Can you help me estimate repair cost on this house?

Rehabbing & House Flipping
9yFollow

Can you help me estimate repair cost on this house?

Patrick Philip
FL · Member since 2016 · 912 posts · 107 votes

I went to look at a house today. Here are 16 pictures....

https://www.dropbox.com/s/2t7uutjmciu9yif/IMG_2017...

https://www.dropbox.com/s/s1qvlm9ixke4rfb/IMG_2017...

https://www.dropbox.com/s/49tqalxh9segr4h/IMG_2017...

https://www.dropbox.com/s/gst8qaui67fhor9/IMG_2017...

https://www.dropbox.com/s/sczggk3n46tevnf/IMG_2017...

https://www.dropbox.com/s/miz0l2adry1w0wr/IMG_2017...

https://www.dropbox.com/s/gl3bqhx57lp8aml/IMG_2017...

https://www.dropbox.com/s/mhvchlp5yjlhi6b/IMG_2017...

https://www.dropbox.com/s/xodxetydorzxxdq/IMG_2017...

https://www.dropbox.com/s/sx6g04a8u9irfn3/IMG_2017...

https://www.dropbox.com/s/yvh0jfvafh6uhjd/IMG_2017...

https://www.dropbox.com/s/3yqa1bjithh8j0l/IMG_2017...

https://www.dropbox.com/s/nqiwp1jx4g1r0e0/IMG_2017...

https://www.dropbox.com/s/pj9slgkh4c83v0t/IMG_2017...

https://www.dropbox.com/s/y6nhpa3hb8kz4y3/IMG_2017...

This is my first time looking at a house and trying to create a SOW, so I have many questions.

Do the cabinets need to be replaced? Obviously they are functional and they are not too ugly in my opinion, so should I just paint them?

Should I replace the sink in the bathroom? Why or why not? Should I replace the tub? Why or why not?

Should I do something with that front porch? Honestly, it looks very rickety. Should I sure it up somehow?

This house does not have an air handler inside. I'm not sure if it's missing or if it is the type of unit that only has an outside unit. Does the outside unit look too old and need to be replaced?

I didn't bring a tape measure with me to measure every single room, so I don't have exact square footage for painting, etc. But I do know that both the interior and exterior need to be painted.

I would replace all of the carpet with luxury vinyl, except for the bathroom and maybe the front room that has the laminate wood.

Should I replace that brown fan? It works. Should I get a new one just for the hell of it?

Should I replace the blue tiles in the bathroom just to make them white so they match everything else?

Do the exterior windows look like they need to be replaced? Or just painted?

Does the front door need to be replaced or just painted?

Do you see that crack in the wall? Should I just paint over that or is that a sign of foundation damage possibly? I suppose an inspection would tell me.

0Reply
62 views

Most Popular Reply

J ScottPro Member
Moderator
Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
9y
Originally posted by @Patrick Philip:
Originally posted by @Marko Cvetkovic:

Patrick, I think you should first buy J Scott's book. That will be a great help for you.

 I've already bought it.

Yes, but based on the questions you're asking, you clearly haven't read it.  


Podcast Guest on Show The Truth About Real Estate Investing in 2024 (What Investors NEED to Know)
3Reply
See this reply in the discussion

32 Replies

Jump to latestLatest
  • Account Closed
    Johnson City, TN · Member since 2014 · 586 posts · 705 votes
    9y

    Some of this depends upon your budget and what the maximum value of this house is. Keep the cabinets with a fresh coat of paint. Replace countertop. Replace bath sink. Looks like it came from a cheap commercial building. Change the shower tile to match the tile floor. That porch probably has some rot in it. You need a header with jack posts on each end against the walls so you have a clear opening. Tub looks fine. Maybe just needs a good cleaning. Paint the front door. Replace the windows.

    0Reply
  • J ScottPro Member
    Moderator
    Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
    9y

    How much would you be reselling the house for?  Can you post pictures of the interiors of a couple other similar houses that are listed for sale or that recently sold at that same price point in the same area?  Once we see what your competition looks like, we can tell you what you would need to do.

    Podcast Guest on Show The Truth About Real Estate Investing in 2024 (What Investors NEED to Know)
    1Reply
  • Thomas S.
    Member since 2016 · 13k+ posts · 12k+ votes
    9y

    The work you do depends entirely on the market, property value and target ARV. Without the details advice is impossible.

