Tuesday, June 21, 2016

Should You Buy a Fixer-upper or Move-in Ready Home?


Shows like HGTV's "Fixer Upper" have popularized the idea of buying and renovating the worst house on the best block. Homes that need major remodeling, however, aren't for everyone. Sometimes a move-in ready house is a better option. Whether you're a first-time homebuyer or a seasoned investor, it's important to understand the pros and cons of each.
Pros of Fixer-Uppers
  • Lower price -- Homes that require some updating tend to be priced lower, and many renovations can quickly add value to your home.
  • Creative control -- When you're the one in charge of updating your home, you can customize it however you choose.
Cons of Fixer-Uppers
  • Delayed move-in -- The planning and work involved to fix it up can significantly delay your move-in date.
  • Unexpected costs -- No matter how well you plan, major renovations are always subject to unforeseen expenses.
Pros of Move-In Ready
  • Quick move-in -- Can't wait to begin nesting? With a finished home, you can start moving in as soon as you get your keys.
  • Energy-efficient technology -- New and renovated homes are often outfitted with the latest energy-efficient options when it comes to kitchen appliances and heating and cooling systems, which can save you money over time.
Cons of Move-In Ready
  • More expensive -- To recoup the costs of updating, sellers often price move-in ready homes much higher. These homes also don't allow for easy customization.
  • Questionable quality -- When you're not there to oversee the update process, you're unable to ensure that high-quality work and materials are used for your home.
Still not sure which approach is right for you? Take this quiz to help you decide if you're ready for a fixer upper.
Kathlyn's Tip -- Be sure to work with a knowledgeable real estate agent, who understands not only the local market but more importantly your needs as a buyer.  If you are debating between restoring a home or new construction in the Houston area, please contact my office for a consultation. My combined experience as a realtor and former tax attorney can help you navigate the pros and cons.  

No comments:

Post a Comment