Is it too risky for a newbie to do a rehab rental home?

[Michael Fung]

A run down house in a good neighborhood is for sale at $230K.  It has already been reduced by $20K, but I think the renovation costs will be quite substantial given the list of things that need to be replaced inside and outside.  My biggest concern is that it is still difficult to secure a contractor's time even as the market is cooling.  I am not in a hurry to jump in on this project, should I wait until later 2023 when contractors' availability become more assessable?

[Tyler Fontaine]

Ehh it depends. If you can lock it up and have a full scope of work then getting a contractor shouldn't be too bad. The holidays don't help but if you call around enough and ask for referrals you should be able to get someone who is willing to work.

Given it's your first project I would be cautious and very conservative rehab costs. it will cost more than you think for sure. Instead of social media, start combing through the home depot and lowes apps and get an idea daily on pricing of things. 

Call around and see if you can get rough quotes on electrical stuff, HVAC stuff, flooring, and so on.