    1Reply
  • Marko Cvetkovic
    Developer · Kansas City, KS · Member since 2015 · 84 posts · 9 votes
    9y

    Patrick, I would follow the process of determining your ARV. That will show how much you need to improve to the property by comparison of sales. When we do our flips we start with checking the mechanicals Foundation and roof first. We try to update the kitchen and baths the best we can to match the style of the updates. We found that it is looks better to just redo the bathroom then do the tile painting in my opinion.

    0Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Marko Cvetkovic:

    Patrick, I would follow the process of determining your ARV. That will show how much you need to improve to the property by comparison of sales. When we do our flips we start with checking the mechanicals Foundation and roof first. We try to update the kitchen and baths the best we can to match the style of the updates. We found that it is looks better to just redo the bathroom then do the tile painting in my opinion.

     I don't really know how to check mechanicals without a licensed inspector. I can't look at a roof and tell you if it needs to be replaced. Same with the foundation. Does this house not need an air handler inside? What do you think of the AC unit that's outside? Is that all it needs? What do you mean by "tile painting?" I was going to just replace the tile on the wall to match that on the floor of the bathroom.

    0Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Thomas S.:

    The work you do depends entirely on the market, property value and target ARV. Without the details advice is impossible.

     What type of details do you need? This is a lower income area.

    0Reply
  • Brian Pulaski
    Flipper/Rehabber · Montgomery, NY · Member since 2016 · 2k+ posts · 1k+ votes
    9y

    How can someone determine if a tub or sinkneed replacing, or a fan, or if the AC unit functions or not based on a few photos. These are all items that you need to review with local comps to determine. Once you determine what needs to be done, you can then get a handle on what it costs to fix/replace. I didn't look at all the photos, but what have you determined the repair costs and ARV of this house to be?

    0Reply
  • Marko Cvetkovic
    Developer · Kansas City, KS · Member since 2015 · 84 posts · 9 votes
    9y

    Patrick, I think you should first buy J Scott's book. That will be a great help for you.

    2Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Brian Pulaski:

    How can someone determine if a tub or sinkneed replacing, or a fan, or if the AC unit functions or not based on a few photos. These are all items that you need to review with local comps to determine. Once you determine what needs to be done, you can then get a handle on what it costs to fix/replace. I didn't look at all the photos, but what have you determined the repair costs and ARV of this house to be?

     How can I determine repair cost if I don't know what work needs to be done? I'm wanting to know if this house is missing an air handler or if it is the type of AC unit that doesn't need one.

    0Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Marko Cvetkovic:

    Patrick, I think you should first buy J Scott's book. That will be a great help for you.

     I've already bought it.

    1Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y

    Okay I'm having a problem running comps. The seller is quoting an ARV of $140,000. The Zestimate is $96,000. How can these be so far off? There is a neighboring property that just sold for $133,500 yesterday but was bigger. The Zestimate of that one was $148,965. There is another close by property that sold in mid-December for $90,000 and has a Zestimate of $167,934.

    I know the Zestimate isn't always accurate, but I've usually found it to be somewhat reliable.

    I have no idea whether this house I'm trying to fix is worth $96,000 or $140,000 all fixed up.

    The address is 2526 Mohawk Drive. Sanford, FL 32773.

    0Reply
  • Account Closed
    Houston, TX · Member since 2017 · 19 posts · 12 votes
    9y
    I think you may want to look at the question like this, "should I", "could I", or "wow factor". First, "should I". Does it mean that what's there now it's functional enough or even safe & need to replace the cabinets? Secondly, "could I" is it to satisfy an upgrade in the value of the property? And lastly, the "wow factor". Is it going to be a huge selling factor that makes the property sell or rent quicker. Hope that helps.
    1Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Account Closed:

    I think you may want to look at the question like this, "should I", "could I", or "wow factor". First, "should I". Does it mean that what's there now it's functional enough or even safe & need to replace the cabinets? Secondly, "could I" is it to satisfy an upgrade in the value of the property? And lastly, the "wow factor". Is it going to be a huge selling factor that makes the property sell or rent quicker. Hope that helps.

     Are the cheapest white cabinets from Home Depot going to wow someone? It's a 1200-something square foot house.

    What would YOU do?

    0Reply
  • Patrick LiskaPro Member
    Investor · Verona, NJ · Member since 2014 · 1k+ posts · 832 votes
    9y

    Patrick,

    Like your name. two things, first one is very important, if you haven't bought the house yet do not post the address on here, someone may take it right out from under you. second, the house looks to be in decent shape, a paint job and and new windows you are ready to go ( that includes painting the cabinets), bath tiles you could either replace or re-glaze to get rid of that purple. not in the best of areas, seems like there is high crime around it, check Trulias crime map.

    0Reply
  • Brian Pulaski
    Flipper/Rehabber · Montgomery, NY · Member since 2016 · 2k+ posts · 1k+ votes
    9y
    Originally posted by @Patrick Philip:
    Originally posted by @Brian Pulaski:

    How can someone determine if a tub or sinkneed replacing, or a fan, or if the AC unit functions or not based on a few photos. These are all items that you need to review with local comps to determine. Once you determine what needs to be done, you can then get a handle on what it costs to fix/replace. I didn't look at all the photos, but what have you determined the repair costs and ARV of this house to be?

     How can I determine repair cost if I don't know what work needs to be done? I'm wanting to know if this house is missing an air handler or if it is the type of AC unit that doesn't need one.

     How would any of us be able to do the same when none of us have seen the house. I personally only get my budgets on paper with photos. I can then only fine tune them once I have seen the house. If I didn't know anything about the AC unit, I would write down info and start my due diligence. If I can't get the answer on my own, I'll reach out to a professional.

    With regards to Zillow, it's a number I have used to get a slight idea, but Zillow is not a great way to get an ARV. On my first house Zillow dropped to around $190-200,000. I sold it for $241,500. My second house, Zillow said $99,000 and I sold it for $144,000. That particular house there was one a few houses down, same SF and layout, mine had a garage and his didn't. His Zillow was around $130,000 and mine was under $100,000. Same property size, mine was on the better side and down with the nicer homes, yet Zillow felt his was worth $30-40,000 more...

    What have you crunched for repair costs? What other houses have you used to determine your ARV? This is homework you should be doing, not the guys on this website. Most of us would rather be doing that to homes we want to buy...

    0Reply
  • Matt Gragg
    Flipper/Rehabber · WASHINGTON State · Member since 2015 · 179 posts · 67 votes
    9y

    Just from the pictures you loaded up I would say it needs:

    Roof

    Windows

    Paint interior & Exterior

    Gutters and downspouts 

    Tub shower combo in the first bathroom, new vinyl or tile for floor, toilet, tp/towel holders, vanity, shower trim kit and head

    Interior doors, knobs and hinges

    Front room - keep existing wood floor if good condition, new trim, update tile entry to new tile or matching vinyl for bathroom if used

    Kitchen cabinets, counter top, sink, faucet, appliances, flooring, trim, lighting

    Get rid of the brown fan replace with a brushed nickel 11" light

    Get rid of the wall mount sink if door clearance is possible and adding a 24-30" vanity in the second bathroom, remove medicine cabinet and replace with mirror, or paint existing to match trim color if good condition, remove the tile from the wall and replace with wainscotting and chair rail trim, remove tile from floor replace with new tile or vinyl, new tile in shower because of window or paint tile if in good condition, shower trim kit and head

    All bedrooms carpet

    I'm sure there is more to be completed at the house that is not in your pictures to include plumbing and electrical etc

    What size was the panel?

    What did the attic look like? any signs of previous pests, mold, wires, plumbing issues?

    0Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Matt Gragg:

    Just from the pictures you loaded up I would say it needs:

    Roof

    Windows

    Paint interior & Exterior

    Gutters and downspouts 

    Tub shower combo in the first bathroom, new vinyl or tile for floor, toilet, tp/towel holders, vanity, shower trim kit and head

    Interior doors, knobs and hinges

    Front room - keep existing wood floor if good condition, new trim, update tile entry to new tile or matching vinyl for bathroom if used

    Kitchen cabinets, counter top, sink, faucet, appliances, flooring, trim, lighting

    Get rid of the brown fan replace with a brushed nickel 11" light

    Get rid of the wall mount sink if door clearance is possible and adding a 24-30" vanity in the second bathroom, remove medicine cabinet and replace with mirror, or paint existing to match trim color if good condition, remove the tile from the wall and replace with wainscotting and chair rail trim, remove tile from floor replace with new tile or vinyl, new tile in shower because of window or paint tile if in good condition, shower trim kit and head

    All bedrooms carpet

    I'm sure there is more to be completed at the house that is not in your pictures to include plumbing and electrical etc

    What size was the panel?

