There is an old saying that when it comes to buying a property, the most sensible option is to ‘Buy the worst house on the best street’.
There is a lot of truth in this. If you make a considered choice to purchase and renovate a run-down property within a good location, you could potentially stand to make a decent return on investment.
But what makes a good location, and what key things should you consider before embarking on a renovation project? Read on as the property experts at Revere Contracts reveal all…
Location, location, location
The location of a property can have a huge impact on whether or not your time living there is enjoyable, or whether or not it ends up being a profitable investment. Of course, every homebuyer will have their own wishlist and priorities when it comes to deciding what makes a good location. Things such as:
Access to local amenities
Nearby green space
The aesthetics of the local architecture and surrounding area
Proximity to busy roads and traffic noise
How much of a ‘buzz’ the area has
Sense of community spirit
The benefits of buying the ‘worst’ house
There are many positive sides to buying a property that needs work. For a start, many buyers may be put off at the thought of having to do extensive renovation work, which means less competition when it comes to purchasing a fixer-upper property. This is a particularly big plus-point given the current market where properties are selling extremely quickly.
The current market is also seeing many properties selling for a significant amount over the Home Report value. You may be able to negotiate a good price for a property that requires extensive work.
Finally, a property that needs renovating throughout effectively provides you with a blank canvas. We recently worked with a homeowner who had moved into a property where the kitchen hasn’t been to her taste, however she couldn’t bring herself to replace it as it was relatively new, in good condition and worth a lot of money. A house that needs to be completely gutted enables you to start from scratch, put your own stamp on things, and make it truly yours.
Things to consider before purchasing the worst house on the best street
Taking on a renovation project is a big commitment in terms of money, time and effort. So before you snap up a doer-upper, ask yourself these key questions:
How big is the project? Is it just a case of modernising the house with a décor update? Or is it a full-scale renovation involving structural work such as knocking down and adding an extension?
Check the Home Report for information on any major issues that may need addressed ASAP, for example damp, subsidence, or drainage issues.
Have any of the neighbours done similar work? If so, it may be worth having a conversation with them about planning permission and possibilities.
What is the ceiling price for properties in the area? Will your renovations add value to the property?
Do you have the budget to complete the renovation? Does it all need to be done at once, or could you break up the project into phases?
Do you have the time to commit to a renovation project? Even if you hire a Project Manager, you will still be required to make countless decisions.
Do you have somewhere else you can live whilst the renovation is being completed, or do you plan to live in the property during the work?
Are there any planning restrictions that may limit what you are allowed to do to the property?
Want to talk?
If you are currently planning a renovation project, call Revere Contracts on 0345 241 7010 or drop us a message via http://www.revere-contracts.co.uk/contact to arrange your free quote. With our knowledge, expertise and experience, we can transform the ‘worst house’ into the best!