Buying a fixer-upper? A look at the pros and cons
A house that needs TLC can be a great investment. That is, if you’re up to putting in the sweat equity.
Pro: Great deals!
Buying a house that needs work can help you save big on your house payment. An as-is property can be had for a lower price point than a newer property that’s move-in ready.
Con: Endless construction
DIY home rehab is a lifestyle – are you willing to go all in? Your house will be a work in progress for months, possibly years. Parts of your house will be unusable for periods of time, and the pressure to get it done can be a source of stress.
Pro: You may qualify!
Check your area for homeowner programs. Some cities, towns and counties offer low-interest loans and grants that make home repairs more affordable. The federal government also has renovation mortgage programs for certain borrowers.
Con: Unexpected problems
Get ready – some projects are cursed. For example, you rip out the fiberglass shower, only to uncover serious problems with the plumbing and mold. Before your start each project, you’ll want to think ahead to plan B if things don’t go to plan.
Pro: The satisfaction of doing it yourself!
When it’s all done, nothing beats the satisfaction of transforming a house from dreary to dazzling. You’ll pick up new skills along the way, and it will be customized to your preferences and hobbies. And if you’re fortunate, you’ll achieve a nice uptick in home value when you’re ready to sell.