With the price of properties which has increased considerably in recent years, it is always more difficult to find a home that meets all your criteria for your budget. This is why buying a house to renovate can be an attractive solution.
Buying a home to renovate is an interesting project for do-it-yourselfers, for households wishing to save money or for people ready to customize their home to their liking. Indeed, this option has many advantages.
Here are some practical tips for making the best decisions for your home buying project.
Clearly define your needs and plan
What are your goals for buying a home to renovate? Are you looking for a property to be completely redone or a home in need of a breath of fresh air? How much time, money and effort are you willing to invest? What are your renovation skills? Do you know any trusted contractors to do the work?
The more specific you are about what you are looking for, the better you will be able to prepare yourself and find the right property to succeed in your project.
Set up a purchase and work budget
Added to the costs associated with the purchase of your home is the amount you are willing to invest in your project. Work often comes with unforeseen events. It is therefore essential to also plan a financial cushion.
In order to properly plan your budget, find out about financing options for your renovations such as programs and grants, an addition to your mortgage, a personal loan, etc.
Make sure you are mentally ready
Buying a house to renovate requires an investment in money, but also in time and effort. Before embarking on such a project, define your expectations, your limits and your vision in relation to the work to be done.
- Are you ready to commit to renovating a home alongside your job and other daily obligations?
- Will you be comfortable living in a construction site or some discomfort for months or even years?
- Are you prepared to deal with unforeseen events that could delay or make the project more expensive?
It is from a concrete and realistic idea of the time, effort and money that you are ready to invest that you will be able to find the house and the ideal renovation project for you.
Be accompanied by a real estate broker
A broker offers you his expertise and access to his network to find the ideal property according to your situation. He will know how to ask the right questions and obtain as much information as possible to ensure that you avoid any unpleasant surprises.
Proceed with a home inspection
The purpose of a building inspection is to assess the condition of the property. It allows you to identify potential work or complications that could influence your renovation project. The inspection therefore ensures that you have a more comprehensive idea of the work to be planned.
Consider the resale value of the property
Whether you want to live in your new home for five years or for the rest of your life, you should always evaluate your renovations based on resale value.
Not every renovation increases the value of a property. Some work can be expensive and add no financial value or perceived value to potential buyers. Prioritize those that bring real value to the property. We are thinking in particular of the kitchen, the bathrooms, the roof, the basement or energy efficiency.
In short, find a balance between renovations that will improve your comfort and those that will increase the value of your property.
Ready to start your buying process? Contact one of our real estate brokers now to guide you from the first steps.