If you’re looking to jump into home ownership with a fixer-upper, there are a few things you need to think about before you buy.
When you take on a home remodel, you enter into a season filled with decision making, unexpected delays, and constant budget adjustments. It can quickly become overwhelming, so it’s important to know what you’re getting into.
As home remodeling experts, we’re here to offer our best home renovation tips to help ensure your project goes as smoothly as possible. Whether you DIY your renovation or hire it out to a contractor, the following are important factors to consider when buying a fixer-upper home.
1. Determine Your Goal for Your Home — How Long Will You Live There?
The journey to renovating a fixer-upper begins long before you even start looking for a home to buy. Before you start house hunting, it’s important to have your end goal in sight: Do you see this purchase as your home for the foreseeable future or as an investment that you’ll sell or rent out once you’ve remodeled?
Your goal for your home purchase will determine your focus for repairs:
- If it’s going to end up being an investment property, you’ll want to choose features, colors, hardware, and so on that will appeal to a wide range of potential buyers or renters.
- If it’s going to be your home, you can make more personalized choices.
2. Determine the Scope of Renovations You’re Willing To Take On
Before you buy, determine the scope of home remodeling projects you are comfortable with. This will help you narrow down your home search and ensure you aren’t taking on more than you can handle.
The type of renovations you’re able to do will depend on your skill level, availability, and budget. Some issues involve more work and expense than others: cosmetic projects like painting or pulling up carpet are easier, less costly projects, whereas issues like foundation repair or a complete kitchen remodel are more serious (and more expensive).
If you have the budget to hire a contractor to do the renovation, you’ll be able to do much more involved repairs than if you DIY it.
The amount of maintenance the previous homeowner has done on the home is also a factor here. Always have an inspection done before you buy to determine what issues need to be addressed so you can plan your renovation accordingly.
3. Set Your Renovation Budget and Research Financing Options
Be realistic about how much money you’ll need for renovations after you’ve paid the down payment and closing costs for your home. Make sure your budget includes costs for things like alternative housing (if you’re unable to stay in your home while it’s being remodeled) and utilities used during renovation.
It’s the nature of home renovations that things often end up costing more than you think they will. Always plan for budget overages, including at least a 10-percent cushion for unexpected expenses that come up.
In addition, take the time to research your options for financing both the home purchase itself and the cost of renovations.
Generally speaking, if the home you’re buying is in good condition and needs only cosmetic changes, you can usually qualify for a conventional loan. But if there are major repairs or structural issues, you’ll likely need a home renovation loan.
Develop a relationship with a lender early on in your home search so you can go to them as a resource as financial questions arise.
4. Prioritize Your Projects
With a fixer-upper, there are typically a whole host of projects to complete, and they may not all fit into your budget (at least not right away). That’s why it’s important to prioritize which projects you’ll do first.
You’ll of course begin with projects that affect the safety of the home or that could result in further damage if left unchecked. For example, fixing safety hazards like old wiring or replacing a leaky roof should take precedence over more cosmetic projects.
Once all safety concerns are taken care of, you can move ahead with the more “fun” projects that will make your house feel like home. Focus on high-ROI projects like remodeling the kitchen or bathroom, replacing drafty windows, and giving everything a fresh coat of paint.
5. Expect Delays
Whether you DIY your project or hire a contractor, renovations almost always take longer than you think they will — so don’t be surprised if you run into roadblocks.
Supply chain issues (like the material shortages of the past few years) can make it difficult to get the materials you need for your remodel. And labor shortages can complicate things even further. Ultimately, shortages in materials and labor can mean long waits and higher costs. Other aspects of the renovation process can cause delays as well, including obtaining the proper building permits and working through any financing issues that arise.
As you make your game plan for your home renovation, always plan for delays and ensure you have alternate living arrangements in case those delays push your move-in date back.
6. Hire a Reputable Contractor
If you choose to hire a contractor for your project, make sure to choose one with a great reputation for both the work they do and the customer service they provide. After all, they’ll be your partner in renovating your home, and — depending on the scope of your project — could be a part of your life for several weeks or even months.
This means that the lowest-bidding contractor isn’t necessarily your best choice. In fact, if their lower rates correspond with less experience and knowledge, they could end up causing more issues than they fix…and costing you more money in the long run.
References from friends, family, or your real estate agent are a great way to find a professional contractor. It’s also a good idea to look at the company’s Better Business Bureau profile and online reviews to get an idea of their reputation in the field.
Outdoor Solutions Is Your Home Renovation Specialist
If you’re buying a fixer-upper that requires projects beyond what you want to tackle on your own, Outdoor Solutions can help.
Want to remodel that kitchen that’s in desperate need of new cabinets, countertops, and floors? Turn that porch into a four-season room? Or create an entertainment area in the basement, complete with a theater and wet bar? Whatever your project, Outdoor Solutions is licensed and qualified to handle your home renovations, and we’d love to be a part of making your house feel more like home.
Outdoor Solutions can help turn your fixer-upper into the home you’ve been dreaming of. Contact us to start planning your project today!