Estimate repair costs for a flip or rental in under a minute. Choose cosmetic, moderate, or full gut, adjust the line items, and get a low, expected, and high rehab budget with contingency included.
Pick a rehab level, then adjust the line items. Results update as you type.
National-average installed costs, adjusted only by the market setting. Use it to screen deals, then get three contractor bids on the same scope before you commit.
Have the rehab number? Plug it into the ARV calculator to get your 70% rule max offer.
AI automatically categorizes the scope of work
Never overpay or underbid on a flip again
Analyze an address and the AI reads the listing to judge condition and scope before you visit.
Detailed cost breakdown by category: kitchen, bathrooms, flooring, exterior, and more.
Generate a detailed scope of work document to share with contractors for accurate bids.
Identify potential hidden costs and risk factors before you make an offer.
Built-in contingency recommendations based on property age and condition.
Rehab cost estimation is the process of calculating how much it will cost to renovate a property to a target condition, typically "market-ready" or "rent-ready." For fix-and-flip investors, an accurate rehab estimate is the second most critical number in any deal analysis (after ARV). Get it wrong and your projected profit evaporates. According to HomeAdvisor, the average home renovation costs between $20,000 and $75,000, but costs can range from under $10,000 for light cosmetic work to well over $150,000 for a full gut renovation.
A proper rehab estimate breaks costs into two categories: labor and materials. In most markets, labor accounts for 40-60% of total renovation costs, with the balance going to materials. Both vary significantly by region -- a kitchen remodel in San Francisco can cost 2-3x what the same scope costs in Memphis or Indianapolis. This is why national averages, while useful as benchmarks, should never be used for underwriting specific deals.
Experienced investors classify renovation projects into three tiers based on scope and cost per square foot:
Cosmetic Rehab ($10-$25 per square foot). This is the lightest level of renovation and includes paint, carpet or flooring replacement, minor fixture updates, landscaping cleanup, and basic cleaning. Cosmetic rehabs are ideal for properties that are structurally sound but visually dated. A typical cosmetic rehab on a 1,500 sqft home runs $15,000-$37,500. These projects can often be completed in 2-4 weeks and carry the lowest risk of budget overruns.
Moderate Rehab ($25-$60 per square foot). This level includes everything in a cosmetic rehab plus kitchen and bathroom updates, window replacements, electrical panel upgrades, partial roof repair, and HVAC servicing. Moderate rehabs typically cost $37,500-$90,000 on a 1,500 sqft home and take 4-8 weeks. This is the most common rehab level for fix-and-flip investors because it targets the sweet spot of properties that need enough work to deter retail buyers but do not require structural intervention.
Full Gut Rehab ($60-$150+ per square foot). A full gut involves stripping the property to studs and rebuilding. It includes new electrical, plumbing, HVAC, drywall, insulation, roofing, foundation repair, and full kitchen and bathroom construction. Costs range from $90,000 to $225,000+ on a 1,500 sqft home, and timelines stretch to 3-6 months. Full gut rehabs carry the highest risk but also offer the largest profit potential because fewer investors are willing to take them on.
Understanding typical costs by room and system helps you validate estimates and catch errors. Here are current national average ranges:
According to the National Association of Home Builders (NAHB), unforeseen structural issues cause 42% of budget overruns on renovation projects. These are problems that are not visible during a walkthrough or in listing photos: termite damage hidden behind drywall, outdated wiring that does not meet code, galvanized plumbing that needs full replacement, or foundation cracks concealed by flooring.
Other common causes of budget overruns include scope creep (deciding mid-project to upgrade materials or add work not in the original plan), contractor delays that extend holding costs, permit surprises in jurisdictions with strict code requirements, and material price fluctuations. Lumber prices, for example, can swing 20-30% in a single quarter.
Every experienced investor builds a contingency buffer into their rehab budget. The standard recommendation is 10-15% of the total estimated cost. On a $50,000 rehab, that means setting aside $5,000-$7,500 for unexpected expenses. For older properties (pre-1980), many investors increase the contingency to 15-20% due to the higher likelihood of hidden issues such as lead paint, asbestos, or outdated electrical and plumbing systems.
The contingency is not "extra money." It is a required line item in your budget. Deals should be underwritten with the contingency included in your total rehab cost. If you are using the 70% rule (Maximum Offer = ARV x 70% - Rehab Costs), your rehab costs figure should include the contingency. Investors who skip the contingency often find themselves either over budget on the project or forced to cut corners on finish quality, both of which reduce profitability.
While AI-powered estimates are valuable for rapid deal screening, you should always get actual contractor bids before making a final offer on a property. The best approach is to obtain 3 bids for the same scope of work, using a detailed line-item scope document so each contractor is pricing the same work. Compare not just total price but also timeline, payment schedule, and whether permits are included. A bid that is significantly lower than the other two often indicates the contractor is cutting corners, underestimating scope, or planning to charge extras later.
Last updated: October 2026
Rehab costs per square foot, contingency, and how to use the estimate
Most flips fall into three bands: cosmetic rehab runs about $10-$25 per square foot, a moderate rehab $25-$60, and a full gut $60-$150 or more. On a 1,500 sqft house that is roughly $15k-$37k, $37k-$90k, and $90k-$225k. The calculator above builds the number line by line instead, so you can see which items drive it.
A full gut rehab on a typical 1,500 sqft single-family home usually lands between $140,000 and $255,000 once you add a 20% contingency: full kitchen and bathroom remodels, roof, HVAC, electrical, plumbing, windows, flooring, paint, and heavy demo. High-cost markets can run 30% above that. Pick "Full gut" in the calculator to see the breakdown for your square footage.
It uses national-average installed costs, adjusted only by the market setting you choose, so treat the result as a screening number rather than a bid. It is good for deciding whether a deal is worth a walkthrough. Before you make a firm offer, walk the property and get three contractor bids on the same line-item scope.
When you analyze an address in PropLab, the AI reads the listing details and description to judge condition and scope, then puts the rehab estimate next to the ARV from comparable sales and your maximum offer. The calculator on this page is the manual version: you choose the scope yourself.
Budget 10-15% for most projects and 15-20% for older homes (pre-1980) or full guts, where hidden problems like outdated wiring, galvanized plumbing, or foundation issues are more likely. The contingency belongs inside the rehab number you use in the 70% rule, not on top of it.
No. Rehab covers labor and materials. Holding costs (loan interest, taxes, insurance, utilities) and selling costs are separate lines in your deal analysis. The 70% rule leaves about 30% of ARV to cover them plus your profit.
The rest of the deal, covered by the same free tools.
Work out after repair value from your comps, or pull them automatically by address.
Pull recent comparable sales for any address and see how each one was adjusted.
Turn ARV and repairs into the maximum you should offer on a flip.
Net profit, cash needed, and ROI with financing, holding, and selling costs.
Cash left in the deal after the refinance, cash flow, and DSCR.
Your max offer to the seller with the assignment fee built in.
The formula, comp selection, adjustments, and the mistakes that cost investors money.