Fixer Upper 101: Tips for Making the Best of Your Investment

Purchasing a fixer upper is a major decision that can turn into a great investment or a financial burden. It’s why most people stay away from these types of properties. However, if you have a keen eye, you may be able to transform a residence into a humble abode anyone would want to live in, including yourself. Whether you’re interested in fixer uppers for the profits or to move into, you will find the following information to be worth your while. Just make sure you have a contractor on standby who has a great track record for indoor and outdoor remodeling.

First Thing to Build – A Remodeling Team

You don’t want to go into fixing up a home without first putting together a solid team of remodeling professionals. You will need a general contractor, realtor and a great home inspector. The real estate agent will help you find various properties and the inspector will evaluate the properties to determine what’s needed. The general contractor can provide quotes for the repairs and aesthetic upgrades. In the end, this will give you everything you need to make an informed decision before buying a fixer upper.

Things You Need to Consider

How can you tell whether a fixer upper is worth your time and money? There are various aspects you want to consider when making this decisions. You’ll need to identify how much work is needed and the cost. The most important areas of the home that require thorough inspection include the following:

  • The roof and siding: If you’re planning to resell, then curb appeal is a must. Plus, you want to ensure drafts and leaks aren’t getting into the home, causing mold, pest issues and rot. Check for initial signs of water damage and loose boards.
  • The foundation: If the foundation is weak, then the integrity of the home is at risk. Cracks and leaks found in the foundation can lead to potentially damaging and dangerous situations. At first glance, there should be no cracks and the basement should be dry.
  • The electrical wiring: It’s common for older homes to have outdated electrical wiring. This could lead to switches and outlets not working and other malfunctions, such as repeated tripping and outages.
  • The plumbing: Do the toilets flush and faucets run smoothly? That’s a great first sign, but how about leaks in the pipes hidden behind the walls. This is one area you don’t want to overlook during the inspection. Plumbing can be very costly to repair.

Remodeling the Interior and Exterior

Hopefully, you found a reputable general contractor you can count on to fix up your new property. This individual should be experienced in new home construction, as well as remodeling, to ensure they have the knowledge to rebuild the house from the ground up if needed.

The first place you want to begin is outside. Outdoor remodeling consists of everything to do with the roof, shingles, windows, doors, porches and decks. Then you can proceed with the electrical and plumbing work, then the aesthetic areas, such as the floors, walls, counters, cabinets and so on.

Make sure the remodeling contractor you hire provides you with an estimate for all the outdoor and indoor work that’s required. This way, you can start lining up your finances to complete the project. You’ll need to factor in the cost for materials, as well as the labor. Some contractors offer financing options for their products and services, so definitely inquire about this as well.

As you’re putting together your budget, make sure to leave room for error. You never know when something unexpected will occur. For instance, a pipe burst or other type of unforeseen repair requiring immediate attention. You don’t want to deplete your budget and end up with an unfinished home, so be prepared!