Home buyers often ask me about "fixer-uppers" and whether they can really save money (or make money by "flipping"). Here are the questions I ask back, to help you figure out whether a fixer-upper is for you. If you'd like a FREE list with photos of fixer-uppers in the area, please contact me.
1. Will you be doing the work yourself?
Doing it yourself may save you some money, but major home renovations require a lot of skill and time. If you don't have both, then hiring a contractor is probably the better option.
2. Why is the property priced so low?
Beyond the condition of the home, consider the possibility that there may be other circumstances that have lowered its value. Is it located in a problem area, or are there problems with the land? Renovations may not improve the home's value as much as you think if you'll have trouble selling it.
3. Has the home been inspected?
Since home inspections aren't required by law, many speculators skip this step, figuring they'll be fixing up any problems as they go anyway. But a major structural problem, or conditions like mold or termites, will make renovations more difficult or even impossible. Make sure you know what you're dealing with - have the home inspected.
4. Will you be living in the home while the work is being done?
First-time renovators often fail to realize the disruption that major construction work causes, especially when bathrooms or kitchens are involved. Living in these conditions can be a major source of stress in what's supposed to be your peaceful home. Knowing what you're getting into, and making a realistic assessment of your ability to deal with it, will help you avoid problems.
Looking for a fixer-upper, or any other type of home to match your specific criteria? Let's talk!