Buy a fixer-upper and do the repairs
In this market I run across a lot of homes that require remodeling just to make them habitable again. In most cases these repairs would have to be made to qualify for the loan and if it’s a FHA loan then these repairs are mandatory prior to closing. These homes can need as little as a paint and few touch-ups all the way to major repairs.
Unfortunately a lot of this damage was caused by the sellers on the way out of the home. They take ceiling fans, plate covers, dishwashers, sometimes they kick holes in the walls and worse. So how do you find and buy one of these “gems” that need a little work?
First you need an agent that understands how to properly estimate a purchase price based on the repairs. You certainly don’t want to hire a “newbie” that hasn’t had the experience to make these estimations. Once you have the proper agent you need a loan officer that offers the correct programs that would allow you to buy the home.
In my 16 years I’ve helped a lot of people purchase these types of homes. One thing we would do first is connect you with loan companies that deal in 203k FHA loans. With this loan you can borrow the purchase price as well as the cost to make the repairs all in one easy to obtain loan. Basically this loan is based on the value of the home after the repairs are made so it’s easy to match the final price with the final value.
Feel free to call me for more information on how I can help you when buying a fixer-upper. These homes can usually be bought a greatly reduced price and help you build equity right from the beginning.
