There’s something deeply wrong when a burst pipe costs more than a car. In Orange County’s water damage restoration industry, where emergency pricing can swing from $5,000 to $50,000 for the same job, homeowners are drowning in more than just water. They’re navigating an industry where “emergency response” often means “emergency markup” and certification badges mean less than the paper they’re printed on.
I sat down with David Losonczi, owner of Revival Water Damage Restoration, to discuss why his industry is broken, how storm chasers turned restoration into a racket, and why he publishes his actual prices online like it’s 2024. Fair warning: if you’ve recently overpaid for water damage restoration, this conversation might sting.
Dana Morano: David, you’ve been in restoration for 14 years. When did you realize the industry had a pricing problem?
David Losonczi: The moment I started getting calls from crying seniors who’d been quoted $40,000 for $8,000 jobs. One woman in Laguna Beach—her toilet overflow affected maybe 200 square feet. Some company told her the entire first floor needed gutting, showed her scary mold photos from Google, and demanded $15,000 upfront. That’s not restoration, that’s theft.
DM: You actually publish your prices online. That’s like a restaurant posting their actual food costs. Why?
DL: [laughs] Because the alternative is letting criminals set market expectations. We charge $3-4 per square foot for clean water damage. That’s it. No mysterious “assessment fees,” no “emergency surcharges.” When everyone else is playing pricing roulette, transparency becomes your differentiator.
Plus, honest pricing weeds out price shoppers who think water damage restoration should cost the same as carpet cleaning. If someone balks at $9 per square foot for professional drying, they’re welcome to try the guy with a Shop-Vac and box fans from Home Depot.
DM: Let’s talk about Xactimate—the software you say 99% of the industry uses. For those who don’t speak insurance, what is this?
DL: It’s basically the Kelly Blue Book of property damage. Every legitimate restoration company and insurance adjuster uses the same pricing database. So when someone quotes you double Xactimate rates, they’re literally banking on your ignorance.
Here’s the scam—they know insurance will only pay Xactimate rates, but they’ll charge you the difference as a “deductible assistance program” or some other creative billing. It’s insurance fraud with extra steps.
DM: Your background is in remodeling. How many “restoration” companies are actually qualified to rebuild after damage?
DL: Maybe 30% have actual general contractor licenses. The rest subcontract everything, adding 20-30% markup per trade. So your $10,000 restoration becomes $15,000, then another $20,000 for reconstruction through multiple middlemen.
We do everything in-house because I started as a remodeler. That disgusts the restoration-only guys who rely on markup pyramids. But why should homeowners pay three companies for one problem?
DM: The 24-hour mold timeline—marketing hype or actual science?
DL: Actual science, unfortunately. In Orange County’s coastal humidity, mold spores activate within 24-48 hours on wet organic materials. But companies weaponize this fact to justify insane emergency rates.
“It’s 2 AM and mold starts in 24 hours, so sign this $30,000 contract now!” No. Proper extraction and drying equipment deployed within 24 hours prevents mold. You don’t need to refinance your house because someone showed up at midnight with a moisture meter.
DM: You seem particularly angry about senior exploitation. What’s the worst case you’ve seen?
DL: San Clemente, last year. 82-year-old widow, small leak under kitchen sink. Company convinced her the entire house had “toxic black mold,” needed complete remediation, new drywall, new insulation—$75,000. Her daughter called us for a second opinion.
We tested everything. No mold. Anywhere. The leak had been active maybe three days, affected six square feet of cabinet bottom. We fixed everything for $1,800. The original company threatened to sue her for “breach of contract” until we got involved with documentation.
DM: Insurance companies aren’t exactly heroes either. State Farm and Allstate stopped writing California policies. How’s that affecting your customers?
DL: It’s created a desperation market. People can’t get coverage, or they’re paying 34% more for worse policies. When damage happens, they’re more likely to accept predatory cash deals because they know insurance will fight them.
We do direct billing specifically because homeowners shouldn’t have to fight insurance companies while their house is flooded. But many companies prefer cash because there’s no oversight, no standardized pricing, no documentation requirements.
DM: Let’s talk equipment. You mention “truck-mounted extraction” versus “Shop-Vac heroes.” What’s the actual difference?
DL: Night and day. Our truck-mounted systems pull 200 gallons per minute with heat injection. That’s literally 50 times more powerful than the best consumer wet-vac. We can extract 2,000 gallons from carpet in an hour without removing it.
But Joe’s Emergency Restoration shows up with three Shop-Vacs from Harbor Freight, takes eight hours to do 10% of the job, then tells you the carpet needs replacing because it’s “too saturated.” That’s not equipment failure, that’s equipment fraud.
DM: You offer 24/7 response but don’t charge emergency rates. How does that math work?
DL: Because emergency response is our job, not a luxury service. You don’t pay surge pricing for an ambulance. Water damage at 2 AM is still water damage. The equipment costs the same, the work’s the same, why should the price triple?
Companies charging “after-hours premiums” are just profiteering from panic. Our overhead is built into our standard rates. We don’t need to gouge people at their worst moments to stay profitable.
DM: Where’s this industry heading? Will pricing ever standardize?
DL: Not until consumers get educated. As long as people panic and sign anything during emergencies, predators will exploit that. We need better regulation, sure, but mostly we need transparency.
That’s why we publish everything—our rates, our certifications, our process. If every legitimate company did that, the scammers would stand out like sore thumbs. But most prefer the mystery because it allows pricing flexibility, aka gouging.
DM: Last question—what should someone do right now if they have water damage?
DL: Document everything immediately. Photos, video, measurements. Call your insurance first—get a claim number. Then call three IICRC-certified local companies for quotes. If someone pressures you to sign immediately, promises to waive your deductible, or won’t provide written detailed scope—run.
And please, for the love of god, don’t let some guy with a “water damage specialist” t-shirt and a rented van touch your home. Check licenses, check insurance, check references. This isn’t the time to bargain hunt. The money you save hiring Chuck’s Discount Restoration will cost you ten times more in mold remediation six months later.
Find Revival’s transparent pricing and actual certifications at revivalrestorationoc.com, where emergency response doesn’t mean emergency exploitation.
Dana Morano is the dedicated Editor-in-Chief of Press Posts, with a passion for responsible journalism and a commitment to transparent, unfiltered reporting. Hailing from Asheville, North Carolina, she combines her love for nature and community with a deep respect for accuracy and ethics in journalism.
