one extreme or the other! Thanks for the comment!
- 8yNed J.Pro MemberInvestor · Manteca, CA · Member since 2017 · 1k+ posts · 2k+ votes
No real right answer to this questions....it depends. Are you spending the extra $$ and getting better value out of it or are you wasting your $$?
If spend 2x the $$ on an item is it truly going to last 2x as long? Is the $600 dishwasher going to last 2x longer than the $300 one and cost me less in repairs and hassles? Maybe....maybe not....
Depends on the item too......is that $100 I saved going to cost me $4k when it fails and destroys something?
If I spend another $400 on better flooring is it going to allow me to rent the place for more $$...is that flooring going to last longer? Or is the $400 I save going "cheap" going to cost me more since I will have to replaced it way sooner....
As stated above...its more value than actual cost...sometimes spending the extra $$ saves you hassle and more $$ in the long run and sometimes it doesn't...
Using the example above with the electrical switches....was spending all that time painting all of them worth the $130 you saved? and will they stay looking nice as long or is the paint gong to peel and chip off in a couple of years? Maybe that extra $$ saved is worth it to one person and not another.....
- Real Estate Investor · Des Moines, IA · Member since 2016 · 922 posts · 533 votes8y
Hey Matthew and please don't take this as me trolling or getting personal but other statements like yours:
"if you cant afford to do it right , how can you afford to do it over"
and here's another term:
"cutting corners"
Are among the many that are instant turn-offs, ie: elicit get out of my house, kind of responses from me.
It's not a question of doing something right, it's a question of WHO GETS TO DECIDE WHAT IS RIGHT.
Your statement inherently attempts to position yourself as someone who gets to make that call. Well if you are wearing your contractor hat, then no, you don't get to decide that - the owner does. If you are wearing your owner hat (it seems you own/operate some houses you've worked on) then you get to decide that.
If a contractor comes out to bid something, then them being objective in deciding 'what is right' is kind of impossible. (CONFLICT OF INTEREST!!!) In many cases a contractor will have valuable experience and perspective on an item/project however that doesn't mean they are the one in charge or fully understanding the constraints of an owner.
If you can wear your OWNER hat and operate within the real world of constraints, then you I think would have more of a 'flexible' view on what is RIGHT. What is RIGHT will be dependent on the situation and the constraints of the parties involved (per my previous post).
Simple answers can at times be helpful heuristics but assuming or applying them to all situations is not helpful.
- Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes8y
@Jim Goebel The customer is in charge , and he is a lot of times his own worst enemy . For example , I had a job 10 years ago where the customer wanted the outside of his house painted , he was supplying the paint . I gave him a price for 2 coats $ 2500 . He only wanted one coat gave him a price of $1400. I recommended a great paint , he bought cheap . So we set up and gave it one coat . It looked bad . All the ladders were back on the truck and everything cleaned up . Customer shows up and is mad , he doesnt like how it looks . Told him yup , cheap paint doesnt cover well . Tells me Ok do another coat . So I tell him to get the good paint and it will be another $1400 . He says you quoted $2500 for 2 coats . That I did , and we only had to set up 1 time , its 4 pm we have to come back and set up again and clean up again .
Being cheap cost him more
As a contractor , over time I have learned how to weed out the " cheap " customers . They cant be pleased .
- Rental Property Investor · Manitowoc, WI · Member since 2016 · 178 posts · 186 votes8y
I don't necessarily correlate frugality with buying cheap low-quality things. To me, being frugal is eating in, not shopping, etc. What I'm getting at is, I'm frugal and save a good percentage of monthly income, but I wouldn't cut corners on repairs to save a few bucks, only to have to redo it later.
- Walnut Creek, CA · Member since 2015 · 3k+ posts · 2k+ votes8y
@Jim Goebel most of the time (and more so for the average joe) a contractor is hired for their experience and technical knowledge. If they are good, they'll likely know the most efficient way to do something because well that's their job. There also going to do things to code (and in theory) have a strong knowledge of that.... again because it's their job.
