The Benefits of a Fixer Upper

A fixer upper has been the point of entry for many first time home buyers.  There are a lot of good reasons why a fixer upper could be of benefit.  It must be noted that fixer uppers do vary.  Some need more fixing up than others.  The amount and the type of refurbishments could save you money.  There can be no doubt that buying a home in need of fixing up is going to push down the sale price.  However, if the refurbishments are complicated and you need to hire a builder, you could end up paying a lot more than you intended.

To be on the safe side, when considering a fixer upper, it’s best to speak to a builder before you make an offer to purchase.  If you want to get an accurate quote then make certain you choose a builder with a stable history and who has contactable references.  The builder should be registered with the appropriate bodies.  If you can determine the structure is sound and the refurbishment is mostly cosmetic then you have a good buy.  You will also benefit if the house happens to be in a sought after area.  A good area will have a school, stores doctors, dentists and social venues.  This would ensure the area would be the choice of families as well as retired couples.  This adds even more value to your fixer upper.

If you have school going children, make certain you have somewhere to stay until your new home is refurbished.  This is essential if you have plans to renovate a bathroom and the kitchen.  These rooms are crucial to the daily living of a family.  If you’re a couple then you may have ideas to do the fixing up yourself.  Many people are becoming DIY experts because they are doing their own fixing.  You can do tasks like painting, tiling, scraping and sanding, but when it comes to plumbing and electrical wiring or breaking through walls, you must use qualified experts.  Novices can’t do these tasks due to safety standards.  If anything were to go wrong you would have to call in an expert to fix the mess.  Fixing a mess could be even more expensive than hiring someone to do it right the first time.

A fixer upper is usually a home in a well established area because the house is fairly old.  One of the great advantages of this kind of deal is the home already has a lot of character and charm.  Homes with sash windows, bay windows, wooden floors and fireplaces are in great demand.  If you get the house for a good price and fix these up, your home immediately rises in value.  If you can do the refurbishments at a reasonable price, you can treat a fixer upper as an investment; simply sell it on at a profit.  Another way to make money out of a fixer upper is to keep it and rent it out until the housing market strengthens.  A fixer upper has many benefits for the buyer but you must have some basic background knowledge of what to expect from builders, rental agents and real estate sellers.