Tips for estimating rehab costs

[Tyler Hall]

Hey all,

I have a question for tampa wholesalers out there. I wanted to know how you all are estimating rehab costs. I’ve done research and found that some wholesale gurus will estimate a certain amount per square foot. For example $15 a square foot for minor repairs, $25 a square foot for more serious repairs. I wanted to see if this is a realistic way to estimate rehab costs in the Tampa area market. Also if there are any investors out there who deal with wholesalers a lot who might be able to give me some tips on what the good wholesalers do and what to avoid so I’m not the type of wholesaler I read about all the time who are terrible at their numbers. If anyone has any good book, videos or blogs that might help me I would appreciate it. Thanks in advance. Stay safe out there!

-Tyler

[Brian Garrett]

Don’t listen to any “wholesale gurus” who use generic ballpark numbers. Get familiar with actual pricing in your market. Go to Home Depot or Lowe’s and spend some time pricing materials. You can even do this online but if you go in person you can ask questions. Call local subs and trades to get labor pricing. Ask other investors at local meet-ups what they’re paying for certain jobs. That’s the best and most accurate way. There is no shortcut.