The fixer upper has been sitting on the market for over a year. Price reductions seem to make the house very attractive. How do buyers determine whether cosmetic fixes or a rehab are in order and within their budget?
A thorough building inspection is necessary. Once you have firm knowledge of any issues with the home, do homework on costs to fix. Often expenses associated with inspection issues can be negotiated with the seller. Get a professional! Have a general contractor do a comprehensive analysis of the inspection report and include a list of what you would want changed and updated - then generate a budget.
Making a Cost-Effective Home Improvement Plan
Rehab vs. cosmetic updates -- painting and floor refinishing are easy and inexpensive. Replacing a furnace, shoring up a bad floor, or moving walls is not. Things like running new plumbing, updating from fuses to breakers in the electric box, or changing a bedroom to a first-floor laundry is not. Think about the task at hand and commitment required.
Bringing a home back to life can be a rewarding experience.