Key Takeaways
- Emotional buying—relaxing the 70% rule or using optimistic estimates—is the most dangerous acquisition pitfall.
- Hidden conditions in older homes (pre-1970) cost 2-5x more to fix when discovered during renovation.
- Scope creep management requires written change orders evaluated against the P&L before approval.
- If cumulative change orders exceed 10% of the renovation budget, reassess the entire project financially.
This track contains subscriber-only lessons
Explore free tracks in this area of study, or subscribe for full access.
Browse available tracks"Flip Risk Management: Cost Overruns, Timing & Ethics" is a Pro track
Upgrade to access all lessons in this track and the entire curriculum.
Test Your Knowledge
1.What is the most dangerous acquisition pitfall in fix-and-flip?
2.How much more do hidden conditions cost when discovered during renovation versus at acquisition?
3.At what cumulative change order threshold should you reassess the entire project financially?