If you've renovated a home, come in!

[jfh]

Some of the houses we're looking at need work, and I'm wondering how open we should be to renovating. Our neighborhood has a lot of older houses, and most of our friends who own have renovated, so we would have good contacts with contractors. Since I'm in between things at the moment, I could put time into a house right now. But is it a total nightmare?? We're looking at a house tonight that we've already seen once, and it needs some walls taken out, carpeting/linoleum removed and flooring put in, maybe a window or two added. Then little things like removing icky wallpaper, adding nicer fixtures, etc., which I would do myself. We're looking again tonight to see if any major systems (e.g. plumbing) need an overhaul, or if it's just design stuff. I would love to hear others' experiences!

[Deleted]

I would definitely do minor repairs like painting, flooring, replacing windows, counters, sinks etc. we have done things like that and enjoy it because you can pick what you really want.

I would only do major renovations like additions, complete bathroom redo, plumbing system repair, if I had a lot of cash on hand or if I could integrate the repair costs into a loan.

[jfh]

Jun 3, 2013 10:17:35 GMT -5 @lindy said:

I would definitely do minor repairs like painting, flooring, replacing windows, counters, sinks etc. we have done things like that and enjoy it because you can pick what you really want.

I would only do major renovations like additions, complete bathroom redo, plumbing system repair, if I had a lot of cash on hand or if I could integrate the repair costs into a loan.

This is what we're hoping to do. I don't know how it works here, but hopefully our realtor will have some insight. We don't have a lot of cash, so we're hoping to roll in a renovation loan. 

[dixeedeluxe]

Jun 3, 2013 10:20:31 GMT -5 jfh said:

Jun 3, 2013 10:17:35 GMT -5 @lindy said:

I would definitely do minor repairs like painting, flooring, replacing windows, counters, sinks etc. we have done things like that and enjoy it because you can pick what you really want.

I would only do major renovations like additions, complete bathroom redo, plumbing system repair, if I had a lot of cash on hand or if I could integrate the repair costs into a loan.

This is what we're hoping to do. I don't know how it works here, but hopefully our realtor will have some insight. We don't have a lot of cash, so we're hoping to roll in a renovation loan. 

You can only finance the cost of renovation if the house appraises for more than the asking price.  Unless it's a different kind of loan which I don't know anything about!

Our realtor did tell us we can have contractors come in for estimates BEFORE we submitted an offer. 

[Deleted]

If at all possible, I strongly recommend doing the major work before you move in.
Cosmetic upgrades - painting, wallpaper, lights, are no big deal.
Flooring is just a pain when you have furniture to move. If you want to do wood floors, you need to stay off them for a week or so.

Any actual construction can be as big of a deal as you want. A good contractor is very important, I would do a walk through with a contractor you trust (or multiple contractors) before you make ANY decisions. Something seemingly small can be like opening Pandora's box. If you are looking at removing bearing walls, make sure you/your contractor has a structural engineer - do not let them "design" for you. (says the structural engineer).

We went through as major of a remodel as you can do. I can answer any questions! It was awesome and I would do it again in a heartbeat. Your contractor/architect will make or break the project for you (if you are doing anything major an architect is so important).

[jfh]

Jun 3, 2013 10:24:26 GMT -5 dixeedeluxe said:

Jun 3, 2013 10:20:31 GMT -5 jfh said:

This is what we're hoping to do. I don't know how it works here, but hopefully our realtor will have some insight. We don't have a lot of cash, so we're hoping to roll in a renovation loan. 

You can only finance the cost of renovation if the house appraises for more than the asking price.  Unless it's a different kind of loan which I don't know anything about!

Our realtor did tell us we can have contractors come in for estimates BEFORE we submitted an offer. 

Hmmm, interesting. We suspect this house is overpriced so I doubt it would appraise for more than asking. Good to know about having the contractors coming in before making an offer. That makes a lot of sense. Thanks!

[Deleted]

Jun 3, 2013 10:20:31 GMT -5 jfh said:

Jun 3, 2013 10:17:35 GMT -5 @lindy said:

I would definitely do minor repairs like painting, flooring, replacing windows, counters, sinks etc. we have done things like that and enjoy it because you can pick what you really want.

I would only do major renovations like additions, complete bathroom redo, plumbing system repair, if I had a lot of cash on hand or if I could integrate the repair costs into a loan.

This is what we're hoping to do. I don't know how it works here, but hopefully our realtor will have some insight. We don't have a lot of cash, so we're hoping to roll in a renovation loan. 

I know construction loans are (were?) harder to get. We did this for our construction, but already owned the house outright, so we had a much higher collateral to start with and were therefore very low risk.
We had a line based on future appraisal, which then was confirmed after construction was finished. 

[Deleted]

Jun 3, 2013 10:32:07 GMT -5 @veronicasawyer said:

Jun 3, 2013 10:20:31 GMT -5 jfh said:

This is what we're hoping to do. I don't know how it works here, but hopefully our realtor will have some insight. We don't have a lot of cash, so we're hoping to roll in a renovation loan. 

I know construction loans are (were?) harder to get. We did this for our construction, but already owned the house outright, so we had a much higher collateral to start with and were therefore very low risk.
We had a line based on future appraisal, which then was confirmed after construction was finished. 

They are hard to get. They are harder some locations than other.

But basically if you submit a plan, say it will cost you $20,000, and they estimate it will raise the value of the house $15,000, you could go for a $15,000 loan if that makes sense.

[sno&2peas]

If the house has good bones (plumbing, heating, roof, foundation) I'd definitely consider it. I wouldn't mind dealing with new flooring, painting, updating kitchen, bath etc. Making it your own!

[helicase]

Our first house was a fixer-uper. Most of the work was done before we moved in (kitchen remodel, refinishing floors, new carpet, etc). Even after moving in, there was always something else to do, so the house was never "done". Needless to say, when we moved 5 years later, MH and I specifically looked for a house that was move in ready. I didn't want to have to go through the remodel process again. And, it is VERY hard to stay on budget.

If you are ambitious and like a lot of renovation-type work, go for it. But if I were to do it again, I wouldn't.

[raynes]

We've done basically a full gut of our house, and did it ourselves, slowly, while we lived in it. I cannot imagine doing things again this extreme with a kid/kids, at least not while we were living there, or on the schedule we did it. Living for months with only subfloor is annoying.

I do say it's worth it though. Especially if you can get the most head-achey things done before you move in.

[Deleted]

Jun 3, 2013 10:50:37 GMT -5 helicase said:

Our first house was a fixer-uper. Most of the work was done before we moved in (kitchen remodel, refinishing floors, new carpet, etc). Even after moving in, there was always something else to do, so the house was never "done". Needless to say, when we moved 5 years later, MH and I specifically looked for a house that was move in ready. I didn't want to have to go through the remodel process again. And, it is VERY hard to stay on budget.

If you are ambitious and like a lot of renovation-type work, go for it. But if I were to do it again, I wouldn't.

Truer words have never been spoken.

[vidalia]

The renovation projects we've done have always taken longer than we expected so I'd just keep that in mind as well. It is great when you have the finished product just the way you like it!