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Average Fix-and-Flip Rehab Costs 2026
By Jaken Finance Group · Principal, Jaken Finance Group
Average fix-and-flip rehab costs in 2026 — per-sqft ranges, kitchen, bath, roof, HVAC, and component tables plus an ARV worked example for investors.
Average fix-and-flip rehab costs in 2026 range from $15 to $35 per square foot for cosmetic work and $100 to $200 per square foot for a full gut renovation, according to national remodeling cost surveys. ATTOM notes that rehab and holding expenses typically consume 20% to 33% of a property’s ARV — a critical figure when underwriting flip deals.
Key stats at a glance
- Cosmetic rehab: $15–$35/sq ft — HomeGuide, CostToBuildHouse 2026
- Mid-range renovation: $50–$100/sq ft — Hammer.io, CostToBuildHouse 2026
- Full gut rehab: $100–$200/sq ft — HomeGuide, NVAS Construction 2026
- Rehab as % of ARV: 20%–33% of after-repair value — ATTOM flipping methodology
- Kitchen remodel: $10,000–$50,000 ($150–$250/sq ft) — HomeGuide 2026
- Primary bathroom: $12,000–$35,000 ($120–$275/sq ft) — HomeGuide 2026
- Roof replacement: $5,700–$16,000 — HomeGuide 2026
- HVAC replacement: $11,500–$14,100 (2,000 sq ft home) — Angi 2026 via Hammer.io
- Recommended contingency: 15%–20% of rehab budget — industry standard
Rehab cost by scope (per square foot)
| Scope | Cost per sq ft | 1,500 sq ft example | 2,000 sq ft example | Typical work included |
|---|---|---|---|---|
| Cosmetic / light | $15–$35 | $22,500–$52,500 | $30,000–$70,000 | Paint, flooring, fixtures, landscaping |
| Partial / mid-range | $50–$100 | $75,000–$150,000 | $100,000–$200,000 | Kitchen, baths, systems, some layout changes |
| Full gut | $100–$200 | $150,000–$300,000 | $200,000–$400,000 | Demo to studs, new MEP, roof, finishes |
Sources: HomeGuide 2026 renovation costs; CostToBuildHouse 2026 calculator; Hammer.io 2026 renovation guide.
According to Angi 2026 data cited by Hammer.io, the average whole-house renovation for a 1,250–1,600 sq ft home costs $52,275, with a typical range of $19,471 to $88,340 depending on scope.
Component cost table (2026)
| Component | Low | Average | High | Notes |
|---|---|---|---|---|
| Kitchen remodel | $10,000 | $25,000–$40,000 | $50,000+ | $150–$250/sq ft; highest ROI room |
| Primary bathroom | $12,000 | $20,000–$25,000 | $35,000+ | $120–$275/sq ft; plumbing drives cost |
| Secondary bathroom | $3,000 | $8,000–$12,000 | $15,000+ | Smaller footprint, fewer fixtures |
| Roof replacement | $5,700 | $10,000–$12,000 | $16,000–$30,000 | Asphalt shingle; metal/complex higher |
| HVAC (furnace + AC) | $5,000 | $11,500–$14,100 | $16,000–$25,000 | Angi 2026 avg for 2,000 sq ft home |
| Electrical panel upgrade | $1,500 | $2,500–$4,000 | $6,000+ | Required on many pre-1970 homes |
| Plumbing (whole house) | $4,000 | $8,000–$12,000 | $20,000+ | Repipe adds significantly on older homes |
| Flooring (whole house) | $3,000 | $6,000–$10,000 | $15,000+ | LVP mid-range; hardwood higher |
| Interior paint | $2,000 | $4,000–$7,000 | $10,000+ | $2–$6/sq ft depending on prep |
| Windows (10–15 units) | $3,000 | $6,000–$10,000 | $15,000+ | Energy code may require upgrades |
| Landscaping / curb appeal | $1,000 | $3,000–$5,000 | $10,000+ | 80%–90% ROI per cost guides |
| Foundation repair | $2,000 | $5,000–$10,000 | $25,000+ | Highly variable; inspect before buying |
Sources: HomeGuide 2026; Hammer.io 2026; NVAS Construction 2026 remodel cost guide.
