Is buying a fixer-upper right for you? It can be a gratifying adventure (if you do your homework!). It’s certainly not for everyone; it takes time and commitment to see it through. There are pros and cons to a fixer-upper purchase. Going into it knowing what to expect will help set you up for success.

Pros of a Fixer-Upper House

You can customize. You can make your home specific to your needs, lifestyle, and tastes. You can hand-pick each part of your renovation from layout to finishings and flooring. Your home will truly feel like yours in the end!

Sense of reward. There’s something incredibly satisfying about building something with your own hands. (Even if you’re hiring people to do the work!) Making choices along the way and bringing your vision to life is rewarding once it‘s all complete. And comparing the before and after gives you a great sense of accomplishment!

It can be financially rewarding. Depending on your budget, how much you paid for the property, and how cost-conscious you are with our project, you can profit from all your hard work!

It can be an ‘in’ to great neighbourhoods. Depending on the city or area you are searching in, turnkey, ready-to-go properties can be challenging to find. This is especially true in older, more established neighbourhoods with limited space for new builds. If you have a spot like this in mind for your next home, you’ll have a better chance of finding a fixer-upper in need of little love!

Generally, a lower purchase price. Homes that need work usually sell for less than newer, ready-to-go properties. Starting with a fixer-upper if you are a first-time home buyer can be a great way to get into the market, just be sure you take the cost of necessary repairs and renovations into account.

You choose where your money goes. You control your budget and can decide where your money goes (once essential repairs are covered). While some repairs will take priority for safety reasons, you can choose where you’ll save and where you’ll splurge! What areas are a priority for you and your family? You may love to cook and want to spend the main portion of your budget designing a jaw-dropping kitchen. Or maybe you love being outside and will prioritize landscaping your yard.

You can take your time. As long as the changes you need to make are for aesthetics and not for safety, you can space it out. This helps with the budget because you space the work and save yourself time. It can also give you a break between projects, so you aren’t constantly living in a construction zone.

Cons of a Fixer Upper House

Renos are Expensive. Unless you are a talented DIY’er, you’ll be bringing in professionals to plan and execute your repairs and renovations. Depending on the scope of the work needed, these costs can add up quickly. Be sure to calculate these expenses into your overall budget.

Surprise problems can pop up. If you’ve ever been through a renovation, you know surprises can often happen! Sometimes in the middle of a job, unexpected issues arise that need to be taken care of. Getting experienced professionals on your side can ensure you’re as prepared as possible – but even they can’t predict the future. Adding a cushion to your budget, being flexible with timelines, and going into your renos expecting the unexpected makes those surprises easier to face.

A lot of time and energy are required. Even if you hire out all the work, you’ll still need to dedicate considerable time to your fixer-upper. You’ll make decisions, research options, meet with contractors, and oversee the project.

It causes upheaval in your home. Living in a construction zone is stressful and inconvenient. Unless you have somewhere to stay while your home is being renovated, you’ll be in a state of upheaval until everything is finished. Depending on your personality, lifestyle, and family, you may be excited about the adventure! But for some people, the thought of living amongst the chaos is enough to steer them towards a move-in ready property.

Budgeting can be a challenge. Even the pros can’t predict every little issue that may pop up, either with your specific project or the world & market in general. No one was expecting a global pandemic or the cost of lumber to skyrocket! Surprises make it challenging to create and stick to a realistic budget. Working with experienced professionals, staying flexible and giving yourself a cushion will help ensure you stay within your budget.

How to Successfully Navigate a Fixer-Upper

• Get professionals on your side from day one (research, ask around, and choose wisely)
• Work with a realtor who is experienced with renovations, who can give you solid advice about the home and neighbourhood.
• Do your homework. You want to rely on your professionals, but having basic knowledge will help protect your interests.
• Set your budget and be prepared to go over when surprises happen.
• Be prepared to take your time – don’t rush.
• Stay flexible and be willing to adapt.  
• Focus on the result and look at it as a labour of love!

Buying and renovating a fixer-upper can be rewarding. Whether you want to customize your dream home or flip a house for profit, the work, effort and cost can certainly pay off!

If you’re searching for a fixer-upper in the West GTA, we’re here to help.