Things to think about before buying a "fixer"

There is a home for just about anyone.  You can purchase a resale home in an established neighborhood, buy raw land and have a custom-built home or select new construction in a brand-new development. 

There are also "fixers." And while some buyers wouldn't dream of tackling a major remodeling job, others love the fact that with imagination and plenty of elbow grease they can convert a tired home with "good bones" into the home of their dreams.  

All houses are different, but here are some guidelines to help you find a fixer with good potential: 

• Look for a house that is structurally sound and requires only cosmetic changes
• Have the home inspected to help you pinpoint mechanical, structural, or system upgrades that may be necessary. 
• Ask yourself if the neighborhood can support the improvements you want or need to make.  In other words, will you be able eventually to recover the value of your investment in time and fix-up costs? 
• Consider whether the existing home is worth a fix-up.  In areas where building lots are scarce, the value may be in the land.  Then youor best course may be tearing down the old structure and  rebuilding. 
• Think about who will do the work.  Can you do much of it or will you hire to have it done? How much time do you have? 
• Determine how you will finance both the home and the cost of repairs.