Estimate Reno Cost for this property..

[3simon]

Hi guys,

A bit of background about myself, I'm a complete reno newbie, but looking to buy a rundown place to renovate and add value.

Got my eyes set on a 4 bedder house that needs quite a bit of renovation. But I have no idea roughly how much the renovation would cost me. I've attached the floor plan, any tips and advice would be greatly appreciated.

From what I can see, the following needs to be done:
- Fresh coat of paint externally
- Fresh coat of paint internally (DIY)
- New Kitchen
- New Laundry
- New Bathroom (ground level)
- Timber floor board on ground level except for dining and lounge area.
- New robe mirror doors.

I am thinking of sourcing materials and overseeing planning myself, pay tradies for labour and architects for design, Hoping this will save me money.

Would be great if anyone could give me a ball park figure for each of the items, so I can get a sense of how much I need to offer for the property to not be at a loss.

By the way, I live in Sydney if that makes a difference.

Thanks in advance!

 

[vaughan]

Hi guys,

A bit of background about myself, I'm a complete reno newbie, but looking to buy a rundown place to renovate and add value.

Got my eyes set on a 4 bedder house that needs quite a bit of renovation. But I have no idea roughly how much the renovation would cost me. I've attached the floor plan, any tips and advice would be greatly appreciated.

From what I can see, the following needs to be done:
- Fresh coat of paint externally
- Fresh coat of paint internally (DIY)
- New Kitchen
- New Laundry
- New Bathroom (ground level)
- Timber floor board on ground level except for dining and lounge area.
- New robe mirror doors.

I am thinking of sourcing materials and overseeing planning myself, pay tradies for labour and architects for design, Hoping this will save me money.

Would be great if anyone could give me a ball park figure for each of the items, so I can get a sense of how much I need to offer for the property to not be at a loss.

By the way, I live in Sydney if that makes a difference.

Thanks in advance!

The big-ticket items are kitchen and bathroom. The timber floor could also be expensive depending on whether you are laying new timber or just sanding and coating existing boards.

Allow about $15,000 for a (modest) bathroom to get somebody else to do it all -- design, supply and install. It's easy to spend double this with marble and fancy crappers.

Allow about the same ($15,000 for modest design) for a kitchen if you get somebody else to design, supply and install. The kitchen units are only about $3,000 so you can save a lot if buy from Bunnings and do a lot of the work yourself. You'll need licensed tradies for electrical and plumbing.

Note that when renovating, if the total cost of the materials is over $12,000 (check that figure) then you'll need an owner-builder license and will have to get building warranty insurance, and you can only owner-build your PPoR not an IP. Otherwise you'll have to get a builder to manage the work and provide the insurance.

If you are doing all this work, be very careful that you do not over-capitalise on the reno. If it's an IP then for every job you do ask "how much more rent will this get work get me, compared to leaving it and renting it out as-is?"

 

[3simon]

Thanks for the tips Vaughan, I hear ya. One part of me welcomes the challenge but at the same time I worry that this might be too big a project for me given I've no prior experience.

Didn't know about the building warranty insurance, will look that up.