Published on Sunday, 17 January 2010
Sometimes, buying a house that is not in perfect condition, and then renovating it can save money. However this is possible, and feasible only with the right calculations, and the following tips. 1. Find out if it's profitable renovating the house, and selling it. Make calculations based on the cost of the house, renovations and other fees. Only if this sum is lower than the expected selling price of the house is it worth it. 2. It's better renting than moving into a house that's a complete wreck. 3. Make sure you consult professionals like a surveyor and an architect about the feasibility of the project. Surveyors will not only give the property a ‘once over' but may also advise someone specialising in refurbishment. 4. Though architects charge high fees, they can help ensure your project gets completed on time. They also stick to your budget. 5. It's better to get trades people like plumbers and electricians to first give you a quotation before you give them an offer for the work. You can thus make negotiations to get the rate that sticks to your budget. 6. Make sure you discuss your project with lenders at the start of the project as some lenders cap loans for less than perfect properties. 7. Always leave a margin for error and unexpected increase in costs whilst budgeting.
