Is It A Good Idea To Buy A Fixer-Upper in Nanaimo?

Is It A Good Idea To Buy A Fixer-Upper in Nanaimo?

You’ve probably seen commercials on TV, or have read some things on the internet, or maybe even attended a free seminar about all the money that’s to be made in buying fixer-upper real estate.

If you’re thinking about buying a fixer-upper house inNanaimo, be sure to have a solid business plan in order, before you make an offer.

Here are a few things to consider when looking for that Nanaimo real estate deal:

1.  Home Inspection.  Have a good inspector lined up, preferably one who has some experience working with distressed real estate.

A fixer-upper home will have been neglected for quite some time, so there are going to be issues with the house that you won’t typically see in a normal re-sale house.  A good inspector who knows the fixer-upper product will know what to look for that other home inspections might miss.

2.  Repair Team.  Have reliable vendors in place before you make an offer.

Your home inspection will probably uncover things that need to be fixed, and because the house is on the market as a fixer-upper you likely won’t be able to ask the seller to fix them, so you’ll need to be able to accurately budget for any needed repairs.

3.  Financing.  Talk to a lender first.

Sometimes financing a home that needs a lot of repairs is difficult, or the lender will require more money down.  It’s important to know how much cash you’ll need to tie up in financing the house since this could take away from the funds that you’ve earmarked for needed repairs and improvements.

Buying a fixer-upper in Nanaimo is about a lot more than just price.  Only by running the numbers and considering all of the costs involved – then comparing your potential purchase to the other resale options on the market – will you be able to tell if your fixer-upper property is a good deal.