Frugal Real Estate Tips:How to Save & Make Money by Buying a House to Renovate




There are numerous homes which are currently on the market that need serious work done to them before they will be habitable. If you ever dreamt of owning a fixer-upper of a house, you are in luck, since these days there is no shortage of them out there. You will be pleased with the benefits you experience by owning a home that you plan on renovating.

One of these benefits is that you will almost certainly save money when you buy such a property. That is because the property value is based heavily on the appearance of the house, as well as if it is complete, or does not require repairs or replacement of anything large. Buying a fixer-upper home means that the money you put in will be an investment in the long run, because if you turn around and sell it you will you should be able to ask for a bit more than what you paid for the house.

Another benefit is that you can use it as a rental home, or just rent out an apartment (or more than one). For instance, putting in new floors, a beautiful deck, and other attractive features will make prospective renters more willing to pay higher rent than otherwise. Then, you can turn around and use this money for taxes and your mortgage payments. You may even be able to pocket a little extra money beyond your payments.

When you purchase a house that you will renovate, you have the additional benefit of being able to customize it, so that it truly can be your dream home. It is so much easier to customize it, if the house is unfinished or in need of repairs. If you are willing and able to put the time and effort in to this project, the rewards will be amazing.

It is easy for many people to become discouraged when thinking about the cost of supplies, tools, and appliances for the renovation. However, it often balances out or ends up still costing less than if you had purchased a house that was in move-in condition. Also, there are one time renovation loans that are offered by many lenders. Use your resourcefulness and savvy to acquire such a loan, and soon you will be on your way to having your own perfect home for yourself or as a rental. Contact Jensen and Company Real Estate for information and assistance with locating a home to renovate.

Photo above is used under creative commons license.  Credit.

About the Author Agnes Embile Jimenez


Agnes is a full-time online freelancer. She's currently doing the things she loves while maintaining a frugal lifestyle. This blog is all about her struggles to live a frugal life, her quest to see the world via budget traveling, and her love to share to other people (via blogging) everything that she is passionate about.

Agnes does not absolutely conform to any beliefs or philosophies. Though she's writing about frugal living and is currently embracing the minimalist lifestyle, she doesn't want to define her existence based on these realities alone. For her, life is too diverse, too colorful, too mysterious. It would be a waste of experience (and time) to imprison herself to a few set of ideas. Google+ | Twitter

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One Response to Frugal Real Estate Tips:How to Save & Make Money by Buying a House to Renovate

  1. Terry says:

    I think its really an excellent idea to save our money in the long run. I was thinking about this but got clearer picture after i read this article. Thank you sharing this wonderful post.

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