Thanks for the description of your rehab costs. When you calculate your expenses for these rehabs, do you give yourself a range, so that you can use the high-end for a worst-case scenario?
The reason I ask is because your costs have already gone up by 20% from your original $5,000 estimate. You're already added an extra $1000 before starting any work, so it is likely that the cost will continue to move higher by the time you finish the renovation.
Your prospective tenants must have very low standards if you think this bathroom is "perfect." I'm shocked that all you plan to do this bathroom is paint, caulk and clean before you rent it out.
At the very least, it seems like the medicine cabinet, toilet seat and towel bars should be replaced. It's also hard to beleive that all of the fixtures/faucets are in perfect working order and will need no repair or replacement.
I dont give myself any kind of range. I just do the work the best I can to bring it to acceptable levels. It is what it is. Sure, my intial guess of 5k is up about 20%, but $1k is a drop in the bucket in the overall scheme of things. If you buy these things right, and have the funding, it really doesnt matter. Sometimes its worth a few extra bucks to add perceived value. For example, I put $3k in siding on a home I had purchased/rehabbed for only 19k. So the siding accounted for over 30% of rehab costs....but in the scheme of things, it was worth it.
I run the numbers in a general manner before we buy....and yes, when i run figure things out BEFORE we buy, i calculate estimated rehab costs and add about 20% error. But, after doing a few, the only errors are usually things you couldnt know were wrong before hand. SO, for those things, we assume we MIGHT be replacing plumbing due to freezing (reserve $500). We MIGHT be replacing h20...reserve 300. We might be doing some roof repaid (reserve 1000). etc etc. If your deal works with all the 'maybe's', it will work when some of that stuff is okay
Re: the bathroom. I'm not renting out a posh highrise apartment here. You'd be shocked what a cleaning an paint can do...IF it's done right. The vanity is perfectly soilid. Clean/degrease it, prime, spray semi gloss white. Will look like new. 2 new hinges and handles and i'm out $15 total. The medicine cabinet will probably be scrapped for a small mirror or $20 medicine cabinet/mirror....trivial. MAYBE I'll need a new toilet if it's cracked or there's no lid...$50 - again no biggie. Maybe I'll throw some ceramic tile in there and really set it off...might cost me $60 total. Maybe i will throw a new counter top on...cultured marble for that size is only $20.
The faucets will be replaced in both baths and kitchen...shiny new chrome always looks nice....and they're cheap....not sure about shower fixtures...havent looked to closely. I knew i didnt mention some things...but got most on the list so you have an idea.
That's why I usually figure $500 or so for little stuff here and there...bathroom faucet only costs $20 so it's not like I really budget for that stuff. the $20 caulk line was not really in my budget...more of a way to explain to previous poster about the bathrooms.
I promise to show some pics of this place when we're done. Goto the album titled delos and look at the bathroom the way we got it...and then when finished. I think i spent 200 bucks...most of that was a shower surround. EDIT:
BEFORE
AFTER