Now, for the person who's better understanding bids you can for sure find ways to cut down costs. This might be supplying your own material or modifying scope of work. These will come out if you get detailed bids from multiple sources you'll see the difference in line items. The example @Matthew Paul gave is great example. I've seen similar with choosing to skip maintenance items and then when that item goes bad few months later the labor to replace just it is significantly more than it would of been to do it w/ another job. - Bedford, NH · Member since 2012 · 2k+ posts · 1k+ votes8y
- Developer · Boston, MA · Member since 2017 · 29 posts · 21 votes8y
@Michael Guzik This is a good question that many people don't think enough about before making decisions. In your personal life, be as frugal as you can be. Get rid of the nice to haves, (cable, bigger TV, nicer car, etc.), and focus on the need to haves.
When it comes to investing in real estate, you either pay for it now, or you pay for it later. Of course you always want to find the best deals on quality materials and labor but as someone else mentioned, doing it over again costs a lot more, (typically more than double) than doing it right the first time. The cheapest contractor is rarely the best and that goes the same for the materials.
If your doing rentals, prioritize durability so you don't have to fix it later and remember that every time you have to call someone back to the property to fix something, it costs money. Invest in keeping your operating expenses low.
If you're doing flips, make sure the materials you put into the property match what the ARV should be. Don't put cheap appliances in a high end flip as you will lose on the sell out against your competition and what the buyer expects, and conversely don't overdo a flip in a c class area as you won't get your investment back.
- Investor · Lakewood, OH · Member since 2016 · 16 posts · 22 votes8y
@Matthew Paul, from a GC / handyman perspective, I couldn’t agree more. I’ve turned down jobs after realizing during the estimate process that the home owner was too cheap to meet my own standards. On the flip side, I’ve also made a tidy profit from home owners that insisted on a cheap product only to realize their mistake years down the road and need me to come in and replace a failed product. Pressboard wainscoting in a basement comes to mind.
@Jim Goebel, Oftentimes the contractor, through years of hard knocks, does know the right way to do something. The homeowner is in the unfortunate position of having to be right when picking the contractor, not necessarily when knowing what brand of deck screw lasts longer, or which ball valve won’t leak in a decade. What may seem “right” for the wallet today, may be foolish in a few years. I absolutely hate doing something twice.
It took me years to find an appliance repair/reseller I trust. When he says to buy brand X, I do it. I spent the time to find an expert, and now I save time and money by trusting his opinion.
Now with my own rental properties I never cheap out on mechanicals, flooring, paint, or exterior products. This was not true in the past, before learning how hard tenants are on a home. My first property lost time off market due to me being overly frugal. What I saved on materials, I lost on rental income.
Never be cheap, but always be frugal, especially with your time. We can make more money, but we can’t recover wasted time. Spend the time to find pros you trust, then lean on their expertise.
- Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes8y
@Michael Guzik frugal and cheap are two different things.
Frugal: Saving on resources, reducing consumption, avoid waste, avoid lavish purchases, avoid extravagance.
Cheap: least expensive or comparatively inexpensive option.
For example a frugal person when car shopping would look for a reliable used car. They would be willing to pay more for something that could last longer. By comparison a cheap person would look for the cheapest used car, without regard for underlying quality. They are focused on best price.
There is a difference between quality and luxury. Some items are more expensive because they are better built. Some are more expensive because they include premium features. Premium features in many cases can reduce reliability. The more complex something is, the more there is to break.
As a general rule, don't go cheap on anything that you plan to have a long time.
- 8yDave Van HornPro MemberFund Manager · Wayne, PA · Member since 2009 · 1k+ posts · 1k+ votes
It really comes down to "what's your strategy?" If my strategy is to flip a house in a low end market, then of course I'll be more frugal than a value-add flip or my own house that I renovate and plan to live in.
So I agree with @Joe Splitrock. It's not about being cheap, its about being cost efficient while sticking to what's warranted for the project.
On a personal level, I wish I could go back and tell my old self a saying that I've heard recently- "earn more, save less."
