Alrighty, so you’ve decided to purchase a fixer upper..
Fixer uppers can often come with huge price benefits, rewarding opportunity, and sometimes problems.
Let’s take a look at how we can tackle that..
Do the math very carefully before jumping in. First, you will want to add up the expected renovation and repair costs based on a thorough inspection of the property. As some of the expected costs will lie within a grey area, it is important that you base your estimation on the higher end of the price range. Be sure to account for all materials and labor.
Once you have added your expected renovation costs, subtract this number from the home’s projected post-renovation market value. It is important that you base this projection on comparable listings in the same neighborhood. Consulting a licensed Realtor can offer very valuable assistance with this step.
Work With The Right Team
When looking for a fixer upper matching your criteria, make sure that you have a solid team of professionals to work with. Choose a real estate agent who is familiar with the area and type of property that you are interested in. Also, be sure to hire only licensed, reputable contractors that will not cut corners on work needed. There are plenty available in Laguna Niguel and surrounding areas. Aesthetically appealing homes don’t always pass inspections, so it’s vital to make sure the subject property is fit for sale or it may never close at your asking price.
Aesthetic Problems Can be The Best Problems
If you’ve managed to find a home that’s is in great condition but needs some TLC in the visual department, you may have found yourself an excellent fixer upper. Ugly shag carpet, ancient appliances, and tacky wallpaper are easy fixes that won’t eat up much of your budget or your time.
But, on the flipside..
Asbestos, leaky water lines, a cracked foundation, or a rotted frame are examples of more significant issues that will require the help of a professional. Be wary when investing in a property that has one or several of these problems, as they are the kind of issues that can snowball into larger costs and longer timelines for repairs.
Ready to find a great fixer upper and tackle it as your next investment? Perhaps a home that is move in ready?
Either way, please let me know. I would be happy to help you reach your goals!