OPERATIONS: DESIGN BUDGETING
resourceful, you can adapt to changes and make the most of your budget.
MAXIMIZING ROI Creating and managing a budget for your fix-and-flip real estate investment home design is crucial for maximizing your return on investment. A well- thought-out design budget allows you to allocate funds strategically, prioritize expenses, and make informed decisions about where to invest your money. By carefully planning and executing your design choices within your budget, you can increase the chances of a profitable resale or rental and maximize your return. Take the time to create a detailed design budget and diligently manage it throughout your project for a successful outcome. •
JOHN V. SANTILLI
fixtures, and paint). These elements can significantly enhance the visual appeal and value of the property, making them essential considerations in your budget allocation. By allocating funds strategically, you can ensure your design budget is optimized for maximum impact and return on investment.
alternatives or cost-saving measures. For example, you may find similar materials or finishes at a lower cost without compromising quality. This may also involve sourcing materials from different suppliers, negotiating prices with contractors, or considering DIY options for certain tasks. By actively tracking and monitoring your design budget, you ensure you stay on track financially and maximize your return on investment. MAKING ADJUSTMENTS If you encounter unexpected expenses or changes in design plans, reassess your budget and determine whether it’s necessary to reallocate funds. Prioritize essential elements and consider whether any nonessential design elements can be postponed or eliminated. By being flexible and
John V. Santilli is the chief revenue officer for RFG. He joined the company in July 2019 and is responsible for all opportunities connected to RFG, including expanding the company’s sales channels to maintain its position as a leader in rehab financing. Before joining RFG, Santilli had 25 years of lending and marketing executive leadership experience across multiple private and public marketing-dependent companies. He managed companies from startup to maturity, ranging from $2.5 million to more than $50 million in annual revenue. Santilli earned a master’s degree in management from the University of Pennsylvania and a bachelor’s degree in business administration with a concentration in marketing from Drexel University.
TRACKING AND MONITORING Creating a budget is only the
first step; it’s equally important to track and monitor the budget throughout the project. This ensures you stay within your financial limits and adjust as necessary. Review your design choices and associated costs regularly. If you find that certain design elements exceed your allocated budget, consider
72 | think realty magazine :: may - june 2024
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