Rehab budget structure

Rehab Budget Categories for House Flippers

Categories should make the rehab easier to understand without becoming accounting busywork. A trade-oriented structure is usually enough for a small investor managing a handful of properties.

The short version

A practical trade-category structure for tracking demolition, framing, electrical, plumbing, HVAC, roofing, flooring, cabinets, finishes, exterior work, and more.

Use categories that match how work is bought

Demolition, framing and carpentry, electrical, plumbing, HVAC, roofing, flooring, cabinets and countertops, drywall and paint, exterior work, permits and design, materials, and other is a useful starting set.

Keep contractor and category separate

The category explains what the money is for; the contractor field explains who is responsible. Keeping both gives you better history across the project.

Avoid category overload

If every small material gets its own category, tracking becomes harder than the spreadsheet it replaced. Use notes for detail and categories for meaningful rollups.

Frequently asked questions

What should I track on a house flip rehab?

Keep the starting rehab budget, contractor commitments, approved cost changes, pending scope, payments by contractor or vendor, and contingency. Together those numbers show the current projected rehab cost and where the cash is going.

Should contractor commitments increase the rehab total?

Not automatically. A contractor commitment can be an allocation inside the starting rehab budget. Later approved scope increases are what move the projected rehab cost above that baseline.

How should I track multiple contractors?

Use a consistent contractor or vendor name on commitments, cost changes, and payments. That gives you a property-level total and a contractor-level view without separate spreadsheets.

Is RenoTally construction-management software?

No. RenoTally stays focused on the money side of the rehab: budget, contractor commitments, cost changes, payments, contingency, and projected final cost.

Prefer to calculate it instead of doing the math by hand?

Calculate the current projected rehab cost for a house flip after approved additions, credits, pending work, and payments.

Open the free calculator