Advantages of Buying a House that Needs Work
Tuesday May 02nd, 2023
There’s no doubt about it. Buying a home that is “move in ready” is a real convenience. All you need to do is get your belongings in place, and you’re ready to enjoy living in your new home. You don’t even need to paint. That’s why move-in-ready homes tend to attract more buyers.
However, there are advantages to buying a property that needs work. And, if you’re currently shopping for a new home, a listing that requires some repairs, upgrades, or renovations might be worth considering.
Properties that need work tend to be priced lower than comparable movein-ready listings. Depending on market demand, the price savings can range from modest (just a few thousand dollars) to substantial.
Also, homes that need work tend to attract fewer buyers and offers, so there’s less competition.
Another advantage is the opportunity to get into a desirable area you otherwise might not have afforded. It might be worth the extra work you’d need to put into the home to live in your dream neighbourhood.
But, while there are advantages, there are also important caveats.
The first caveat is you must know the scope of work that is required before making any decision to purchase. How will you get the work done? How much will you need to budget for the improvements? Are you prepared for the realities of living in a property during renovations?
The second caveat is you must anticipate any issues that can’t be seen during a typical viewing. The last thing you want is to pay for a major repair you weren’t expecting. That’s why getting a professional home inspection as a condition of your offer is often a good idea.
There’s a lot to think about when you’re buying a “needs work” property. But, I can help you make an informed decision. Call me today, 905-842-7000.
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