A fixer-upper could be a way to buy a good house in a competitive market — or it could be a maddening money pit.
The key is assessing what skills you have and what skills you are going to have to hire.
That means you are going to have to see your house as a project, determining what repairs must be made immediately and who is going to do the work.
Before you buy, you should have an idea about the structural integrity of the home, according to author Mike Rowe. Know the condition of the structure's foundation and building frame.
The roof condition is crucial since a roof with leaks will further deteriorate the structure. It's also a high-ticket item so, if it needs to be replaced, you should have the financing in place.
Electrical, plumbing and heating are top priorities, too.
The best candidate to buy a fixer-upper is someone who has the skills to do some of the needed work. You might want to hire professionals for plumbing, electricity, and the roof. But you should be able to do some jobs yourself.
Consider what time you have available. If you are living in the home as you fix it, be prepared to live under construction for a while. If you have to juggle work and repairs at the same time, be prepared to commit most of your free time to the project.
Have a list of trusted professionals who you can hire.
