Renovating an Ugly Duplex

[Brandon Durant]

Hi everyone,

Looking at multiple properties in the Pawtucket area and came across one that is priced well due to needing a lot of work. I hadn't thought about doing any sort of rehabbing for our first house hack but it got me thinking...

How long and expensive would it roughly be to remodel a duplex? We would want to house hack but wouldn't want to live in that construction zone of course.

Any input would be greatly appreciated, 

Thank you all

[Anthony Thompson]

Hey @Brandon Durant it’s hard to say when you just say “a lot of work” but when I think of medium-size rehabs I usually think at least 50K and at least 3-6 months, depending on what’s being done of course. And with the cost of everything going up lately, it might be safer to assume at least 60.

[Jeremy Trier]

Hey Brandon,

Since I am inexperienced with rehabs and have never done a full flip or BRRR, if there is a property that I'm interested in I ask a General Contractor to walk the house with me. If I've already hired them to do this job for me they might come with me for free, however if I have no commitment or arrangement with them, they charge me a fee to do so. Probably around $250 give or take the size of the property or the complexity of the repairs needed.

I've got to say that the property I currently house-hack needed a good amount of work and it was difficult to handle that as a first purchase and trying to live in it while repairs are being done.  It didn't need a full rehab and we waiting till most work was done to move in, but it was still a lot more than I thought it was going to be.

Best of Luck,

Jeremy

[Jaron Walling]

@Brandon Durant After reading some weird responses above I'll throw my 2 cents at you. Don't waste anyone's time (agents, contractors, off market seller) unless you commit to buying distressed property. Don't call around and talk to GC's unless you have a property under contract. That's the first thing most people skilled trades people look for. How much are you invest into the deal = how much they invest to your property. Are you going to pay on time and build a relationship? Contractors are BUSY PEOPLE. The best ones send out numerous quotes for "projects" and expect 1-2 per week. They don't advertise other than FB market place or Craigslist. They won't be high up on a Google search. This is key to building relationships and rehabbing distressed property (house-hack or not). 

If you're doing cosmetic/minor remodel (kitchen and baths) you'll spend at least $15k per unit (hired out). If you're doing exterior repairs like a new roof, windows, minor plumbing, electrical, or a new panel for the property you're looking at least $40k per unit. These prices will vary wildly depending on your market and level of finishes. Probably 3-6 months to complete that work hired out. Longer if you DIY with not much experience. 

[Karen Margrave]

Nobody can give you an answer to that question without real information. Have you had any type of inspections? (home, pest, systems, roof, etc.)  When you say it needs a lot of work, what specifically does that mean?  Do you have photos? Is it sound structurually? Is it just outdated and needing cosmetic refresh or major remodel? 

As a contractor that has done a lot of new construction over the years, on the one remodel we did do, I will say that there were things that came up, that were not visible to the eye until we ripped out sheetrock, etc. and ended up being expensive to fix. It was ok, as we had extra money in the budget, but we didn't get to do some of what we wanted due to that.  For someone that isn't a contractor, it can be far worse.

As to the time involved, it depends on how experienced you are, what the work is, and if you have to sub things out (then it's based on the subs schedules)  

[Frank Patalano]

Quote from @Brandon Durant:

Hi everyone,

Looking at multiple properties in the Pawtucket area and came across one that is priced well due to needing a lot of work. I hadn't thought about doing any sort of rehabbing for our first house hack but it got me thinking...

How long and expensive would it roughly be to remodel a duplex? We would want to house hack but wouldn't want to live in that construction zone of course.

Any input would be greatly appreciated, 

Thank you all

 A lot of work means different things to different people. I've seen a light rehab to mean "putting new hardware on the cabinets" to meaning, "There is no kitchen".

I agree with @Jeremy Trier if you haven't done this much, I would definitely pay a contractor from the local REIA a couple hundred dollars to walk through a property or two with you. (If you know someone very handy you could do it with them instead.)

I could recommend someone locally. Even if you don't buy the property it will be well worth the info that you get.

And do Not wait until after you write an offer. You want to have a grasp of about how much the rehab will cost before putting in an offer.

[Brandon Durant]

Quote from @Frank Patalano:

Quote from @Brandon Durant:

Hi everyone,

Looking at multiple properties in the Pawtucket area and came across one that is priced well due to needing a lot of work. I hadn't thought about doing any sort of rehabbing for our first house hack but it got me thinking...

How long and expensive would it roughly be to remodel a duplex? We would want to house hack but wouldn't want to live in that construction zone of course.

Any input would be greatly appreciated, 

Thank you all

 A lot of work means different things to different people. I've seen a light rehab to mean "putting new hardware on the cabinets" to meaning, "There is no kitchen".

I agree with @Jeremy Trier if you haven't done this much, I would definitely pay a contractor from the local REIA a couple hundred dollars to walk through a property or two with you. (If you know someone very handy you could do it with them instead.)

I could recommend someone locally. Even if you don't buy the property it will be well worth the info that you get.

And do Not wait until after you write an offer. You want to have a grasp of about how much the rehab will cost before putting in an offer.

 Hi Frank, thank you for your input.

Just to be sure, you're saying pay them to go to the open house with you, if it is obvious that we would want to do some reno? 

That way, we could know our possible expenses before writing an offer, right?

Appreciate your help!

[Frank Patalano]

Quote from @Brandon Durant:

Quote from @Frank Patalano:

Quote from @Brandon Durant:

Hi everyone,

Looking at multiple properties in the Pawtucket area and came across one that is priced well due to needing a lot of work. I hadn't thought about doing any sort of rehabbing for our first house hack but it got me thinking...

How long and expensive would it roughly be to remodel a duplex? We would want to house hack but wouldn't want to live in that construction zone of course.

Any input would be greatly appreciated, 

Thank you all

 A lot of work means different things to different people. I've seen a light rehab to mean "putting new hardware on the cabinets" to meaning, "There is no kitchen".

I agree with @Jeremy Trier if you haven't done this much, I would definitely pay a contractor from the local REIA a couple hundred dollars to walk through a property or two with you. (If you know someone very handy you could do it with them instead.)

I could recommend someone locally. Even if you don't buy the property it will be well worth the info that you get.

And do Not wait until after you write an offer. You want to have a grasp of about how much the rehab will cost before putting in an offer.

 Hi Frank, thank you for your input.

Just to be sure, you're saying pay them to go to the open house with you, if it is obvious that we would want to do some reno? 

That way, we could know our possible expenses before writing an offer, right?

Appreciate your help!

I wouldn't do it every time but yes. Or a private showing would be better.
If it needs that much work, you will want and honest opinion of a $40k rehab or a $70k rehab.