Is a fixer upper a good idea?

By: Cody THOMAS

There are a number of decisions to make when looking for a new home. One of these is to determine whether you intend to purchase a home in good condition that can be moved right into or a fixer upper. There are a number of benefits and drawbacks to both of these options and, in the end, the biggest deciding factor is what’s right for your family. Don’t simply go with whichever falls into your lap, however. It’s important for you to know what you’re getting into by purchasing a home in need of repair. Make sure you’re prepared for the effort it requires before being lured in by an attractive price.

The most appealing factor of a home in need of repair is the price. Sellers are usually aware of their home’s flaws and don’t expect to fetch market value. If they do, a home inspection usually cures them of this misconception. The more work there is to be done on a home, the more eager a seller often is to get it off of his hands and the less he’ll charge. If a low price or saving money are high priorities for you and your family, you might want to consider buying a home in need of repair. However, saving money alone is not a compelling enough reason to buy a fixer upper. While the price might be right, you can’t forget about the effort and energy involved.

One of the biggest mistakes that people make upon buying a home in need of maintenance and renovation is shirking the actual work. Many home buyers are attracted to a fixer upper’s low price but then fail to follow through with the required work. This is a bad idea for many reasons. First of all, it’s never a good idea to live in a home in need of major repair. More importantly, however, it’s a waste of money because no matter how inexpensive the home was to begin with, it will make drastically less on resale if the necessary repairs are never made. Without the commitment to actually redoing an inexpensive home, a buyer might as well buy a home that’s ready for move in.

One of the major benefits of fixing up an inexpensive home – aside from the price – is the ability to tailor your home to your family’s needs. This luxury is usually reserved for people who can afford to build the custom home of their dreams. With enough hard work, determination, and drive, however, you can have a custom home for relatively little cost.

Don’t forget that successfully renovating a home can be a very sound investment given that it’s done properly in a good area. While fixing up an inexpensive home can be the perfect solution for many families, it can also spell ruin if you’re not willing to put in the required effort. Take the time to evaluate if a fixer upper is right for you before diving in.

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About the Author:

Cody THOMAS is a Real Estate investor and a Realtor


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