All Forum Posts by: Maxwell Hunter

@Casey Blakely I can't give you much advice on vacation rentals unfortunately.  However, if no one replies here, you may want to post it in the Vacation Rentals forum here:

https://www.biggerpockets.com/forums/530-short-term-and-vacation-rental-discussion

I appreciate everyone's response!

@Manolo D. So they are not evaluating "true" data based on averages within the industry (including contractors that work with investors and discounted materials) but instead basing their average on the retail market prices plus average labor rates?  

The reason I am asking, is to find the most effective way to estimate rehab costs when making offers on property.  I realize that the best way is to walk-through with a contractor, but I'm just trying to plan "just in case".

Thanks @Chris Anderson and @Jim Adrian

This is the first I have heard of the RS Means Cost Estimating guide (just checked it out on Amazon).  Does it provide a national average or is it more granular (e.g. State or Regional averages)?

 @Matt Ward   I assume we are talking about Buy and Hold investments based on the calculations you provided.  If so, I agree with @Mike O'Connor

As Mike indicated, some on-going expenses are: Taxes, Insurance, Property Management, Maintenance, Capital expenditures, Vacancy, Utilities (if included).

Don't underestimate vacancy rate, especially depending on where the property is located and how rents in the unit compare to others nearby.  You can always check with a local Property Manager to get a better idea of this.

Also account for the type of financing you will be using (unless your purchasing cash) as this will effect the debt-service on the property.

Thanks for response @Manolo D.  I actually have J Scott's book (which is a huge help by the way).  I kind of thought that was the case, I am not a rehab guy (at least not yet) but everything I have heard is that estimates need to be property specific otherwise your asking for trouble.  

Question for my flippers/rehab specialist in Atlanta GA and the surrounding metro.  On a recent podcast (not BP Podcast), an investor was explaining that he estimates rehab costs based on an average price per square foot.

Does anyone in the area use this method to calculate rehab costs?  If so, what are you seeing typically?

Also, I would imagine it varies greatly depending on the type of flip (cosmetic versus extensive).  So are you using two or three different averages depending on the type of rehab?

I second @Azeez K.on the post by @James Park.  Very good information there.  Also, I have a rental in North Atlanta and I have no complaints.

Welcome to BP @Jiorphia Damier!  3 Rules:

1.) Make sure you set up keywords for topics of interest (e.g. Atlanta, Meetup, Hard Money, etc...).

2.) Educate yourself as there is a lot of free information in the forums and on the podcasts (tons of podcasts out there including BP).  Tip# Podcasts are a great way to burn time in Atlanta traffic

3.) Make sure you engage people on the forums and at local meet-ups

Enjoy your journey reach out if you need anything.

I'm curious, how long ago did you reach out to him?  By the way, welcome to Atlanta (not sure how long you have been here).  I moved here from Charlotte, NC.