Move-In Ready Homes vs. Fixer-Uppers: Which Is Better for You?
Aug 16, 2022

Are you in the market for a new home? If so, are you considering buying a move-in ready home or a fixer-upper? Both have their pros and cons, so it can be tough to decide which is the better option for you. In this blog post, we will discuss the pros and cons of each so that you can make an informed decision.

When you are looking for a house, you have many things to consider, making you feel much stress. But there is one significant thing to consider: do you want a place you can move into right away or a house that you can fix up and customize to your liking? Of course, the question must also be accompanied by a budget for both cases. Choosing between move-in ready and repair houses can be challenging as each has its own unique set of pros and cons, which we’ll discuss in this article. Keep reading!

What is meant by a house that needs repairs?

A home described as a fixer-upper is generally habitable. Still, the property needs maintenance work, from redecorating to redesign to rebuilding. Every fixer-upper is different; some only need cosmetic updates. Others may have more severe issues like mold or structural flaws that you need to address immediately.

What does ready to move in mean?

When we refer to move-in ready, it means that the current state of the home or property is in a condition for immediate occupancy. Although, the term is more broadly used to describe a house that doesn’t need major renovations or cosmetic updates before you move in. Turnkey homes are more likely to have key features that many buyers seek, such as modern appliances and upgraded flooring. And elegant interior design.

Pros and cons of houses ready to move in

Before buying a move-in-ready home, consider some pros and cons.

Advantages

Immediate move-in: Buying a move-in ready home allows you to unpack your boxes and enjoy your home faster.

Fewer surprises: After the proper inspections, you can expect fewer surprises, like a septic tank problem or foundation problem that will cost you a fortune.

Stick to your budget: Since these homes generally don’t need renovations, you won’t worry about going over budget during construction.

You may find it easier to qualify for a loan: Move-in-ready homes are generally considered a less risky investment than fixer-uppers by mortgage lenders.

Cons

More expensive: Move-in-ready homes are often more expensive than those that need repairs.

Limited Customization: Aside from interior design, there aren’t many opportunities to customize these homes to your liking.

Lots of competition: You may have a more challenging time buying a home due to high competition.

 

Pros and cons of fixer-upper homes

A fixer-upper can be an excellent option for some homebuyers. Below are some of the significant pros and cons of fixer-upper homes.

Pros

Better value: Fixer-uppers are often sold at a lower price than turnkey homes. If you have the time and money to invest in a fixer-upper, you can get a large house in a great neighborhood for a fraction of the cost.

You can personalize your home: A fixer-upper allows you to tailor your home to your personal needs and style.

Lower property taxes: Since property taxes are calculated on a property’s original purchase price, you’ll likely pay less in taxes when buying a fixer-upper than if you were to buy a home that you can move into immediately.

Investment opportunities: When done correctly, buying a fixer-upper and transforming it into a turnkey property can be a great investment opportunity for some homebuyers.

Cons

You may need temporary housing: You’ll have to find a temporary housing solution like moving in with family or finding a short-term rental property – which can be expensive.

Unknown problems: You never honestly know what you’re getting yourself into. During demolition, you may find significant issues like structural flaws, asbestos, mold, etc., that can quickly eat away at your budget.

High risk: Some mortgage lenders may see your home renovation as a risky investment. Because of this, they may choose not to finance your purchase, or you may have to use more expensive loan options.

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