Would You Change the Rehab Halfway Through If the Refi Math Changed?
Say you bought the property expecting a $300K ARV and around $2,200 in rent. Halfway through the rehab, a better comp closes lower than expected, and the property manager tells you the rent is probably closer to $1,950. You've already spent $35K, but there's still another $20K of work in the original scope.
Do you finish everything because cutting back could hurt the appraisal and tenant quality? Or do you strip the remaining rehab down to clean, durable, and rent-ready because the original upside is no longer there?
People talk a lot about adjusting the offer before closing. I don't hear much about changing the plan after the rehab has already started. Has anyone here actually scaled back, or completely redesigned, a BRRRR halfway through because the refinance numbers changed?