The Perks of Buying a Fixer-Upper in Massachusetts or Connecticut

The Perks of Buying a Fixer-Upper in Massachusetts or Connecticut

There’s no denying affordability is tough right now, especially in competitive markets like Massachusetts and Connecticut. But that doesn’t mean you have to put your plans to buy a home on the back burner.

If you’re willing to roll up your sleeves (or hire someone who will), buying a house that needs some work could open the door to homeownership in MA or CT. Here’s everything you need to know so you can decide if this is the right move for you.

What’s a Fixer-Upper?

A fixer-upper is a home that’s livable but requires some renovations. Think cosmetic updates like wallpaper removal and new flooring or more extensive repairs like replacing a roof or updating plumbing. In the competitive MA and CT markets, fixer-uppers can be a great way to enter the market.

While fixer-uppers need a little TLC, here’s why they may be worth considering, especially right now:

• They Usually Have a Lower Price Point: Because of the repairs involved, these homes are usually less expensive up front than move-in-ready options. This can be especially helpful in high-priced areas of MA and CT.
• Less Competition: When you’re ready to make an offer, you’re less likely to deal with competition from other buyers who are focused on move-in-ready homes. This can be a huge advantage in the often-competitive real estate markets of MA and CT.
• Build Equity Faster: From choosing how to redo the floors to picking which cabinets you want in the kitchen, a fixer-upper allows you to design a space that fits your needs and style. And with smart renovations, you can increase your home’s value faster and potentially see a big return on your investment, especially in desirable MA and CT towns.

As The Mortgage Reports notes:

“If you’re a house hunter who’s not afraid of sweat equity, buying a fixer-upper could be your ticket to homeownership. Doing so could lead to big savings, even in some of the nation’s largest and most popular housing markets. Plus, adding the right features could help your investment.”  

What To Know About Buying a Fixer-Upper in MA or CT

The possibilities that come with a fixer-upper are exciting, but there are a few things to think about first, specifically in the context of MA and CT:

• Do You Have a Gameplan? Consider if you have the time, skills, or budget to tackle renovations. Be honest about what you can handle yourself, what you’ll need to hire out, and if a fixer-upper is truly a good fit for your lifestyle. Remember, you’ll likely be living in a construction zone at least for a little while. Consider the availability of contractors in your area of MA or CT.
• Prioritize the Repairs and Upgrades: Don’t stress yourself out thinking you’ve got to do all the work up front. Space out renovations over time in a way that makes sense for your budget and what’s most important to tackle first.
• Location Matters: You want the money you’re spending to fix up a house to be worth the investment. So, make sure the home is in an area with increasing home values and amenities locals love, like parks and restaurants. Research specific towns in MA and CT that fit this criteria. Look at school districts if applicable.
• Get a Home Inspection: Hiring an inspector to do a thorough inspection before you buy is a must. What they find will help you understand what needs to be updated, renovation costs, and if it’s a project you want to take on. This is crucial in older homes common in MA and CT. Link to local home inspector in MA Link to local home inspector in CT
• Budget for Surprises: Renovations rarely go as planned. So, be sure to set aside extra money to cover things like extended repair timelines, an increase in the cost of materials, or other unknowns that may come up. Factor in potential higher costs for labor and materials in MA and CT.
• Talk to a Lender About Financing Options: There are some renovation mortgages designed for homes that need a little work. But they may have requirements like spending and timeline limits, so talk to a trusted lender to understand the fine print. Link to local lender in MA Link to local lender in CT

Bottom Line

Fixer-uppers aren’t for everyone, but if you’re open to doing a bit of work, they can be a great way to overcome today’s affordability hurdles and find something in your budget, especially in MA and CT. With the right mindset and careful planning, you could turn a less-than-perfect house into the perfect home for you.

So, if you’re considering taking the plunge, talk to a real estate agent about finding a fixer-upper that fits your budget and goals in MA or CT.