When looking at fixer-upper homes for sale, you have to pay attention to more than the asking price. Whether you want to buy these homes for your own personal use, or you want to buy these fixer-upper homes for sale to fix up and make money on later, you have to choose wisely to ensure you don't end up with more fixing up and less house.
Here are things you should look for when you buy fixer-upper homes for sale. Once you have seen a few properties and know what you're looking for, you will have an easier time knowing what's worth it to you and what you should let the next buyer consider instead.
Minor or inexpensive repairs
The fewer repairs you have to do on a fixer-upper home or the cheaper the repairs can be, the more value the home can potentially bring you because you have less of an investment to make. For example, if a home needs a few new windows or needs to have new shingles put on but is otherwise in sound condition, it might be a better purchase than homes for sale that are cheaper but need lots of expensive repairs to make them sound.
Note: pay attention to what type of repairs a home needs when looking at fixer-upper homes for sale. A home that needs cosmetic repairs might be a wiser or safer investment than a house that needs minor structural repairs.
Neighborhood values
There's not much sense in looking at fixer-upper homes for sale in neighborhoods that don't carry high values in the first place. The reason for this is simple: the home you buy will partly only gain in value as the neighborhood it rests in gains in value, too. This means if your fixer-upper home is the nicest one on the block, it might not appraise as high as it should be based on what you put into it, simply because of where it's located.
Note: ask your real estate agent to show you the neighborhood values of any fixer-upper homes for sale you look at. This way, you can compare the potential value of your home with repairs to the maximum value it can carry in its neighborhood to see if this is a great deal for you.
Fixer-upper homes for sale can bring you a lot of value. Look at several homes before picking the fixer-upper that meets your budget and repair desires. Contact a local real estate agent to get help finding homes for sale.
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