What is Rehab Cost Estimator?
A renovation budget makes or breaks a flip or BRRRR. This estimator lets you itemize the big line items — roof, kitchen, bath, systems, cosmetics — and adds a contingency so a surprise behind the walls doesn't sink the deal.
The contingency line is the one pros never skip: real projects run over, and a 10–20% buffer keeps a single surprise from turning profit into loss.
Formula
Total rehab = sum of line items × (1 + contingency %).
How to read it
- Always add a contingency (commonly 10–20%) — the older the property, the higher it should be.
- Your rehab number drives the 70% rule and BRRRR math, so an accurate estimate is worth the time.
- Get contractor bids before you're committed; a walk-through estimate is a starting point, not a contract.
Frequently asked questions
- How much contingency should I add to a rehab budget?
- 10–15% is common on newer or lightly-updated homes; 20%+ is wise on older properties or gut rehabs where hidden issues are likely.
- How does rehab cost affect my max offer?
- Directly — the 70% rule sets your max purchase price at 70% of ARV minus rehab, so a higher rehab estimate lowers what you can pay.