Should I Buy a Fixer-Upper? What Homebuyers in Gig Harbor Need to Know
Finding your dream home — only to discover it needs major repairs — can feel overwhelming. Before you walk away, here’s what you need to know about buying a fixer-upper and how to decide if it’s worth the investment.
What to Do If Your Dream Home Has a Major Defect
Get Multiple Contractor Bids
First, I would highly recommend getting 2-3 bids from local contractors to find out how much it will actually cost to replace the roof. You can exercise your “five days for additional inspections” if you need time to get roofers out to bid the project. Unless you waived this option, this is already baked into your inspection contingency.
Use Your Inspection Contingency to Protect Yourself
It might be tempting to just let your inspector or real estate agent ballpark potential costs for you, but don’t. You should get actual quotes so you have the knowledge you need to make an informed decision. This may also help with presenting your requests to the seller’s agent and in your negotiations with the seller for the repair costs.
The inspection process allows you to make a request, so I recommend asking for a new roof in your inspection response and perhaps you will be able to get that covered by the seller. The seller can respond to your request, and then the ball is in your court for you to respond.
How to Negotiate Repairs with the Seller
Asking for Repairs or Credits
If the sellers decline your request in the end you can either decide to take on this project armed with the quotes you obtained, or if it is beyond your scope of work you can terminate the contract based on the inspection findings.
NOTE: Since time can be an issue, one alternative to the seller replacing the roof before closing is they could offer a closing cost credit so you can keep more money in your pocket at closing and use those funds to pay for the roof.
Alternatives if Sellers Won’t Pay for Repairs
If the sellers are tight on cash, a second option could be for the sellers to find a roofer that will allow them to pay for the roof replacement costs out of the proceeds of escrow when the home closes.
Buying in a Seller’s Market: How to Handle Fixer-Uppers
But what if you are buying in a seller’s market, and you are in a situation where the seller is NOT going to do anything. Do you give up your dream home because of the roof? If you are in a position where you are going to have to write an offer with NO inspection, please get a pre-inspection prior to submitting your offer. You can do an inspection for major items only, such as the attic, roof, crawl space, plumbing, electrical, furnace, and hot water heater. If you find that the house is SO good, but the roof needs to be fixed, have your inspector take as many photos as possible so you can provide them to a roofer. (This is why having a local real estate agent is key, as they’ll have a roofer on speed dial who can help you with a quote in a pinch.) Do your best to get a quote so you know if you want to take this project on, as other buyers might waive an inspection and take the house as-is.
Final Advice for Buyers Considering a Fixer-Upper
So where does this leave us? If you can afford to replace the roof and understand the scope of the project to feel comfortable taking it on, then it is worth buying the home. Roof replacements are technically pretty easy and straightforward—there are not a whole lot of hidden surprises in fees, so if you can get one or two quotes and you feel good about getting the work done it usually doesn’t mess with your move-in timeline and actually living in the home (unless you have an active leak in the ceiling—then you might have a bigger issue).
A lot of these tasks related to shopping for a home involve making decisions quickly in the current market. That’s why hiring a full-time local real estate expert who is connected to industry vendors and contractors will be crucial to getting the answers you need at the last minute. The most informed buyers will win the home and be best protected.
I hope this is helpful for any buyers out there who are currently on the quest for their dream house. If you are interested in more advice when it comes to buying a home, be sure to check out my other articles on my blog.
Key Takeaways
Always get at least two to three contractor bids before making a decision.
Use your inspection contingency to negotiate necessary repairs or a closing cost credit.
Buying in a seller’s market requires fast, informed decisions.
Fixer-uppers can be smart investments if you understand the real costs and timelines.
Paige Schulte, top real estate agent in Gig Harbor and your neighborhood expert, has all you need to know about our wonderful community. Visit Paige’s Gig to learn more.
Ready to find your dream home — fixer-upper or move-in ready? Contact Paige Schulte and her expert team today to start your search with confidence and local expertise.