Property Details
$30–$60 / sq ft — kitchen, bath, systems updates
Cost Adjustments
If entered, overrides the default range midpoint for the selected rehab level.
Permits, design, dumpsters, project management. Default: 8%.
Default: 10%. Heavy/gut rehabs often need 15–20%.
Timeline & Scenario
Shows how much rehab cash is needed per month during the project.
Important Notes
Saved Scenarios
0/20 saved
No saved scenarios yet
Fill in the calculator above, then save your first scenario.
You don't lose money on the purchase. You lose it when the rehab goes over budget. That "$60k rehab" turns into $90k after demo. This free rehab cost estimator helps you see your real renovation cost before you buy — separating hard costs, soft costs, and contingency so you can plan with confidence.
Underestimate rehab by 20% and your profit disappears. Add delays, change orders, and contractor surprises — and now your deal is upside down. This calculator uses national planning averages adjusted by location market and rehab scope to produce a realistic total renovation budget, not an optimistic guess.
Below you'll find the complete rehab cost formula, cost ranges by renovation level, hard vs. soft cost breakdown, contingency guidance, monthly burn calculation, and a 7-question FAQ answering the most common rehab budgeting questions.
Overview
The Rehab Cost Estimator is designed for fix-and-flip investors, BRRRR operators, rental buyers, and value-add investors who need a fast, realistic renovation budget before committing to a deal. It calculates total rehab cost from property size, renovation scope, location market, soft costs, and contingency.
Rehab cost is often the most underestimated part of a real estate deal. This calculator forces you to account for the full picture: hard costs (labor and materials), soft costs (permits, design, project management), and contingency (the buffer that absorbs surprises). Without all three, your budget is incomplete.
This is a planning estimate, not a contractor quote. Use it to screen deals, compare renovation intensity, and set budget expectations — then validate with real contractor bids and inspection findings.
How to Use This Rehab Cost Estimator
Follow these steps to estimate your renovation budget in under 2 minutes
- 1
Enter your property size
Total square footage of the property being renovated. This is the primary cost driver.
- 2
Select your rehab level
Light cosmetic (paint & carpet) through full gut (down to studs). Each level uses a different cost-per-square-foot midpoint.
- 3
Choose your location market
Low, average, or high cost market. This applies a multiplier (0.80x to 1.30x) to the base cost per square foot.
- 4
Adjust soft costs and contingency
Defaults are 8% soft costs and 10% contingency. For heavy rehabs, consider increasing contingency to 15–20%.
- 5
Read your total budget
Review the full breakdown: hard costs, soft costs, contingency, effective cost per sq ft, and monthly burn if timeline is entered.
Pro Tips for Accurate Estimates
- → Use the cost override field if you have contractor estimates for your specific market.
- → Always include contingency. Deals without contingency are deals waiting to lose money.
- → Enter rehab months to see monthly burn — this tells you how much cash you need per month during construction.
- → Feed this number into the Fix & Flip or Hard Money calculator to see how it affects your total deal.
Understanding Your Result
- < $30/sq ft: Conservative — confirm scope is truly cosmetic.
- $30–$70/sq ft: Typical rehab range for most residential flips.
- $70–$120/sq ft: Significant capital — stress-test your margins.
- ≥ $120/sq ft: Aggressive — may be valid for luxury or full gut.
Inputs & Outputs Reference
Every field in the calculator and what it means
| Field | Type | Description |
|---|---|---|
| Property Size | Input (sq ft) | Total square footage of the property being renovated. |
| Rehab Level | Input (select) | Light cosmetic, Medium rehab, Heavy rehab, or Full gut. Sets base cost per sq ft. |
| Property Type | Optional | Context note only. Does not change formulas. |
| Location Market | Input (select) | Low (0.80x), Average (1.00x), or High (1.30x) cost multiplier. |
| Cost Override | Optional ($) | Custom cost per sq ft. Overrides rehab level midpoint if entered. |
| Soft Costs % | Optional (%) | Permits, design, dumpsters, project management. Default: 8%. |
| Contingency % | Optional (%) | Buffer for surprises and overruns. Default: 10%. |
| Rehab Months | Optional | Project timeline in months. Used to calculate monthly burn. |
| Total Rehab Budget | Output ($) | Hard Costs + Soft Costs + Contingency. The full renovation budget. |
| Effective Cost / Sq Ft | Output ($) | Total Rehab Budget ÷ Property Size. Includes soft costs and contingency. |
| Monthly Burn | Output ($) | Total Budget ÷ Rehab Months. Excludes financing and holding costs. |
Rehab Cost Formula & Calculation Method
The exact math this calculator uses — plus a real example
Step-by-step calculation
Determine Base Cost / Sq Ft
Use rehab level midpoint or custom override
Medium rehab = $45.00 / sq ftApply Location Multiplier
Low 0.80x · Average 1.00x · High 1.30x
$45 × 1.00 = $45.00 adjustedCalculate Hard Costs
Property Size × Adjusted Cost / Sq Ft
1,500 × $45 = $67,500Add Soft Costs
Hard Costs × Soft Costs %
$67,500 × 8% = $5,400Add Contingency
(Hard + Soft) × Contingency %
$72,900 × 10% = $7,290 → Total = $80,190The Formula
Default cost midpoints
National planning averages
These are national planning averages. Local labor and material costs may be 50%–100% higher in expensive markets.
