Is Buying a Fantastic Fixer Upper the Right Choice?
For some, the decision to buy a home in need of repairs is an easy one. If you’re handy to begin with, or would like to spend a lot of time making improvements on your new home, it seems like a no-brainer. Often, people are unaware of the costs (in both time and money) for fixing a home up. If you’re considering sacrificing upgrades for a lower price, check out these advantages and disadvantages and find out what is best for you.
How Low Can A Fixer-Upper Go?
- Almost always, the price of a home that needs major work done will be drastically reduced.
- If the home you’re looking into is a short sale, understand that you’re getting things as is, which can often include appliances or other things that have been left by the previous owners.
- Ability to control the repairs and have autonomy over what the home will eventually look like.
- You can add value to your home by renovating the kitchen and bathroom and by adding curb appeal.
The Scary Side Of Purchasing A Fixer-Upper
- Sometimes, you end up putting in way more work and money than anticipated.
- If you don’t have a proper inspector come, you could be surprised by the condition and whether or not it’s liveable.
- Some foreclosures are in awful shape - bad walls, intentional damage, etc. It’s up to you to foot the bill on all repairs.
- Additional insurance and building permits may be required when purchasing a fixer-upper. Some residential zoning restrictions may place limits on adding additions to the property. It may be difficult to find the right Home Owners Insurance to cover your needs.
Conclusion
When
buying a home it is especially important to consider unexpected costs or obstacles that may arise. This is especially important when purchasing a fixer-upper. Consider discussing with your
real estate agent and a trusted inspector the additional needs of the property. Obtaining a realistic report of the properties repair needs could be the difference between purchasing your dream home or your nightmare.
