Buying a home is one of the most exciting times in a person’s life regardless of whether you are a first-time homebuyer or a seasoned homeowner. There are a lot of things to consider prior to setting a budget for your new home. One of the first items to consider is whether you want to purchase a move-in-ready home or a fixer-upper.
Very few people look upon the process of remodeling with a lot of excitement, but there are some advantages! Let’s look at some of the pros and the support people that can help take the fear out of the process.
1. Save Money
Buying a home that has been passed up by other buyers can be critical in negotiating a great price. In addition, it can be a good way to sneak into a neighborhood that you would not otherwise be able to afford. Location is everything! Make sure you have a good realtor in your corner who can negotiate the price and stay within your budget. It also helps to employ an interior designer who can help to visualize the potential in the home and work with you to create the vision should you decide to purchase.
2. Lower Initial Real Estate Taxes
Purchasing a home that needs work is reflected in the ASSESSED VALUE OF THE HOME. However, the savings won’t last forever. Once the home has been remodeled, it will be re-assessed and your taxes will increase. The savings will be on your initial purchase.
3. More Square Footage
Homes that require renovations are USUALLY listed for less money per square foot, which translates to more home for your budget. Don’t assume this is the case though, rely on your realtor to research the neighborhood and check comparisons to confirm the asking price. This is also important when determining your budget for repairs. You will want your fully- remodeled home to be competitive with other updated homes in the neighborhood once it’s finished.
4. You Have Full Control
Buying a fixer-upper means having a blank canvas to work with. An interior designer will be able to steer you in the right direction when it comes to making budget-friendly decisions. For the most part, you will be able to choose colors, appliances, and materials used. In larger renovations, you may be able to re-work the entire floorplan to meet your needs. In essence, you have the ability to create your Dream Home.
Keep in mind that it is critical to speak with professionals prior to taking on a fixer-upper. We offer discounts on our design services when you purchase with us. Please reach out with questions about our process.