New Home or Fixer Upper? Which is Better
When fixing fixer upper homes for sale in California, its usually best to invest in the necessary renovations first. These necessities include pest exterminations, plumbing, electric wiring and other aspects of the home that may pose danger to health and safety. After you have addressed these issues, you can then proceed to improving the appearance of the house. Painting, garden landscaping and furniture refurbishing are some of the things you can do to make the home look good as new.
Another reason is that you have the choices of real estate. Various kinds of affordable properties are now selling across the country. The recession has led to an increase in the number of properties repossessed by banks. These are known as REOs or real estate owned properties. REOs are decent enough to become your first home. A lot of mortgage payers are also considering letting go of their property because of the tougher times. Fixer upper homes, also known as handyman specials, are very economical. These are properties that need repair and are a prime commodity for rehabbers and wholesalers.
There is a good reason why investors love fixer uppers for sale and this is largely because of the fact that they provide the buyer and investor the opportunity to invest for a minimum amount but with very big financial returns. Fixer upper homes are known for their rock bottom prices, partly owing to their condition. This means that some of these homes may be in some state that needs repairs and fixings. Others, however, will not take more than a few cosmetic fixes. In the end, it all depends on how adept you are at finding the right property to flip.
ADVANTAGES OF FIXER UPPER HOMES: You can buy these homes at a much lower price and discounts. This is a great option if you have limited funding for a home purchase. A fixer and upper home in a good location will guarantee ample income for you. You are assured of a more profitable investment if it is situated in an area with a high market value. This type of home already has a lot of charm and character such as bay and sash windows, fireplaces and wooden floors that makes it more attractive. Most of these homes are located in a well-established area since it is old. You can determine the kind of neighbors and the community as a whole. Once you have fixed this home, it quickly rises in value and you can either have it rented or resell it at a profit.
House flipping involves buying cheap homes, turning them into beautiful, attractive properties and reselling them for a big profit. The key lies in choosing among fixer uppers for sale and finding the right property that bears the heaviest potential to give you the maximum profit. When searching for fixer upper homes to flip, you need to have specific criteria that will guide you in choosing the right home.
Today may be right time to purchase a home. This is partly because of the incentives that the government and several lenders are offering. Furthermore, you can find many cheap homes today. You might find it confusing to decide on what property to buy because of the various types of homes available. The usual issue is whether to buy a new or a fixer upper home.