If you are looking to purchase a home that needs to be remodeled, make sure you pay close attention to all of the future repairs and renovations and how much time and money will be involved. Whether you plan to live in it or sell it afterward, you should try to get the best value for your money. If you are a handyman who can do a lot of work yourself, you could definitely come out ahead. Many people will make a purchase only to later realize that it wasn’t a smart decision. Here are a few things to think about before buying a fixer-upper.
Repairs
If you are able to fix a lot of the home yourself, then you may not have to worry about this as much, but there are some things you should look for in the house. Many people are looking for laundry in the living space and not in the basements. Having multiple bathrooms in the home is also a desired feature. Some of the bigger things that are important to consider are the condition of both the roof and the siding or brick. Many people overlook it, but foundation repairs are also extremely important. The home has to have a good base to stand the test of time.
Location
Location can be a big part of how much value your home will have after the renovations. If the home has a lot of land, that could dramatically increase its value. If the house is located in town, the convenience to businesses and mass transit could boost value. However, keep the crime rates of the area in mind as well. Values usually go up in locations that are safe and relatively crime-free.
Price
The cost of the house is very important to the overall quality of your finances. You likely do not want to have a large mortgage payment or property tax bill that keeps you strapped for cash. Be sure to take into consideration the number of repairs required and how much the finishing touches will cost. Make sure you run the numbers before purchasing the home.
Your home is one of your largest investments. Do the right research to help make your renovations an easier job for you.