When it comes to real estate investing, time is money. That is why mastering the art of time management is a critical skill harnessed by top real estate professionals. For beginners, planning and implementing strategic house renovation timelines can be a difficult, yet necessary, learning curve.
Fortunately, Finance of America Commercial (FACo) is here to help! In this article, we’ll equip real estate investors with a strategic and attainable house renovation timeline template that streamlines workloads and ensures the job is done right.
Fortunately, Finance of America Commercial (FACo) is here to help! In this article, we’ll equip real estate investors with a strategic and attainable house renovation timeline template that streamlines workloads and ensures the job is done right.
Planning a Home Renovation Project From Start to Finish
Rehabbing an older property can be exciting for investors. However, diving into the nitty gritty of a home renovation project can quickly become overwhelming and leave inexperienced investors with a lot of questions, like:
“How long does it take to remodel a home?”
“How do I create a remodel schedule?”
“What permits do I need?”
If this is you, take a deep breath. These questions are common and don’t come with a one-size-fits-all solution. In reality, home renovation timelines and projects vary depending on:
“How long does it take to remodel a home?”
“How do I create a remodel schedule?”
“What permits do I need?”
If this is you, take a deep breath. These questions are common and don’t come with a one-size-fits-all solution. In reality, home renovation timelines and projects vary depending on:
- The size of your budget: How much capital you have available to spend on renovations will determine the scope of your project.
- The condition of a property: Fixer-uppers come in all shapes, sizes, and conditions. The more work a home entails, the greater the resources and time you will dedicate to it.
- The goal of your project/business: Is this a fix and flip project or long-term investment property? The overall goals of your project and business will guide your renovation plan.
While budgeting a project is subject to changes, you should have a baseline number or the amount you can spend on the rehab while still turning a profit (On average, fix and flip investors shoot for a 20-25% ROI). This number, along with property conditions and project goals, will help develop the first step of the house renovation timeline template–building a plan.
Step 1: Building a Plan
Before purchasing a distressed property, you have a vision of what it can be. The first step of strategic renovation requires you to put that vision down on paper. Create a high-level outline of your project’s scope of work (SOW). Include the rooms and features you wish to renovate (and those that will remain the same), any amenities or additions you plan to implement, or floor designs you want to alter.
Your plan should distinguish between renovations you can do and rehab projects you will need to hire a professional to complete. Savvy investors, looking to enhance profit margins, research and implement the best renovations for skyrocketing property resale values into their plan.
Step 2: Research Permits
The next step on your house renovation checklist is researching necessary permits. Fix and flip projects can require various construction permits for different renovation projects, like electrical, plumbing, or demolition. Research local, state, and federal regulations to know which permits to “pull” to complete your home renovation.
Step 3: Solidify a Budget
Once you’ve developed a high-level plan and researched permitting, it’s time to solidify a realistic budget for your home renovation. Your budget should include the costs for your permits, building materials, labor, and cosmetic touches.
In this stage, you will get more granular when it comes to the “who” and “what” of renovating your investment property.
In this stage, you will get more granular when it comes to the “who” and “what” of renovating your investment property.
- Research and communicate with local contractors and other labor professionals to get quotes and remodel timelines based on their pace and schedule.
- Choose the right materials for your project, based on your baseline budget and overall goals.
Once you research and choose the professionals and materials to work with, you should have a solid budget to adhere to.
Note: Experienced fix and flip investors always include a real estate contingency plan within their budget to prepare for the unexpected.
Note: Experienced fix and flip investors always include a real estate contingency plan within their budget to prepare for the unexpected.
Step 4: Plan the Order of Renovations in a House
Tackling larger-scale, costly rehab projects is often encouraged for profitability. However, in most cases, the messier the project, the more likely you are to uncover unrecognized, unforeseen obstacles. By addressing larger rehab projects early on, you give yourself ample time to adjust plans and account for the unexpected without significantly altering house renovation timelines.
For first-time flippers, try to order renovation projects as follows:
For first-time flippers, try to order renovation projects as follows:
- Utilities: Plumbing, HVAC, electrical work, etc.
- Larger Remodeling Projects: Floor plan adjustments, room additions, complete kitchen remodels, etc.
- Smaller Projects: Bedroom conversions, installing new lighting fixtures, smaller room renovations, etc.
- Finishing Touches: Painting, landscaping, hanging curtains, etc.
Step 5: Secure Adequate Funding
Nothing can derail a home remodel schedule or timeline faster than inadequate funding. That is why partnering with a reliable, accessible, and fast lending partner is essential to home flipping success.
Traditional lenders, like banks and credit unions, have significant governmental and institutional oversight–creating more requirements, stricter guidelines, and longer application processes. That is why top real estate investors turn to private lenders for their fix and flip investment projects. Private lenders provide the speed, flexibility, and capital availability necessary to succeed in today’s fast-paced investment markets.
Additionally, top private lenders, like FACo, offer snap draw financing programs. FACo’s Snap Draw DIY program brings convenience, speed, and transparency to home renovation projects, empowering investors to submit draws, track progress, and receive funding within 24 hours–all from the convenience of their mobile phone. Investor-designed lending programs from private lenders like FACo give investors peace of mind, knowing they will have the funding and resources available to achieve their house renovation timeline.
Traditional lenders, like banks and credit unions, have significant governmental and institutional oversight–creating more requirements, stricter guidelines, and longer application processes. That is why top real estate investors turn to private lenders for their fix and flip investment projects. Private lenders provide the speed, flexibility, and capital availability necessary to succeed in today’s fast-paced investment markets.
Additionally, top private lenders, like FACo, offer snap draw financing programs. FACo’s Snap Draw DIY program brings convenience, speed, and transparency to home renovation projects, empowering investors to submit draws, track progress, and receive funding within 24 hours–all from the convenience of their mobile phone. Investor-designed lending programs from private lenders like FACo give investors peace of mind, knowing they will have the funding and resources available to achieve their house renovation timeline.
FACo: Your Fix-and-Flip Capital Partner
For over a decade, FACo has been helping investors of all experience levels plan, coordinate, and implement their property goals. Our team of industry experts provide you with the skills, knowledge, and resources to plan accordingly, adjust when necessary, and succeed in today’s markets.
Our Fix-and-Flip financing provides investors with:
If you’re looking to optimize your investment property and implement strategic house renovation timelines and planning, partner with a reliable capital partner–FACo. CLICK HERE to schedule a FREE consultation today.
Our Fix-and-Flip financing provides investors with:
- Flexible loan terms
- Up to 100% of rehab budget financing
- Financing for SFR, 1-4 unit properties, townhomes, and condos
- Fixed-rate interest-only monthly payments
- A convenient and fast Snap Draws DIY program
If you’re looking to optimize your investment property and implement strategic house renovation timelines and planning, partner with a reliable capital partner–FACo. CLICK HERE to schedule a FREE consultation today.
