Let’s say the your dream home just happens to have ancient wiring as well as a cracked foundation? So you’ve set your sights on a home that, to say the least, requires a little repair work. The steps are creaky, and you’ve noticed a leak (or three). Still, your mind is made up. What’s a love-struck buyer to do? In the event your heart is set on a fixer-upper, these suggestions from real estate experts can help you make that “needs-work” house a home.
4 Suggestions for Buying a Fixer-Upper
“Any municipality has zoning districts, and you need to know what uses are permitted,” says George Vanderploeg, a luxury real estate broker with Douglas Elliman in New York. Understanding the zone is essential since it will tell you what you can and can’t do to the home.
For instance, when interiors photographer Josh Gibson made a decision to renovate his 19th-century cottage in Beaufort, SC, he had to deal with the historic district landmarks commission, which required hours of research and visits downtown. Among the many requirements he had to adhere to was installing single-pane windows and maintaining the home’s unique brick-pier structure.
To look into your prospective home’s zoning requirements, you can visit its municipality’s website, or arrange to meet with a a staff member, who is able to walk you through the legalities.
Bring in a home inspector
Once you’ve made a verbal agreement to buy the house and are waiting for the contract to be drawn up, you’ll need to hire a home inspector. A home inspector will look for structural issues and give you advice on items that might or might not have to be replaced, for instance plumbing, electricity, and roofing.
Nick & Cindy Davis can refer you to an inspector, but it’s important that this person not be biased, as you’ll need an objective opinion. Our inspector that we recommend is unbiased and knows that is what we expect. He works for the buyers and not us. Be sure to schedule about an hour or two to walk through the building with the inspector and ask questions. “This allows the buyer to get to know the house really well before they buy it,” Vanderploeg says.
Home buyers have a tendency to ask questions about asbestos and termites, but Hal Einhorn, the principal inspection consultant for Old House Inspection in New York, says it’s equally important to ask about the “general age of certain systems,” as those will indicate when they’re nearing replacement. A 26-year-old boiler, as an example, is likely to go kaput soon, whereas a newly-installed air conditioning unit probably won’t be a problem for the next 20 years.
Depending on the home’s location, you may also want to ask about issues specific to its region, Einhorn says. In New York City, for example, where the water mains tend to be dated, you’ll wish to clarify that the one in your coveted home isn’t constructed from lead.
And with today’s families using more electricity than ever, you’ll need to find out if the amount of power arriving at the house is suitable, or needs an upgrade. Performing a little research online can be helpful.
Another important topic to bring up is any work you’re getting ready to do, like upgrading the bathroom or turning a one-bedroom home into a two-bedroom, Einhorn says.
Find out the agency requirements, and if the home is in a landmarked district, make sure you know the ramifications. Will your project require filing documents, and if so, exactly what is the process?
Hire an architect and/or contractor
Hiring an architect is essential because you’ll want their take on what can be done from a design perspective, says Vanderploeg.
The architect will also be able to point out the home’s load-bearing walls, which can determine if they can be moved around or not, says Scott Oyler, a broker with Coldwell Banker in Cincinnati.
When hiring a contractor, you’ll want to do your homework so you find someone you can trust. “I’ve heard of horror stories where contractors left in the middle of the job and never came back,” Oyler says – so ensure that your crew has good references.
Also be certain to recruit more than one, he adds, as you can never have too many opinions.
Research tax incentives
Depending on where you live, you could possibly be qualified to receive a tax abatement, a tax credit for homeowners who enhance their property’s value, Oyler says.
Philadelphia offers one; Cincinnati does, too. Find out what’s available in your area.
If you choose to buy and improve a fixer-upper, be patient. After the sawdust clears, chances are you’ll just find the home you’ve always dreamed about. Nick & Cindy Davis have many investors, home owners purchase thier fixer-upper and recommended several vendors who have assisted them in turning a fixer-upper into the home of their dreams. We are here to assist you too. You can always reach at 813-300-7116 or simply click here and we will be in touch.