BUYING A FIXER-UPPER?

A fixer-upper. A handyman's special. Needs TLC. No matter how you phrase it, buying an ugly house means that you are signing up for a bit more work than any other home. Here are a few tips if you are looking to purchase a fixer-upper.

Take a good look at what needs to be done. Look particularly for structural issues like foundation cracks, water damage, and problems with rot or termite damage. If there are structural issues, bring in a contractor to give you an estimate as to the costs to repair.

Make a list of all of the repairs that are required and the estimated cost. Even if you intend to do the repairs yourself, it is best to use a cost estimate as if a contractor is doing the work. That way, if you do the work yourself, you will come in under-budget. It is not unusual for construction projects to cost more than expected, particularly if the work required is extensive.

Have your real-estate agent provide you with an estimate of the market value of the home as if it were in good condition. With that number in hand and your cost estimate for fixing the needed repairs, you will know what a fair price is to offer on that fixer-upper.

There are some really good REALTORS® that specialize in finding undervalued properties that, with a little Tender Loving Care, can again be loved and appreciated. Please give your local agent a call and together, he or she and you can start looking for that perfect fixer-upper.