If you’re a DIY fanatic, buying a home that needs repairs may be a huge temptation. Before you commit yourself to only looking at fixer-uppers, consider all the variables associated with buying a home that needs a little work and make sure to ask yourself these 4 questions.
1. Do you have the time?
You may love the occasional DIY project, even the ones that take a few days, but buying a home needing a handful of repairs will take all the time you have.
If you’re the type of person who likes to relax on the weekends, or take trips, you can either say goodbye to those things, or choose a house that doesn’t need as much time dedicated to it to make it livable.
2. Do you have enough money?
Like time, money can also be limited. If you spent the majority of your savings just to pay for the down payment and closing costs, it doesn’t give you much room to renovate a house.
If you’re looking at houses needing a ton of work, make sure you calculate correctly how much you’ll have to spend to make it functional.
3. Does the improvement increase the home’s potential value?
When you’re looking at buying a fixer-upper, keep in mind there are two major types of fixes: cosmetic and structural.
Cosmetic fixes are usually projects you can do yourself like painting, dry walling, updating the kitchen, and more. They’re normally less invasive and don’t require you to hire a professional.
Structural fixes are usually more costly and harder to do on your own. These fixes normally require a contractor and involve knocking down walls or fixing a problem with the foundation or plumbing. You might just want to pass on the home altogether if there are several structural issues, it could be a sign the home is in bad condition.
Consider whether or not the renovations you want to make will add to the home’s value after they’re completed. If the cost to make the renovations is more than the amount it would add to the home’s value you may want to consider other options.
4. Can you live in a construction zone?
Lastly, are you the type of person who has to have everything put away? If so, a fixer-upper, especially one requiring a lot of work, will keep your home torn apart for weeks at a time.
If you’d rather do small fixes slowly and keep things put together, buying a fixer-upper is probably not the right choice for you.
How many questions did you answer yes to?
Answering yes to all of the above questions, or at least to the first 3, means you’re probably an okay fit for buying a fixer-upper. You have the time and money to spend turning an older home into a masterpiece, so by all means, indulge your inner DIY-er.
Have you decided to take on a fixer-upper?