Posted by Brad Speniel | May 24, 2015 at 6:18 pm
ESTIMATED READING TIME: 3 minutes
I have previously talked about the benefits of making a house into your dream home with
home renovations. But when considering investing in renovations, you want to make sure you are taking on a project that will be worth it in the end. Before you decide to buy that fixer-upper you have your eye on, consider these tips to ensure it is the right house for you and that the planned renovations will prove profitable in the end.
Consult a real estate agent to find out more about the neighbourhood
The real estate history — that is, recent sales, pricing, etc. — of a neighbourhood will tell you if investing in this fixer-upper is worth your time and money. Your agent can advise you on community news, including property development, environmental projects and other factors that will have positive and negative effects on your home’s resale value.
Posted by Brad Speniel | May 22, 2015 at 1:22 pm
ESTIMATED READING TIME: 1 minute
Many homebuyers looking at older properties find themselves in a common predicament: they’ve found a property that suits them, but it needs some costly and immediate upgrades.
Many buyers add the costs of those immediate home renovations into their mortgage, instead of racking up credit card bills or selling investments to pay for the upgrades. Known as a “purchase plus improvements” mortgage, this type of mortgage covers the sale price of the home, plus any renovations that would increase the value of the property, with as little as 5 per cent down.
If you’re buying a home but want to add a second story, finish a basement or redo a kitchen, it can make a lot of sense to add those costs to your mortgage. That way you can spread your payments over the life of the mortgage and have a cost-effective way to get your dream home. You can also use your pre-payment privileges to pay the renovation off faster. The process is actually quite simple: