Viewing a single comment thread. View all comments

FlimFlamMagoo728 t1_j9dz3qq wrote

Reply to comment by Cunninghams_right in How much would it cost and what is the process to rehab a totally vacant home? by k032

Not quite... There are huge chunks of this city where the cost of rehabbing vacants is greater than the value of the house would be if the work got done, hence huge chunks of this city staying blighted

4

Cunninghams_right t1_j9dzyew wrote

>would be if the work got done

the "if" is the key there. look at a neighborhood where people have gutted and rehabbed a house with private money. the sale price of such a house is roughly the cost to rehab it plus the initial purchase price (sometimes it makes a profit, sometimes it's a loss).

in neighborhoods where the sale price is below the rehab price, you see such houses either being done through a charity, or people losing money on the sale (high foreclosure rate of rehabbed houses).

1