Home Selling

Tips for First-Time Homebuyers on Buying a Fixer-Upper

When you put your house on the market, you and your real estate agent most likely have a target buyer in mind.  This buyer might be in a similar demographic to the buyer of the home down the block because your neighborhood appeals to that buyer profile.  The selling price of your home is directly influenced by what the going prices are for homes of your size and condition in your immediate area.

Even though this site is about staging your home to sell for the best possible price, it is helpful to know about a different type of buyer.  That buyer wants a bargain and is looking for a home that needs work.  If you are thinking about putting your home up for sale and not fixing its problems and/or staging it to its best advantage, these are the buyers that you might be attracting.  This is the other side of the staging coin, and it is useful information to have.

When it comes to purchasing a first house, the process might be intimidating. After all, this is one of the most significant investments anyone ever makes, and it’s a long and pricey one that can cause tension and anxiety even if you have a solid strategy in place. For first-time homeowners looking for a fixer-upper, whether  they’ve done their homework at the start — and there may be a lot of homework — determines the success of the endeavor.

As a home seller, it is helpful to put yourself in the shoes of a buyer looking for a bargain.  And if your home fits the bill for a fixer, why you will not get the price you are looking for.

Pretend You’re the Buyer of Your Home

It’s critical to know what to look for and to have some decisions made ahead of time, such as whether you’ll live in the house or sell it after it’s built. Before you go house looking, think about the larger picture because it could effect your budget or timeframe, which are two of the most important aspects of taking on a fixer-upper.

There’s a lot to consider, but with a smart strategy and some professional assistance, you’ll be able to get your first house in no time. Continue reading for some helpful advice on how to get started.

Make a Financial Plan

The first step should be to determine your budget, as it will determine how many repairs you can complete, who you can engage to assist you, and when the project will be completed. Seek a good sense of what kind of improvements are needed and get a professional opinion from an inspector as soon as feasible so you can work out a budget. When dealing with a fixer-upper, there are always unexpected expenses, and you don’t want to be caught off guard.

It’s All About the Location

The location of your first house, as well as whether or not you intend to stay there, is crucial. Many older homes have good bones and are located in desirable neighborhoods; these are the ones to look for. You don’t want anything that will be difficult to sell in the future due to the neighborhood, and the neighborhood should be in your target price range when you do decide to sell. Even if you plan to live in the house once it’s finished, you may decide to relocate at some point.

Prioritize These Tasks

It can be tough to prioritize which home improvements to complete first, especially if there are numerous to complete. Before you do anything else, check for safety concerns and engage professionals to assist you. Problems with flooring, roofing, and structural integrity should be addressed first. After that, electrical and plumbing issues should be addressed. It is critical to ensure the safety of your property before embarking on any aesthetic upgrades. Make sure you have the necessary tools for the job, such as sanders and jigsaws, while doing DIY repairs.

Make a Good First Impression

Create some curb appeal is one of the most critical things you’ll need to do. This might benefit you whether you intend to sell the house or stay once the renovations are completed because it will increase the value of your home. You can start by replacing the mailbox, planting flowers or shrubs, and renovating the front porch area, but you can also create privacy by planting a “living fence” consisting of evergreen trees or shrubs; click here for more information.

Purchasing and refurbishing a fixer-upper is a significant undertaking. It does not have to be overpowering or unpleasant, though. Starting with a defined plan and knowing what to expect will help keep things peaceful and stress-free, allowing you to simply enjoy the experience.

Back to Reality

Having put yourself in the buyers’ shoes, you can see why staging a home to sell is so important.  If there is too much work to do, your home will only attract those buyers looking for a fixer. They may or may not be looking to live and love your home the way you do.  What your home means to them is dollars and cents.  The more dollars they spend, the less profit they walk away with.

This pool of buyers is smaller than those that want a place to live and enjoy life.  It stands to reason then that the price you will receive for your fixer is no where near what you will receive from someone who has fallen in love with your home and wants to live there indefinitely.