3 Reasons To Include Fixer-Uppers In Your Search For The Perfect Single-Family Home
If you have been searching for single-family homes for sale, you've likely noticed that many of them are listed as fixer-uppers. Are these homes worth including as potential candidates for your next move?
In general, it's definitely worth it to include fixer-uppers in your home search. You'll be able to customize the home to your exact desires during the course of renovations, and all of your renovations can rapidly increase the total value of the home. Read on for three reasons to consider fixer-uppers when you're searching for a single-family home.
Great Deals on Fixer-Uppers Exist, but You Have to Search Carefully
There's a significant price difference between fixer-upper homes and other single-family homes. However, this doesn't always mean that the reduced price results in a good deal—you also have to take into account how much renovation work will be needed on the home.
If a fixer-upper is 10% less than comparable homes in the neighborhood and needs extensive foundation repairs, then the reduced price doesn't make much of a difference overall. You would spend more money repairing the foundation than you would save by purchasing the fixer-upper, and the repairs would add little value to the home—buyers would expect the foundation to be in good condition, and it's a mostly invisible repair.
When you're looking for fixer-upper homes, look for ones that are dated but structurally sound. In general, you want every renovation you make to the home to be visible to the buyers. Thankfully, there are plenty of single-family homes on the market that fit this condition—you'll just need to spend time finding them.
Smart Renovations Will Rapidly Increase Home Value, Strengthening Your Investment
Tearing outdated carpeting and replacing it with hardwood flooring, painting the kitchen cabinetry white, or converting the kitchen and dining room into an open space are all very visible renovations that have a major effect on the value of the home. Increasing the price of the home helps you build equity much faster, so these types of renovations are ideal from a financial perspective.
At the same time, keep in mind that the number one reason to renovate your home is to transform it into your own personal dream home. Don't feel forced to make renovations solely for the sake of adding value.
Overall, purchasing a fixer-upper in a great neighborhood and taking the time to renovate it to your liking can net you an amazing deal. When you're searching the market for single-family homes for sale, don't be afraid to look at the homes that are labeled as fixer-uppers—you may find a great opportunity to rehabilitate a home into your perfect dream home.