All the time I spent getting creative saving money, I could have put towards building businesses (with systems and processes) that would be earning me way more money. So you don't want to step over dimes to pick up pennies when it comes to what your time is worth.
- Real Estate Agent · San Antonio, TX · Member since 2017 · 523 posts · 362 votes8y
@Matthew Paul See your points are why my Dad always warn me to go with the quality items that cost more. My dad has painted our house and rooms several times and he always tell my mom that the expensive paint lasts much longer and looks much better than the cheap crap because she gets upset at the price. However he says her issue is looking at the price NOT the VALUE!
@Brad L. See that's how I'm trying to become! I've gotten pretty darn good at it to! I'm cheap when it comes to stuff that isn't too important like shoes, clothes but stuff that is major like car repairs and house hold repairs I am very hard headed on getting quality stuff that may be pricey! I know that some people call me hypocritical for having that frugal mentality in only some areas and not the rest, but I feel like it depends on what you value! What would you say to someone who told you that?
@Max Taylor I completely agree personal frugality is much smarter because it only impacts you where as the fixtures and stuff in your house impacts everyone and everything about the property!
- Real Estate Agent · San Antonio, TX · Member since 2017 · 523 posts · 362 votes8y
@Bryce K. I love that quote "spend the time to find pros you trust, then lean on their expertise"! That goes for all areas of life and many people try to go as fast as possible and as cheap as possible and screw themselves over.
@Joe Splitrock That is so true, when beginning with the end in mind it is usually always better to not go cheap!
- Rock Star Extraordinaire · Northeast, TN · Member since 2015 · 10k+ posts · 16k+ votes8y
Originally posted by @Joe Splitrock:
@Michael Guzik frugal and cheap are two different things.
Frugal: Saving on resources, reducing consumption, avoid waste, avoid lavish purchases, avoid extravagance.
Cheap: least expensive or comparatively inexpensive option.
For example a frugal person when car shopping would look for a reliable used car. They would be willing to pay more for something that could last longer. By comparison a cheap person would look for the cheapest used car, without regard for underlying quality. They are focused on best price.
There is a difference between quality and luxury. Some items are more expensive because they are better built. Some are more expensive because they include premium features. Premium features in many cases can reduce reliability. The more complex something is, the more there is to break.
As a general rule, don't go cheap on anything that you plan to have a long time.
This sums it up perfectly. Other assorted random thoughts:
1. I consider myself a frugal person.
2. The intended use of an item and the frequency of use will govern many of my decisions. Example: I don't buy shoddy jack stands or low mileage warranty tires. Something that will kill or severely injure me, my family, or others will warrant greater expenditure than something that's just for looks. Something I'm only going to use once, if not a safety issue, will probably be of lower - but acceptable - quality than something that will get frequent use. Most of my power tools are DeWalt, which stand up to a decent amount of abuse. My air tools are Hitachi, which performs similarly. I have a Harbor Freight drill press in the garage, which gets infrequent use.
3. I have never, not once in my life, thought "I wish I would have bought a cheaper quality tool". Not even for things that get used sparingly. The money is quickly forgotten but the abilities of the tool are appreciated for years.
4. Some items have a baseline such that the important stuff, there's barely a difference between brands, and only features and image makes a difference. Cars are largely like that today. My Kia Soul has easily been as reliable as a $70k Lexus. With 110k miles on the clicker (I bought it with 1 mile on the odometer), it has never been back to the dealer for a repair. It rides like a brick but it is a great inexpensive commuter vehicle.
5. If we are talking about rental property, I buy the cheapest: switch & plate covers, mini blinds (even expensive ones get wrecked), toilet paper holders, etc. I buy low-cost but quality - solid metal, name brand, classic design - faucets - usually Delta or Moen, brands that can be fixed easily and hold up to years of abuse.
