Renovation costs are still very high, and I want to give you some perspective so you don’t get caught off guard.
Real Talk on Renovation Costs
We recently completed a small flip on the South Shore ourselves. It wasn’t a major overhaul—more of a fluff and buff project. We upgraded the kitchen, renovated the bathrooms, and added a deck. Even though we didn’t go crazy, we still ended up spending $70,000.
Now, I also talked to another investor we work with who just finished a full renovation on an 1100 square foot ranch. His costs were about $150,000. This included a new roof, windows, siding, doors, plumbing, electric, and mini splits for heating and AC. Yet, he kept it pretty basic otherwise, carpeted bedrooms, no crazy upgrades. That’s a hefty price tag.
What This Means for You
If anyone tells you they can do a full renovation for $50,000 to $75,000 unless the property is in really good condition and you’re only touching the kitchen, bathroom, paint, and refinishing floors, be cautious.
A full renovation project in today’s market will likely cost $150,000 or more. If you’re consistently spending less than that, I want to see your projects—even if we’re not funding them—because I’m genuinely curious how that’s possible.
My Advice for Investors and Rehabbers
- Be real about your renovation budgets. Talk to your contractors and understand what you’re paying for upfront.
- Don’t base your numbers on underinflated renovation estimates. That’s a fast track to losing money.
- Plan conservatively. Overestimating renovation costs may save you headaches later.
Join the Conversation
What are you seeing out there for renovation costs? Drop a comment, share your experience, or reach out. Let’s help each other get smarter about rehab budgets and expectations.