Most people want a house that is move-in ready, but there is a group of people who are ready for the challenge a fixer-upper presents. Adventurers, such as yourself, who are ready to dive into a major fixer-upper project will have to be ready to work. Yes, you are getting a major discount because you are buying a house that is not ready, but you also get to make this house your own. The following are five steps you can use to ensure your renovation ideas bring this old house into a new phase.
In the Beginning
If you want to become a successful real estate expert, you should consider signing up for the Rules of Renovation program. This can help you get started with flipping and selling houses on the open market. With that said, it is easy to believe that a home renovation is all about adding flourishes to help bring an old house to the standards you expect today, but that is not the case. An effective renovation starts with a thorough inspection. Experts will tell you that it is vital that you do not go cheap when it comes to a home inspection. The report can be used to make sure the foundation of this old house is brought up to today’s standards. You can safely continue to renovate the fixer-upper, knowing the foundations have been addressed.
Crunch Those Numbers
Sure, you may have budgeted a project before, but budgeting for a fixer-upper is a whole other ballgame. You need to make sure you are ready to crunch those numbers and then add 10 percent of additional revenue for unexpected expenses. Now, some home renovators will likely suggest a bigger nest of additional cash, something like 20 percent of the total amount you think you are going to need to renovate your home. Unexpected expenses could come in many forms, from an issue that was not seen during the inspection to mistakes made during the renovation.
Make It Official
Some people cannot wait to get started, and this impatience gets them in trouble. You do not want to be in that boat, so make sure you get the permits and licenses needed for your particular renovations. The best way to do this is to have your contractor check with the municipalities that need to be contacted about the changes in your home. Keep in mind that you risk having to redo all the changes you have made if city municipalities inspect your home and see violations. You are going to have to pay out-of-pocket for those changes.
Find a Contractor
You have all your wishes written down, but now you need the right person to bring some of your wishes to life. Making sure you get the house you are hoping for requires the help of the right contractor. This means searching for one needs to be taken seriously. Choosing the first one you meet is not a good idea because more choices could mean a more effective contractor. Choosing between one contractor and another is not all about money either. You also have to feel comfortable enough to talk to him or her about your wishes.
Insurance Touch
Be sure to talk to your insurance company. You need to make sure that the renovations you are intending on performing are properly covered. The reason you are doing this is to minimize the risks you are taking while renovating. Be sure to talk to your insurance after the renovations have been completed to make sure the insurance you have adequately covers your home with the new additions. This might cost a bit more than you anticipated, but it is simply better to be safe than sorry.
Hopefully, some of these points help you renovate your home without any setbacks. There is no guarantee, as mentioned earlier, which is why you are doing your best to prepare for this undertaking, but you are being wise. Be sure to talk to a home renovator to get additional tips because you need all the help you can get.