Rehab cost as percentage of ARV
ATTOM’s flipping reports calculate gross profit as purchase price minus resale price — explicitly excluding rehab costs and other expenses. ATTOM’s methodology notes that flipping veterans estimate total project costs (rehab + holding + closing) typically run 20% to 33% of ARV.
| ARV | 20% of ARV | 25% of ARV | 33% of ARV |
|---|---|---|---|
| $200,000 | $40,000 | $50,000 | $66,000 |
| $300,000 | $60,000 | $75,000 | $99,000 |
| $400,000 | $80,000 | $100,000 | $132,000 |
| $500,000 | $100,000 | $125,000 | $165,000 |
Source: ATTOM flipping methodology — Q1 2026 Home Flipping Report.
This table is a planning benchmark, not a substitute for a line-item scope of work. Always build a detailed SOW before submitting to your hard money lender.
Worked example: Midwest flip deal
A real-world underwriting scenario using ATTOM Q1 2026 Indiana data (46.4% gross ROI state average) and national cost benchmarks:
| Line item | Amount |
|---|---|
| Purchase price | $120,000 |
| ARV (after-repair value) | $220,000 |
| Rehab budget (mid-range, 1,400 sq ft @ $55/sq ft) | $77,000 |
| Contingency (15%) | $11,550 |
| Total project cost | $208,550 |
| Hard money loan (90% LTC) | $187,695 |
| Cash down (purchase + gap) | $20,855 |
| Holding costs (6 months @ 11% on $187,695) | ~$10,323 |
| Closing costs (buy + sell, ~8%) | ~$17,600 |
| Total all-in cost | ~$236,473 |
| Sale price (ARV) | $220,000 |
| Net result | Loss — deal fails without lower purchase or rehab |
This example shows why accurate rehab budgeting matters. The same deal at a $95,000 purchase price:
| Line item | Amount |
|---|---|
| Purchase price | $95,000 |
| Total project cost | $183,550 |
| All-in with holding + closing | ~$211,473 |
| Sale at ARV | $220,000 |
| Net profit | ~$8,527 |
Gross ROI on purchase price: 131% before rehab — but net margin after all costs is thin. See understanding loan-to-cost ratios for how LTC affects your capital requirement.
ROI by renovation type
Cost guides consistently rank renovation ROI for resale:
| Renovation | Typical ROI | Priority for flips |
|---|---|---|
| Curb appeal / landscaping | 80%–90% | High — first impression |
| Kitchen remodel | 65%–75% | High — buyer decision driver |
| Bathroom remodel | 60%–70% | High — second most inspected room |
| Flooring / paint refresh | 75%–85% | High — low cost, high visual impact |
| HVAC / roof replacement | Prevents value loss | Required if end-of-life |
| Basement finish | 60%–70% | Market-dependent |
| Full gut (all systems) | 55%–65% | Only when ARV spread supports it |
Source: CostToBuildHouse 2026 renovation calculator ROI data.
Budgeting tips for hard money borrowers
- Build a line-item SOW before applying — lenders underwrite to your scope. See scope of work templates.
- Get 3 contractor bids on any rehab over $25,000.
- Add 15%–20% contingency for unknowns behind walls.
- Update systems before cosmetics — a fresh paint job on a 25-year-old HVAC won’t pass inspection.
- Align rehab scope to comp tier — don’t over-improve for the neighborhood ARV.
- Fund rehab via draw schedule — don’t pay contractors upfront from personal funds when your 100% LTC program holds rehab in escrow.
Sources
- ATTOM Q1 2026 Home Flipping Report — rehab cost methodology (20%–33% of ARV)
- HomeGuide: Home Renovation Costs 2026 — per-sqft and component ranges
- Hammer.io: Home Renovation Cost 2026 — project-type tables, Angi HVAC data
- CostToBuildHouse: Renovation Calculator 2026 — scope-based estimates and ROI
- NVAS Construction: Home Remodel Cost 2026 — national average ranges
Jaken Finance Group provides fix-and-flip financing with rehab holdbacks and draw schedules. Review 2026 flip statistics and hard money loan statistics for market context.
Rates, terms and conditions offered only to qualified borrowers and are subject to change at any time without notice. All loans are subject to full underwriting for loan approvals. Jaken Finance Group only finances non-owner occupied investment properties.