Wanting to tackle a fixer upper? Answer these 3 questions first.
While fixer uppers can yield a great return on investment, they can also turn costly and take a lot of time if you do not select the right one. Before you take the plunge answer these three questions.Can you manage it?
Just like on television shows, a fixer upper will have surprises that can test you both emotionally and financially. Sitting down and evaluating the time and energy you must put into the project and then looking at the house and deciding if it is something you can take on will help in the long run. Prepare a timeline with the different projects you wish to complete so that you can prepare yourself for what is to come.
What do you want to improve?
Understanding what aspects of the home will need improvement and how much each will cost will help you decide if it is a worth while investment or not. While fixer uppers can mean quick equity, they can also cost more than you think. Some projects such as painting, and landscaping may be all the house needs and can be quick and inexpensive. Other projects like kitchen or bathroom renovations will be more expensive and may require a professional. With larger projects the city has rules for permits so working with someone who understands and follows those guidelines can save you headaches down the road. Take into consideration how these projects will affect your bottom line.
Is it the right price?
The price of the home should be a major factor in your decision to purchase a fixer upper. After answering the second question, look at the price of the home and decide if it will allow you to do all the renovations you are wanting, and the house is needing. Consulting with your REALTOR® on what other houses in the neighborhood are selling for and what features they have will help in this process as well. You don’t want to pay too much for the house, put in too much money and then not recoup your investment.
For more information on renovating, buying, or selling your home visit the new SABOR.com and find a San Antonio area REALTOR® today.