You’ve been pre-approved for a mortgage, now the fun begins…the property search! With so many different property types to choose from, it’s hard to know what is going to be the best choice for you and your family.
A common question a lot of buyers are deciding between these days is whether to spend more cash on a renovated property and slug out the massive mortgage, or to buy a property which needs renovating and risk never actually renovating it! It’s a real reality trust us!
As with any decision, breaking it down to the pros and cons of each side will help you see which option is best for you. Let’s look at the pros and cons…
Location – The old saying location, location, location is a must to consider when looking at an un-renovated home. It may be the worst home, run down and in need of some serious TLC, but if it’s in a great street in a well-established suburb and your mortgage allows for extra cash for the renovations then why not! Of course it can work in the other way too, do you really want to be buying a gorgeous renovated home in a dodgy neighbourhood?
First impressions DON’T count – First impressions count for most things, but its one thing you need to look past when looking for an un-renovated home. Mission brown tiles, green carpet and a terrible paint job are all cosmetic things that can easily be changed and at a reasonable cost too, if you do your research right.
Budget – Obviously the biggest question which should be asked…does your budget allow for renovations? And more importantly, will you stick to your budget? If it does then that’s great news you can start designing your new home exactly how you have always wanted it to be. But if not…it’s definitely time to re-evaluate.
ALWAYS check the contract – What would you do if you spent hundreds and thousands of dollars renovating your home only to be told by your local council that it hasn’t been approved, not legal and therefore needs to be changed! It may seem a bit over the top but trust us it happens and it’s not a pretty situation! Always check the contract of sale for anything that may affect your renovations. If you are in doubt, seek the assistance of a conveyancer to go through the contract with a fine tooth comb to ensure nothing has been missed.
Renovating certainly isn’t for the faint hearted, it’s a lot of hard work physically, emotionally and financially but then again so is buying a high priced renovated home! Lots to consider, but more importantly do your research!