Acknowledgements xiii
Call to Action—Flip School xiv
Introduction: What This Book is Designed to Deliver 1
The Reality 1
My Goal 2
It’s Not as Much About Numbers as You Might Think 3
The Meat and Potatoes 3
Part I: In the Beginning: What You Need to Find Out About Property with Potential 7
Chapter 1: How to Know What Upgrades the Property Needs 9
The Secret that’s Not a Secret 9
Going Through the Pain 11
Developing Your Instinct 13
Knowing What Needs to Be Renovated (and What Doesn’t) 15
What I Really Want in a Renovation Job 17
Chapter 2: How to Inspect the Property 19
When You Might Not Need an Inspector 19
Exterior Red Flags 21
Interior Red Flags 24
Chapter 3: Red Flags to Red Tape 31
Engineers’ and Architects’ Reports 31
Test for Heating/Cooling Loss 35
Building Code Requirements and the Role of the City/Inspectors 36
Doing It the Right Way—Like a Professional 37
Permit and Inspection Procedure 38
Renovation Realities: Gary McGowan—Strong Relationships Let You Sleep All Night and Profit All Day 41
Part II: Interior and Exterior Upgrades with Economy in Mind 49
Chapter 4: The Secret to Profitable Property Upgrades 51
How Does It Work? 52
Mindset Toolkit: How Ego Can Sabotage a Renovation Project 53
Planning and Scope 54
Critical Path—Progression of Tradespeople 56
Sticking to Your Plan 57
Contradicting Myself: Some Plans Are Made to Be Broken 59
Chapter 5: Kitchen Upgrades with Economy in Mind 61
Meet Julia and Dan 61
Julia and Dan Like Kitchens 61
How Do I Do High-End Renovations for Little Money? 62
Don’t Believe the Hype! 63
Pick-and-Choose to Maximize Profitability 63
Review: How to Renovate for Royalty While Saving Money 64
Kitchen Upgrades: The Practical Stuff 65
Chapter 6: Bathroom Upgrades with Economy in Mind 77
The Practical Stuff 77
Chapter 7: Upgrading the Living and Dining Rooms 83
The Practical Stuff 83
Chapter 8: Bedroom and Basement Upgrades 91
The Practical Stuff 91
Chapter 9: Exterior Upgrades with Economy in Mind 95
The Practical Stuff 95
Renovation Realities: Quentin D’Souza—Key Design Feature Turns an Average Deal into a Home Run 107
Part III: Acquisitions and Financing 115
Chapter 10: Case Study: The 1970s House 117
Julie Broad–How Do You Fund a Renovation? 117
Funding a Major Renovation 118
“I don’t have money of my own. I want to do more creative deals.” 120
Getting the Money: How to Finance Your Renovations (& Deals!) with Private Money 121
Options for Acquiring and Funding Renovations 125
Renovation Realities: Jason Paquette—Things Go Sideways when the Contractor Doesn’t Fulfill His Duty 133
Part IV: Developing Your System 141
Chapter 11: Setting the Stage Saves Hours and Thousands of Dollars on Each Project 143
Mindset Toolkit—Systems Create Peace of Mind 143
Step 1: Th e Big Shopping Trip 146
Step 2: Tool Preparation 148
Step 3: The Magic Spreadsheet that Improves Productivity (Purchase Order) 149
Set the Stage for Success 155
Chapter 12: The Onsite Whiteboard and Teamwork—Expert Tips that Improve Productivity 157
How the Whiteboard Breaks Down Tasks 158
The Tradesperson Agreement Form 160
“The Reset Concept”: How to Boost Productivity by Taking a Step Back 162
Stages of the Reset 163
Chapter 13: A System for Flooring, Painting, Boarding and Tiling 167
The System 167
Why This System Works 168
Systematize Your Investment Renovations for Simplicity, Repeatability and Productivity 168
Renovation Realities: Peter Wardell—Identical Units, Opposite Renovation Experience, Similar Result 169
Part V: When You Need to Call in a Contractor 177
Chapter 14: How to Find an Experienced and Reliable Contractor 179
Types of Contractors 179
The Formula for Hiring Contractors to Be Part of Your Team 181
My Values 183
Chapter 15: My Formula for Limiting Labour Costs 185
Have Clear Expectations and Job Scope 185
Expectations Are Everything 187
Articulating a Clear Job Scope 189
Use Your Scope of Work to Shop Around 191
How It Works 192
You Are in the Driver’s Seat! 194
Save Thousands on Materials by Having a Clear Scope of Work 195
On-site Management Is the Key to Profitable Execution 196
Renovation Realities: Aaron Moore—Ignoring His Doubters Proves to be Profitable 199
Part VI: How to Save Money on Materials 207
Chapter 16: How to Get Creative with Materials 209
Use Your Own Guidance System 209
Renovate for Practicality and Profit, not Personal Preference 212
Relationships Are the Key to Finding Deals on Materials 216
Then I Ask for More 217
Payment Terms 217
Chapter 17: Buying Used Materials Can Save You Thousands 221
The Practical Stuff 221
Renovation Realities: Dave Peniuk—Managing Renovations from a Distance Forces a Life-Changing Business Decision 225
Part VII: It’s All about the People 233
Chapter 18: Building the Dream Team 235
Yourself 236
Your Renovations Staff (Tradespeople, Labourers, Full-time Staff ) 237
Your Spouse 239
Sellers 240
Real Estate Agent 242
Mentor and Mastermind Group 243
Money Partners 244
Your Lawyer 245
Friends and Family 245
Chapter 19: Th e Ultimate Key to Success—Taking Care of Your Tenants 247
Attracting and Retaining the Best Tenants 247
Increased Rental Income 248
How Top Tenants Can Impact Your Life and Your Business 248
Property Maintenance 249
Appendices 255
Appendix A: Renovation Projects in Different Seasons—Don’t Erode Your Profitability by Being Unprepared 257
Exterior Work 257
Timing Renovation Completions 258
Find Deals in the Winter 258
Appendix B: Animals Nesting in the Attic—A Golden Buying Opportunity 261
Big Problem Equals Big Opportunity 261
The Process for Animal Remediation 262
Appendix C: Grow-Ops 265
Value 265
Jumping Through Hoops 266
Appendix D: Additional Resources 269
Sample Inspection Checklists 269
Sample Note 271
Sub-Trade Contract 272
Index 275
About the Authors 283
