The rate that you pay to process a credit card transaction is a combination of base costs and markups called merchant discount. Think of merchant discount as the retail price of credit card processing, base costs as raw material expenses and the markup as production costs.
I divided the rehab cost by the square footage and came up with a cost per square foot for each home. The rehab ranged from 7-15 dollars per sqft for an average of $12 per sqft. For example a 1000 sqft home should cost around $12,000 on average to do a cosmetic rehab.
We found that, for the properties in the sample, acquisition-rehab is a lower-cost method of. developing and maintaining affordable multifamily rental housing than new construction. This. relationship holds true after controlling for various factors such as property location, size, and building. type.