Home Flip Repair Estimation Techniques

Summary

The meeting covered efficient methods for estimating repair costs on homes to flip, focusing on quick calculation techniques and the use of a deal analyzer tool.
Key topics included the importance of ballpark repair estimates, a formula for estimating repairs by square footage and rehab level, and automation using the Flipster software.
No decisions or action items requiring owner assignment arose, as the session functioned as an instructional walkthrough.

(No action items were assigned during this meeting.)

Accurate repair cost estimation is essential to ensure a house flip deal fits investment criteria.
Quickly arriving at a repair estimate helps filter out deals that are not viable before investing significant time.
Having a ballpark figure ready enables fast responses to sellers and reduces wasted analytical effort.

Repair needs are categorized into three levels: light (carpet and paint), average (carpet, paint, kitchen, and bath), and heavy (full gut and all new).
The approach uses a standardized pricing matrix based on square footage and rehab level:
- Under 1,500 sq ft: Light $10K, Average $25K, Heavy $50K
- 1,500–2,500 sq ft: Light $15K, Average $35K, Heavy $75K
- 2,500–3,500 sq ft: Light $25K, Average $45K, Heavy $90K
- 3,500–5,000 sq ft: Light $30K, Average $55K, Heavy $100K
- Over 5,000 sq ft: Light $40K, Average $70K, Heavy $120K
This method is a guideline and should be adjusted for local market costs and specific property conditions.

The Flipster deal analyzer automates repair cost estimation: users input the address, select rehab level, and the system instantly calculates repair costs, closing, carrying costs, and profit margins.
The tool stores deal analysis data and offers additional features to streamline property flipping.

Use standardized repair cost matrix for fast estimates — Chosen for speed, practical accuracy, and efficiency in deal screening.