Custom-built or Fixer-upper?
March 4, 2010 · Written by Brock Dunda · Filed under News

There’s been a lot of talk about what might be better when choosing either to custom build your home vs. fix an existing home. Between the two, here’s some pros and cons, so, lets explore them!

Custom Built Homes

Pros:

1. Your own unique “stamp” on where you live and how you live. The ability to step back and say, “this is how I wanted it.”
2. Endless potential to design from the ground up.
3. Everything in in the home is usually brand new.
4. Customize not only the interior, but the exterior as well as the landscaping.
5. Build directly for your budget and needs.

Cons:

1. Time. Building a custom home can take months of planning and 3 – 4 months of construction.
2. In some instances and locations, building a home can be more costly. Hiring an architect to draft plans can be spendy.
3. The cost of new appliances and other household needs can be spendy as well. Despite the fact that they’ll last awhile, the initial monetary setback can be difficult to accommodate.
4. Too many choices to make. If you’re the type of person who can make the hundreds of decisions on a “from the ground up” design then this might not be a con. For most of us though, the number of decisions to make can be overwhelming.
5. People can make mistakes. A mismeasured angle can cost you at the least time, and at the most, more money.

Fixer-Uppers

Pros:

1. Structure is already there. You have the tracings on the canvas done, now you just have to have the time and money to mold it how you picture it in your mind.
2. You can sometimes move in and make the changes/repairs gradually over time.
3. Sometimes less expensive. Fixer-uppers can be less expensive to get into as the sellers realize that the home or property needs some serious TLC. However, hidden problems that might be missed could cost you later.
4. A fixer-upper in a good location is a great pro. Whereas with a custom built new house, you need to find some vacant land to build on.
5. You can work at your own pace. The point of the fixer is that you can usually “do it yourself”. Having the freedom to put your efforts into something you care about means you can ensure you’re involved in every step of the modification.

Cons:

1. Unless you know ALL the facts and everything about the property, there’s always the chance that something can go wrong, fixers can be costly.
2. Fixer’s can be time consuming. Usually, when you invest in a fixer, you are often the one that will be doing the work to restore or modify it. For those who have little experience, remodeling/restoring/fixing up a home for the first time can be a tough learning experience. These projects aren’t for the faint of heart.
3. Fixer’s can be overwhelming. Unless you plan to hire someone to do the work, doing it yourself can be exhausting and overwhelming. This could generate some resentment towards your investment.
4. It can be hard work. Most likely you’ll have another job that requires 8 or more hours of your attention per day and it might be hard to motivate yourself to get home and start work again.
5. Possibility of injury. Working closely with any tools or anything of that nature, there’s always the chance of injury.

Summary

It all comes down to what you want to do, and what you think you can handle. Before you consider building new, or remodeling/buying a fixer-upper, weigh what makes more sense. Try to estimate the time-frame you’re looking at, gauge your funds, and understand what it is you really want to accomplish.

Here are some questions you can ask yourself to help you decide:

• Can you handle the decisions associated with building new?
• Can you handle working every day on your fixer-upper?
• How much time do you have?
• What location do I want to be in?
• How can I accomplish the work?
• Who will decide?
• How will we decide what I/we want in my home?
• What matters to me? Do I want brand new or do I want to do everything myself?
• How much space do I need?

Again, it comes down to what you are looking for in a home. Remember the three tenants of real estate. Location, location, location.  Happy house hunting! Feel free to contact us if you’d help or information on real estate in your area, and don’t hesitate to ask us questions.