Factors to keep in mind before purchasing a fix-me-upper
Category News
The idea of renovating a property to your own tastes and standards may seem romantic, but there are many things to consider before embarking on such a journey.
Steve van Wyk, MD for Seeff Centurion, offers some advice:
- Firstly it is important to know that there is a difference between restoration and renovation. While restoration refers to restoring the home or parts of the home to its original state, renovation refers to replacing the old with the new. While both these processes require significant financial investment, restoration is more expensive, time consuming and frustrating as it is not always possible to restore 100% authentically.
- Does the home you have purchased lend itself to being renovated? Homes that are falling apart will be more difficult, expensive and time consuming to renovate. Also keep factors like the floor lay-out and location of water pipes in mind before making up your mind about renovation.
- When renovating, try your best not to make changes to any of the water points, because the moment you do, you stand the chance of causing plumbing issues which could be difficult and expensive to resolve. Water points include toilets, sinks and points for the washing machine and dishwasher.
- Consider whether you will be able to afford the purchase price of the home together with all the renovation costs. If not it may be wise to consider investing into a turn-key property.
- Be extremely careful not to overcapitalise or to renovate a home in an area that is not really known for boasting renovated homes. If renovating has become a trend in an area, it is safer to renovate because there is obviously a demand for that type of property.
- You might need to live somewhere else while your home is being renovated. Do you have alternative plans and will you be able to afford it?
- Think long term – are the renovations you have in mind going to be expensive to maintain on the long run? If so, seriously reconsider. Beautiful white carpets may sound like a great idea now, but the cleaning costs may be difficult to maintain.
- Do proper homework regarding all the service providers that are going to be involved with the renovation.
- Draw up a budget and stick to it. Keep all costs to a minimum and realise that good planning and using the right contractors can be vital in achieving your end goal.
Author: Seeff
Beyond your expectation