    What did the attic look like? any signs of previous pests, mold, wires, plumbing issues?

     According to the wholesaler, the roof was fine. The electrical fixtures all worked, with the exception of the A/C thermostat. I only looked at the plumbing under the sink and it was PVC and seemed solid. Why replace the tub? Why bedroom carpet instead of luxury vinyl like others are saying? Why can't I just paint the interior doors? They are white and in solid condition, just needing knobs.

    0Reply
  • Tony WooldridgePro Member
    Rental Property Investor · Walla Walla, WA · Member since 2016 · 480 posts · 346 votes
    9y

    @Patrick Philip, one of the best ways to find out what level of Rehab you need you to commit to within your farming community is looking at properties both new, old, rehabbed, non-rehabbed, distressed to the point that you know what the market is calling for and what price range it typically calls for.  Your market might let you get away with putting lip stick on a pig (not that I would do this, and as long as you are taking care of all the major safety items) and still sell for a profit.  However, the converse of that would be your market in order to stay competitive would be to place all or portions of items within the house.  

    I am not saying our fellow colleagues on here don't have GR8 advice for helping you (us) out (they always do) but the advantage that you have over all of us is knowing your market and what it will support or not. If you find that you are still asking all of these questions well than maybe you need to put more time in looking a TON of houses to get a better handle as to what you should replace to get top ROI! Hope this helps and thanks for allowing me to share.

    0Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @Tony Wooldridge:

    @Patrick Philip, one of the best ways to find out what level of Rehab you need you to commit to within your farming community is looking at properties both new, old, rehabbed, non-rehabbed, distressed to the point that you know what the market is calling for and what price range it typically calls for.  Your market might let you get away with putting lip stick on a pig (not that I would do this, and as long as you are taking care of all the major safety items) and still sell for a profit.  However, the converse of that would be your market in order to stay competitive would be to place all or portions of items within the house.  

    I am not saying our fellow colleagues on here don't have GR8 advice for helping you (us) out (they always do) but the advantage that you have over all of us is knowing your market and what it will support or not. If you find that you are still asking all of these questions well than maybe you need to put more time in looking a TON of houses to get a better handle as to what you should replace to get top ROI! Hope this helps and thanks for allowing me to share.

     So are you saying I should make an appointment with a realtor to see houses?

    0Reply
  • Tony WooldridgePro Member
    Rental Property Investor · Walla Walla, WA · Member since 2016 · 480 posts · 346 votes
    9y

    @Patrick Philip, Absolutely!  Its one thing to look at properties online but whole different story in person.  Case in point, just because the property looks nice or is cheap doesn't mean that it is a deal, you have to know what neighborhoods are good enough or GR8 to invest in.  You have heard the turn location, location, location?  That is my point one of the very important criteria in choose a place to invest is location (ie. neighborhoods, good if not GR8 ones preferably) 

    So yes Patrick you definitely need to call around and find a RE agent that you vet via questions that meet your expectations.  Once you find one be honest and transparent and tell them what you are looking for but do realize that you have to be committed and have your ducks in a row cause RE agents time is valuable as well so if they know you are serious and aren't just tire kickin they will be more than likely willing to help you.  But be cognizant of their time cause most of them are busy.  

    Other ways to see houses besides using RE agents is FSBO's and craigslist ads and what ever other online ads that aren't RE agents to see houses as well. Get REALLY good at knowing your neighborhoods which in turn will over time make you an expert within your market. Thanks again for allowing me to share. Hope this helps.

    0Reply
  • J ScottPro Member
    Moderator
    Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
    9y
    Originally posted by @Patrick Philip:
    Originally posted by @Marko Cvetkovic:

    Patrick, I think you should first buy J Scott's book. That will be a great help for you.

