Detroit, Mi REI Rehab Cost- How Much Per Square Foot?
Good Day All,
My Partner and I are looking to begin investing in the Metro Detroit Are for buy and holds on single and multi-family properties. 2 Questions:
1) Can anyone recommend solid general contractors that they have worked with in the past for both minor and major rehabs?
2) Can anyone offer up a ball park figure per square foot for major rehabs?
Thanks in Advance.
Most Popular Reply
Hey Jimmy! I am a new investor here in Detroit. I am currently working on my first rehab on the east side of Detroit. It's a brick, 3 bedroom, 1 bath, with a basement and no garage. It's 1,194 sq. ft with a estimated $30,000 rehab costs, which comes out to $25/sq ft. Re-hab includes painting while house, renovations the kitchen and installing a half bath in the basement. I purchased it at $18,000 with about $3,000 in closing costs. Minimum expected ARV is $73,000. So I'm looking at a profit of $21,000 -$3,000(closing costs)=$18,000.
But your rehab costs us going to depend on what needs to be done and the renovation standards for the area. Which suburbs are you looking into?