Considering buying a fixer-upper (håndværkertilbud, literally a "tradesman's offer")? A fixer-upper offers many opportunities – but also a number of limitations. It's important that you know all the pitfalls of buying a fixer-upper before you buy one.
Get much wiser here – or get advice and help from a buyer's advisor who can help you through the entire purchase process.
What is a fixer-upper? A fixer-upper is a term used to describe a home that needs some loving care. It has previously been used as a somewhat disparaging term, but a fixer-upper can hold plenty of possibilities. Some choose to tear the home down completely to build new on the plot - but many choose to renovate the house. If the house is very dilapidated and will cost far too much money to renovate, then it may be a good idea to demolish it.
Pros and cons of a fixer-upper There can be both opportunities and limitations with a fixer-upper - in particular, there are many things you need to be aware of before diving into one.
Pros of a fixer-upper:
- With a fixer-upper you get the chance to put your own personal stamp on the home - without having to build new. You should especially consider buying a fixer-upper if you have experience or skills in the trades yourself - and want to build or shape your dream home yourself.
- A fixer-upper is significantly cheaper than a move-in-ready home
Cons of a fixer-upper:
- It can take a long time to transform your fixer-upper into a dream home. And there can be a number of unforeseen costs you may run into along the way.
- A fixer-upper can turn into a rather expensive affair - so you shouldn't invest in a fixer-upper if you want to save money.
- With a fixer-upper it's not certain that the owner-change insurance (ejerskifteforsikring) will provide cover if there are many remarks in the condition report.
Set a budget before you buy a fixer-upper Before you buy a fixer-upper, it's important that you set a realistic budget for the renovation - before entering into a binding deal. That's why you should make use of professional advice - among other things by having the property reviewed by a building surveyor.
This way you can quickly get an overview of what needs fixing, the expected costs, and any estimates. It's also important that you have a buyer's advisor on your side who can help you negotiate exactly the right offer - based on the defects and deficiencies found in the home.
Book a buyer's advisor here.
Get help from a legal advisor at Bomae
With a fixer-upper it's important that you make use of a legal advisor who can help you navigate the legal aspects - and who can hold your hand and advise you on everything you should be aware of in the purchase process.
Fill out the contact form so we can have a chat about how we can help you with buying and financing your home.