Real-World Example: 1,500 Sq Ft Medium Rehab — Average Market
Based on 2026 national planning averages
Inputs
Result
Total Rehab Budget
$80,190
$53.46 / sq ft effective
Hard costs: $67,500
Soft costs: $5,400
Contingency: $7,290
Verdict: Standard rehab range. That's $12,690 above the base hard cost — this is where underfunded deals fail.
What Drives Rehab Cost
Scope
Cosmetic vs full gut changes everything. Paint and carpet is $15–$30/sqft. Down to studs is $100–$200. The gap is enormous.
Location
Labor and materials vary massively by market. The same scope in rural Alabama vs. San Francisco can differ by 50%+.
Surprises
Problems show up after demolition. Mold, termites, structural issues, outdated electrical — time + uncertainty = cost growth.
Hard Costs vs Soft Costs
Hard Costs
- • Labor
- • Materials
- • Construction
Soft Costs
- • Permits
- • Design / engineering
- • Dumpsters
- • Project management
Most investors underestimate soft costs — and pay for it.
Contingency Is Not Optional
Light/medium: ~10%. Heavy/gut: 15–20%. No contingency = wrong budget.
What Your Rehab Cost Result Means
Your effective cost per square foot indicates the intensity of the renovation. This is not a good/bad judgment — high rehab may be justified for luxury flips or deep value-add deals.
< $30/sq ft — Conservative Budget
Budget appears light relative to property size. Confirm scope is truly cosmetic and does not hide major systems work.
$30–$70/sq ft — Typical Rehab Range
Budget appears within a typical renovation planning range. Validate with contractor bids and inspection findings.
$70–$120/sq ft — Significant Capital Required
Rehab requires meaningful capital. Project margin should be stress-tested against delays, change orders, and financing costs.
≥ $120/sq ft — Aggressive Rehab Budget
Rehab budget is aggressive. This may be valid for full gut, luxury, or deep value-add projects, but risk of overruns is high.
Rehab cost is an estimate, not a contractor quote. These ranges are national planning averages. Local labor and material pricing can vary significantly.
Rehab Cost Benchmarks by Level & Market
| Rehab Level | Range ($/sqft) | Midpoint | High Market (1.30x) |
|---|---|---|---|
| Light cosmetic | $15–$30 | $22.50 | $29.25 |
| Medium rehab | $30–$60 | $45.00 | $58.50 |
| Heavy rehab | $60–$100 | $80.00 | $104.00 |
| Full gut | $100–$200 | $150.00 | $195.00 |
All figures are national planning averages. Local pricing varies significantly.
Total Cost vs Deal Math
The Underestimation Trap
Estimated rehab: $80,000. Real cost after issues: $95,000. That $15,000 difference is your profit margin gone. Rehab doesn't go over budget by accident — it goes over budget because it was underestimated.
Monthly Burn Matters
$90,000 rehab over 6 months = $15,000/month. This impacts cash planning, financing, and holding cost. If you can't carry the burn, the deal breaks.
Real Investment Insight
Rehab doesn't go over budget by accident. It goes over budget because it was underestimated. The best investors assume higher costs — and protect their deals.
Limitations
This calculator gives a realistic estimate — not a contractor bid. Use it to plan your deal, then validate with real quotes.
Does Not Replace Inspections
A cost-per-square-foot model cannot detect hidden damage, code violations, or structural issues. Always get a professional inspection before finalizing a rehab budget.
Does Not Replace Contractor Bids
National averages are starting points, not final numbers. Get multiple contractor bids for your specific scope, market, and property before committing capital.
Not a Line-Item Scope of Work
This is a simplified model. For detailed budgeting, break costs into individual line items: demo, framing, electrical, plumbing, HVAC, flooring, kitchen, bathroom, paint, roof, and more.
Does Not Handle Every Market
The location multiplier is a rough adjustment. True local pricing requires contractor estimates in your specific city and neighborhood. Use the cost override field for local data.