A recent study showed that over two-fifths of people who buy a fixer-upper end up spending more than they should on repairs.
Not everyone enjoys success buying houses as-is and transforming them into money-spinners, no matter what popular TV shows will have you believe.
So, if you’re contemplating, ‘how to find fixer-upper homes near me’, it’s vital to do your research first. When you find the right home in the right place, you could make some decent money out of the transformation.
At the very least, you could end up with a comfortable home to live in at a much cheaper price. Keep reading for more on how to find fixer-upper homes that bring rewards.
What Is a Fixer-Upper Home?
A fixer-upper home differs from a turnkey property in that it needs major repairs before anyone can live in it.
Some fixer-uppers have mostly cosmetic issues, while others might have deeper structural problems. Most fixer-uppers are sold as-is, which means you don’t have the option to negotiate with the seller regarding any of these issues.
Typically, fixer-uppers are much cheaper than homes in good order, but if you know how to pull off repairs cost-effectively, they can make an excellent property investment.
Why Ask ‘How to Find Fixer-Upper Homes Near Me’
It’s easy to see when a home is in need of repair. It’s not so easy to tell whether it’s beyond all hope.
That’s why you need to make a note of these important questions before you get started with your quest for finding fixer-upper homes:
Does the Home Have Good ‘Bones’?
You might need some help from an expert on this aspect. Quality construction and good architectural lines form a solid basis for rejuvenating an otherwise ugly house.
If you don’t need to spend a lot of money making major structural repairs, you could make a good profit from refurbishing these kinds of fixer-uppers.
A structural engineer can help you get to the bottom of this issue.
Is it Simply Lacking Curb Appeal?
Curb appeal is one of the easiest things to rectify when it comes to any home. So, don’t let peeling paint and overgrown gardens put you off an otherwise promising find.
Does it Have Dark Interiors and Hideous Decor?
Again, it’s easy to fix these unattractive qualities in a home. A fresh coat of light paint and a few new windows can do much to improve the interior appeal of an ugly home.
Are the Kitchens and Bathrooms Outdated?
Upgrading these rooms can cost a small fortune nowadays. Yet, they also bring among the biggest ROI if you decide to sell your fixer-upper.
There are also many aspects of these refurbishments you can DIY, but you must hire qualified electricians and plumbers to take care of the more complicated aspects.
Is the House Leaking?
Water stains on ceilings and walls are a sure sign the house is leaking. Usually, a new roof solves this issue once and for all, but you’ll need to call in water remediation experts to deal with the damage that’s already done.
Does the House Smell Bad?
Water damage can lead to mold growth and a stale, musty smell inside the home. These will disappear once you’ve repaired the water damage.
Cigarette smoke and indoor pets can also cause bad smells. New flooring, a fresh coat of paint, and upgraded window treatments will get rid of the source of these odors.
Is the Layout Choppy and Cramped?
An older home typically has small rooms and dividing walls popular in times gone by.
When you view the house, look for ways to improve this situation by removing non-load-bearing walls to open things up and improve the flow.
Opening up the kitchen to a lounge or den area can help create a modern open-plan layout with more space.
How to Find Fixer Upper Homes
Once you know what you’re looking for, it’s helpful to get in touch with a real estate agent to help you in your search. These professionals know how to find fixer-upper houses with maximum potential at the best prices.
If you decide to go it alone, these are the best places to look:
Drive Around Promising Neighborhoods
Buying the cheapest house in the best location is always a good bet when investing in property. So, take a drive around some of the most popular neighborhoods in your area to see if you can find any homes in need of some TLC.
Overgrown lawns, broken fences, and dirty, broken siding are sure signs the owner has lost interest in their property and may want to sell it.
Perhaps they’ve fallen on bad times or grown too old to maintain a home on their own.
Knock on their door and inquire if they know of any homes for sale in their area. It could be your lucky day.
Go to Foreclosure Auctions
You can usually pick up some good properties at these auctions at vastly reduced prices. Trouble is, you’ll need to pay for your purchase in cash.
You also won’t get to see the property before you buy it, which makes this a risky way to invest in property.
Search a Multiple Listing Service
There are a few ways to pinpoint potential fixer-uppers on a listing service. Look for the following tell-tale signs:
- Homes that haven’t sold in many months
- Low prices when compared to other homes in that area
- Homes listed as short sales
- Real estate-owned properties
Sometimes real estate agents mention that the property needs work in the description. Photographs of the house will also provide clues about the shape it’s in.
Inspect Local Tax Records
Delinquent property taxes are a sure sign the owners are experiencing financial difficulties. This information is also a matter of public record.
That means you can see who hasn’t paid their taxes by visiting a town’s municipal website.
Unpaid taxes aren’t a sure sign that a house belongs in the fixer-upper category. Yet, if the owners can’t pay their bills, they almost certainly can’t afford to keep their home in good shape, either.
Avoiding the Pitfalls of Buying a Fixer-Upper
Now that you know most of the answers to your questions about ‘how to find fixer-upper homes near me’, you can start your search in earnest.
Remember, you must always calculate the cost of bringing the home back into shape vs the reward you’ll get when you sell it. Most home refurbishment projects run over budget, so make provision for unexpected expenses when doing these sums.
Would you like some more advice on how to maximize any home? Browse our Real Estate section for all the best advice and information.
