All you have to do is turn on the tv to find a show about flipping houses these days. TV shows tend to make everything look easy, especially DIY repairs and updates! But how does the average person decide if a fixer upper is really worth the time, effort, and MONEY?
Here are a few scenarios where diving in *usually* pays off big. . .
1. The upgrades are simple.
First, you need to find out what types of issues are going to need updating, and then you need to be honest with yourself about your personal skills. If a home has foundation, electrical, or plumbing issues – the odds aren’t in your favor, unless you happen to be a contractor yourself.
When it comes to cosmetic fixes however – dive right in!
2. When the budget balances.
Hire an excellent home inspector, and be CLEAR that you want a detailed report on every major system of the home. Once you have that back, sit down and run the numbers, always over-estimating costs, and then decide if you are willing and able to stick to this budget.
If you’re handy and willing to put in the hours, your budget may be much smaller than what you would spend on a move-in ready home – but – if not, move on.
3. You have the time and resources.
Many times when purchasing a ‘handyman special’, there is significant work that requires you to live away from the home. Do you have a plan in place to make that happen? Or, if not, are you financially able to build in the cost of a rental property, VRBO or short hotel stay, depending on the length of work necessary?
It is important to recognize where you are in life and if you are mentally, physically, and fiscally able to invest in a fixer-upper – otherwise at the end of the day, the risk just outweighs the reward.
No matter which way you decide to go, always choose a professional to guide your decision making, assist with finding local vendors as needed, and above all else, get you to your goals with a smile on your face and the keys in your pockets!