6. I don't visit my frugality on others not related to me, or those who have no vested interest in me. Some people are able to live "cheap" because they utilize resources of others. Example: my neighbor, who's cheap (and stingy), for years got away with buying junk, like refurbished no-name weedeaters from Big Lots, because he had a neighbor (me) who can fix virtually anything, and usually would in the interest of being a good neighbor. So he was able to utilize a low cost of entry (cheap purchase price) and leverage someone else's time repairing the junk for free, to live pretty well - whereas I had to buy a good weedeater because I didn't have anyone to repair my junk, and I didn't want to spend all my time repairing junk weedeaters. Eventually my gravy train pulled out of the station, but there you go.
7. If I am doing a job for someone else, and they won't do it the "right" way - meaning a way that will look good, perform good, and not require a lot of additional unnecessary effort - then I won't do the job. Someone else up there said it, but let the cheap customers go their own way, because they will complain about everything and want the moon for free.
Skyline Properties - Palmdale, CA · Member since 2017 · 83 posts · 39 votes8y
@Jim Goebel I'm surprised to see granite on your list. Are you saying granite has added enough value to your rentals that its worth doing? Does this make it more likely to be rented or you are able to charge higher rents or both? I had assumed granite would not be worth the investment for rental properties.
- Investor · River City, Manitoba · Member since 2017 · 162 posts · 193 votes8y
Where do I save money?
Flooring: I will go to a place that sells "remnants" or end of roll material. Usually these have been purchased to satisfy a commercial installation and they don't have "enough" to complete the job or they have material left over. You can get this stuff VERY cheap if you're willing to find the sources.
Windows: I have two contacts I use for this. Basically window manufacturing companies make 1000's of windows a year. Many are "custom" orders that for one reason or another aren't a good fit or are cancelled orders.
Once a year I take my window measurements to these two places and "look at what they have in the back" ... The stuff that will hit the dumpster at some point. If there's anything that's exact or even 1/2 inch off (you can always add material to the frame then just slightly wider trim) I buy it!
Installations: I'll say 70% of the time I will do the install myself and save on the labor costs. Usually some of the money I save on the DIY I then put more of that into the materials.
Paint: I don't buy cheap paint, but I do buy the same color swatches for all my units. I'm kinda into a neutrals phase with taupe or burgundy accent. This means that when a tenant leaves one unit I'm not digging around trying to find new paints, I already have some on stock. Usually my local store will have a BOGO sale in the summer. I will also pick up a few cans of paint with out them being mixed with color, and if I'm out of a certain color I can go get a can color matched with extra stock I already have on hand and have paid 1/2 price on.
Tiles: I will go to a "re-store" or habitat for humanity store at least once a month to see what they have in stock. These are stores that commercial jobs buy a LOT of product for a particular job and when it's completed they donate it these stores. The stores sell the extra material at a very large discount from retail, and the profits go to help build homes for those are in need. Sometimes bulk orders of generic tile stock sometimes comes in. If there's enough to do a full bath or 2'x15's of back splash I will buy it all and keep it on stock.
I also keep an eye on local auctions that list building materials. I have in the past purchased wire and lumber for cents on the dollar.
- Rental Property Investor · Ellicott City, MD · Member since 2017 · 140 posts · 20 votes8yGreat discussion BP! I agree with many of the other posts. Personally, it depends on the circumstances. If I’m doing a flip I generally try to use lower cost materials whenever possible. However, in a case where it is my primary residence or a buy and hold depending on the circumstance I will use higher quality materials as I do not want to replace them soon. Sometimes you get what you pay for. I’ve found that to be true with contractors and electronics. Like they say you can have it good, fast, and cheap pick 2. Depending on what I’m doing (and my budget) will determine which 2 I pick. Good is always one of the two choices I pick. Now do I need it cheap or fast?
- Real Estate Investor · Des Moines, IA · Member since 2016 · 922 posts · 533 votes8y
@Derek Kirkwood Yes there's no question on granite providing value - at least between my wife and I (I just asked her for an opinion!) HOWEVER - Not at retail (ie: big box installed store) prices. At those prices, I'm on the fence and I wouldn't recommend anyone spend those kinds of prices on a fixer upper or rental for granite. Note that I'm an engineer by background and have a very 'involved' bent with the projects we do, and I stay very involved with items like this because as you will see from the numbers below - we actually attribute one of the biggest value adders and willingness to pay on the part of tenants to the granite.