     I've already bought it.

    Yes, but based on the questions you're asking, you clearly haven't read it.  


    Podcast Guest on Show The Truth About Real Estate Investing in 2024 (What Investors NEED to Know)
    3Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @J Scott:
    Originally posted by @Patrick Philip:
    Originally posted by @Marko Cvetkovic:

    Patrick, I think you should first buy J Scott's book. That will be a great help for you.

     I've already bought it.

    Yes, but based on the questions you're asking, you clearly haven't read it.  

     Your book doesn't have the answer to everything.

     For example, how to look at a roof and tell if it needs to be replaced? I don't know. Are those shingles just a little old or are they completely worn out?

    0Reply
  • J ScottPro Member
    Moderator
    Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
    9y
    Originally posted by @Patrick Philip:
    Originally posted by @J Scott:
    Originally posted by @Patrick Philip:
    Originally posted by @Marko Cvetkovic:

    Patrick, I think you should first buy J Scott's book. That will be a great help for you.

     I've already bought it.

    Yes, but based on the questions you're asking, you clearly haven't read it.  

     Your book doesn't have the answer to everything.

     For example, how to look at a roof and tell if it needs to be replaced? I don't know. Are those shingles just a little old or are they completely worn out?

    From the section on Roofing (assuming it's an asphalt shingled roof):

    Did you read that section?  Does the roof fit the description as being end-of-life?  Did you ask the owner how old the roof is?

    As I've been saying to you for two weeks now, nobody is going to do the work for you.  You need to be willing to put in a little bit of effort.  Start by reading the books you purchased.

    Podcast Guest on Show The Truth About Real Estate Investing in 2024 (What Investors NEED to Know)
    3Reply
  • Olatunbosun Idowu
    Real Estate Agent · Alimosho , Lagos · Member since 2016 · 22 posts · 17 votes
    9y

    Hi Patrick, 

    I have not taking time to check the pictures or the state of the property in question but i think dealing with how much to expend on rehab or improvement after purchase of the property is a wrong move and a big mistake. I don't know what the property is intended for either for personal use or hold for rentals. 

    If its for rentals you should already have a strategy in place that will handle or take care of your real estate purchases and all cost associated with acquiring, rehabbing, holding, reselling, escrow, contingency, management, issurance, mortgage expenses,  tax and your profit margin if you are reselling  must have been factored in prior to purchase of the property. 

    This is why a financial plan forecasting is essential to successful real estate investing because it gives an idea of how to carry out your transactions in an organize manner. It is ideal to have your plans ahead of time before searching for property that fits into that plan, that way it takes away your stress and simplify your investment decisions. 

    I don't know what you have done already on this and I don't know if this is going to work for you. All this cost and expenses  must be a percentage of the cost price of the property before you arrive at the maximum purchase price of the property,simply put what you pay to the owner or seller  to own the property. I am not saying this is perfect for you but you can work with it and also do your due diligence. 

    Your profit margin should be between 9% - 10% of the cost price 

    Escrow cost to purchase should be between 1.8% - 2.2 % of the cost price 

    Rehab cost should be between 1% - 1. 15% of the cost price 

    Holding cost depending on the number of months lets work with 2months must be between 0.9% - 1%

    Contigency can be between 0.05% 0.1%of the cost price 

    Your resale cost can be between 3.3% - 3.5% of the cost price 

    These are what you need to  determine and deduct them from the estimated cost price to arrive at what you give or pay for the property which becomes your maximum purchase price come rain come sunshine. 

    It is wise to do this before making any investment on any real property asset of any kind, trend wisely friend. Don’t depend solely on this seek more advice but am sure you can start from this simple investing ideas. 

    Thanks 

    Olatunbosun Idowu 

    0Reply
  • Patrick Philip
    OP
    FL · Member since 2016 · 912 posts · 107 votes
    9y
    Originally posted by @J Scott:
    Originally posted by @Patrick Philip:
    Originally posted by @Marko Cvetkovic:

    Patrick, I think you should first buy J Scott's book. That will be a great help for you.

     I've already bought it.

    Yes, but based on the questions you're asking, you clearly haven't read it.  

     Maybe because it hasn't come in the mail yet. What's with that? I ordered it probably a month ago.

    0Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free