How Much Will You Save Buying a Fixer-Upper
Just how much will you save buying a fixer-upper? According to Zillow, about $11,000, as reported by The Columbus Dispatch.
The real-estate service found that homes described as fixer-uppers or with phrases such as “needing TLC” were listed for about $11,000 less than their estimated market value. Nationwide, 1.6 percent of listings came with such a description.
Savings ranged widely across the country, Zillow found.
In Phoenix, fixer-uppers carried almost no discount, but in Cleveland such properties were listed at 32 percent less than their estimated value. In Columbus, fixer-uppers were listed at $19,000 less than their market value, for an average discount of 18 percent.
Zillow advised buyers to look carefully at homes requiring repairs to make sure the repair cost doesn’t exceed the discount.
How about if someone else fixed it up (rehabbed it), what should you look for?
Some questions you will want to ask to determine if you are buying from a quality real estate solutions company:
- If the sellers have flipped a few homes, they have a track record. So get the names of earlier buyers and talk with them. Ask the buyers if all the homes’ systems worked when they moved in and whether they discovered hidden problems.
- Ask the current owners for a written, detailed report of all the changes they’ve made to the property. Then you can check with the city if the permits have been pulled. If no permits were applied for, it will make it difficult to buy or sell the house.
- Hire a professional home inspector. While getting an inspection is a smart move for any homebuyer, it’s especially important if the home was flipped,
Why should I purchase a rehabbed home?
When you buy a used, or pre-lived in home depending on when it was built, it may have a charm that new construction doesn’t have. It may have crown moldings and features that require fine craftsmen’s skills that cost too much today. It may be in an old neighborhood with full grown trees and amenities nearby that attract buyers. It may be near downtown close to work rather than in the suburbs and a long commute.
But, older homes have some drawbacks like antiquated kitchens and bathrooms, furnaces that look like an octopus making the house expensive to heat, and a need for a 220 electrical system to handle the modern electrical loads. Naturally, when you purchase the home, you will spend money bringing the home up to 21st century standards. You may choose to buy and do your own renovation or buy a home already rehabbed. The rehabber or real estate solutions company will offer certain things that makes a rehabbed home attractive to buyers:
- An Updated Layout. Today many buyers are looking for an open concept home which is not a floor plan popularized by older or traditional style homes. Rehabbed homes usually mean moved or completely removed walls, and redesigning floor plans that cater to today’s modern family.
- Inspection Friendly. When a good real estate investor takes on a new property, they go the whole nine yards to make sure the home is in move-in-ready condition for a new owner. These inspections include electrical, termite, foundation, etc. and are essential for ensuring the safety of an older home. That means having pulled all the permits and inspected.
- Energy Efficiency. The older the home the less energy efficient. Manyrehabbed homes get their windows, doors and air-conditioning systems upgraded, giving them the latest in energy savings. These energy savers can be expensive undertakings making buying a rehabbed home good for your wallet.
- No Work Needed. With arefurbished home you get the best of both worlds; the personality of an older home and you didn’t have to lift a finger to get it move-in-ready. Kitchens and bathrooms take the most time and money to redo and most rehabbers conquer both before reselling.
- Move-In-Ready. Modern home buyers want stainless appliances, and granite counters. Many want hardwood floors and wine racks under counters and modern, well-lighted bathrooms. If you pick a trusted real estate solutions company’s property, you’ll be getting a home that has been rehabbed by the best in the business. Best of all, you can move in right away.
A solution to your real estate challenge may be just one phone call away! Call NOW at 614-600-2222 or send us an email at Austin@RightPG.com with a house for sale or any questions!