Is buying a fixer-upper for you?
It’s a first-time homebuyer’s dream: Snag a rundown house in a terrific neighborhood, and then revamp it to your heart’s content.
In an era of historically low mortgage rates, now may seem like the perfect time to purchase an investment property. Purchasing a fixer-upper for a low price and building equity as you renovate to re-sell at a profit is a great idea, but it isn't for everyone. This article from the Financial Post lists some points to keep in mind before taking the plunge.
First and foremost, ensure the home undergoes an inspection. You need to have a clear understanding of exactly how much work has to go into the property before purchasing it, so you know how much money, labour and time you will need to invest. In addition to a detailed budget, you will need to know how many years you plan to commit to the property. If you don't see yourself staying for an extended period of time, it may not be for you.
Once your plan is in place, buying a fixer-upper can benefit you greatly. Upgrades to popular selling features like the kitchen and bathroom can be easy ways to add value to the home. In addition, you have the freedom to personalize the property however you wish. The possibilities are endless. To find out if an investment property is right for you, contact an Ottawa Mortgage Broker.
Click here to read the full article from the Financial Post.