House 1 Granite Cost = $225 if my memory serves - came with full bullnose, we paid $200 to have it cut (needed like 2 cuts and seams) and did the labor and transport ourselves. So we were a total of about $500 in and that was for about 30 sq ft...... so $16.7/sq ft installed. Note these are all going to be estimates.
House 2 Granite Cost = $250 if my memory serves - then we got the second taste of our friendly granite cutters loss leader - they hit us with something like $450 for cutting. We installed and seamed ourselves. It was roughly 30 sq ft. So we were at $23.33/sq ft
House 3 Granite Cost (duplex so there are 2 kitchens) = $250, and $225 respectively. Again remnants - one of these was left over at a large retail granite shop, and I think the other was This one we transported and took a crack at cutting and polishing ourselves. I would say we got a B/B+ on the result - however big picture (forest vs trees) there's no question it pops and people like the granite. I think I bought my wet grinder/polisher tool on this project and kind of stumbled through a learning curve. So, the tool was I think $400 and we got a total of approx 50 sq ft of granite installed there between the 2 kitchens. I paid someone $50 for some quick help carrying the granite to install it (too heavy for wife) I don't know if I should include the tool as it's kind of a fixed cost (used it on House 3 and House 4 granite installs). Without including the tool we are at a total of $10.50/sq ft installed
House 4 Granite and House 5 Granite Cost = $350 and this was for 2 slabs that we split and used between 2 houses. I paid a labor helper to help me cut them on site at the restore so I had $100 for that day to him, and then I tried to use my new wet grinder/polisher but there's a bit more skill / learning curve to it than I thought. My neighbor is in the counter business and he saw me trying to do it and did the rest of the polishing - he also did the back-splash. I can't remember if we paid him. I insisted on paying him but he I think insisted on me not paying him! Anyways - we'll call it $150 there. Good people - successful Bosnian family that we really like and appreciate! Anyways I think I was a total out of pocket for those 2 houses at 36 sq ft + 28 sq ft so we are at 64 sq ft total - of roughly $9.37/sq ft installed.
House 6 I was kind of burned out and we needed to shop more stuff to traditional 3rd parties with invoices etc and ended up hiring that same Bosnian neighbor for a Quartzite type counter, turnkey for a total of $1600. He threw in a free under-mount sink. This was a big kitchen and I would guess we had 45 sq ft or so so we were much closer to retail here at $35.56/sq ft
I don't typically account for my labor but my wife and I do a lot ourselves as was the case on these two.
Note that the actual material granite is exceptionally plentiful. At the wholesale level for the folks that get it on volume, you can buy the stuff all day for $2-5/sq ft with beautiful cuts. It has unmatched durability characteristics. Whatever wear it would possibly take you could grind/buff out later. Do searches for remnants, check into your local restore if you have one, etc. We've had to search but have come up with good options now on 4 separate installs.
In general, if you can pull off the above, there's no question that this stuff adds a ton of value. I'd estimate as high as an extra $75-175/mo, per house. Pays back in no time. Our rentals are nice and we get top of the market rents in the Des Moines area. The counters of course are not everything but they are a big, big part of the overall picture and attracting good tenants. Then you think about the life-cycle of these and that they will help keep that value over a very long time, and hold up great.... Yep!
- Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes8y
Originally posted by @Michael Guzik:
Hey guys I have been listening to a lot of podcasts and many of them talk about frugality and saving money or being cheap. I was always raised to believe that being cheap is expensive, sure you may save money right now but over time you will spend just as much if not more if you had just purchased the more expensive quality item. My question is where should I be frugal or cheap? What parts or repairs on a house should I look to save lots of money on? What parts should I focus on quality, and not focus on the price? Where in my personal life should I be frugal and where should I care about quality? What routines, practices or places do ya'll shop to save money or buy quality items? Thanks for reading and I appreciate any and all comments!
"A penny saved...is just a penny."
Join the conversationCreate a free account to reply, vote on answers and follow this thread.