Fixer-upper can be a nightmare

You hear about or see a home that needs some help in returning to the fine shape it once was. The home seems to be one of the world’s best bargains. If the deal sounds too good, it may be.

The house probably needs a lot of work to bring it up to the quality you prefer. The place has some nice features and you can picture the finished product in your mind. Everything seems to fit. You can handle most of the updates. But there is really more to consider before buying.

Ask yourself: if I decide to buy it, will I be able to get my money out of the place when I decide to sell?

One way to make sure the home still has a lot of good years ahead is to have it checked out from top to bottom by an inspector to confirm the sale price. A builder also can also give you important information on costs and conditions.

There can be surprises when buying a home to “fix-up.” Builders can be of great value as they will see things about the home we average folks do not. There can be many surprises when buying a home to fix up, like dry rot or other structural damage that must be repaired. That means a good inspection by a professional will save you time and money.

And don’t forget location. If you have the greatest home in the worst area or the poorest home in the greatest area there will likely be value problems.

Rebuilding a home can take time and dollars. If you can do the work yourself, you will save some on the salary that would ordinarily be paid to a builder. But remember, much of the modern home’s working parts like electrical service, plumbing, furnace, etc. aren’t as simple as they used to be. These areas often call for repairs.

If you are going to buy it, get an estimate on repairs. Add to that the cost to decorate. Factor in the costs. Then, compare this figure with the selling price of a home in the same area you like with the price of a home in the same area not needing repairs.

This will tell you if the project is a good buy or not.