Quickly estimate repair costs to plug into your MAO formula. You don't need to be a contractor - just know the basics.
Example: 1,500 sqft × $25/sqft (medium) = $37,500 repair estimate
Always add a 10-15% buffer to your repair estimate for unexpected issues. It's better to over-estimate repairs than under-estimate and blow your budget.
Quickly estimate repair costs to feed into your MAO calculation. This isn't a detailed contractor bid - it's a ballpark for decision making.
Paint, carpet, minor repairs, cleaning, landscaping
1,500 sqft = $15,000-22,500
Kitchen/bath updates, flooring, fixtures, some mechanicals
1,500 sqft = $30,000-45,000
Full kitchen/bath remodel, HVAC, roof, windows, major systems
1,500 sqft = $52,500-75,000
Foundation issues, fire damage, mold, additions, complete gut
1,500 sqft = $75,000-112,500+
Add 10-20% contingency to your estimate. Repairs ALWAYS cost more than expected. If you estimate $40K, budget $44-48K.
For quick decisions, use $/sqft estimates. Walk-through estimates are for serious deals only. When in doubt, estimate HIGH on repairs - it protects your margin.