How To Master The Art Of Buying A Fixer Upper

Dated: February 2 2018

Views: 377

You see it all over the internet and television. Shows such as Fixer Upper, Design Star, Property Brothers, Flipping Out make us all believe we can easily manage a home renovation project. Before you purchase that fixer upper, here are some things you should know first. 

1.) Find a Realtor who is experienced in working with fixer uppers, distressed properties and really knows the area where you are searching. 

2.) Determine what your expenses are going to be in renovating the house before you make the offer. Some fixer upper house flaws can be fixed and other flaws can cost a bundle. Do your homework and hire licensed contractors to give you good estimates on repairs needed to the home. You'll want contractors such as structural engineers, electricians and plumbers. You'll also want to know if the roof needs to be replaced, do you have a mold and/or radon issue in the home.

3.) Draw up a reference sheet for renovation costs such as roof, foundation, HVAC, and windows. This will help you to determine a viable offer price and keep you on budget for when you begin your renovations. 

Now the up side to buying a fixer upper is that many times these homes can go for as little as 60-80% of original asking price especially if it's been on the market for a long time or of you're able to offer cash upfront. The bottom line is the more you break down your expenses, the more sense your offer will make to the sellers who will hopefully play ball. In addition, knowing your expenses before hand will keep you on target for a profitable return on investment. 

Image title

Blog author image

Jennifer Burns

Jennifer was born and raised in Maryland and for the last 21 years has resided in Middletown, MD. Upon finishing her studies at the University of Maryland University College with a Bachelors degree in....

Latest Blog Posts

Housing Roller Coaster Frederick Maryland

The pandemic has brought about changes to the housing market across our nation and we have definitely felt it locally. For the month of July, the change in the number of units sold in Frederick

Read More

How To Prepare Your House For Warmer Weather

Getting Your Home Ready for Warmer WeatherIt’s just around the corner friends and family...warm weather. I cannot wait to be sitting on my deck, cold drink in hand, and soak up the sun! But,

Read More

Should I Pay Over Appraised Value

I write these blogs to be really informative in regards to the local Frederick market. As a local agent, you should be getting local expertise and direction.So in the spirit of professionalism -

Read More

The Need For Affordable Housing

The lack of affordable housing nationwide is an issue affecting communities nationwide. The shortage of affordable housing is not new, but the economic fallout from the COVID-19 pandemic has

Read More