Owning a home is a dream for many families. Fixing up an old residential property can help it come true while cutting down on costs. But how will you know whether it is a worthwhile investment or whether you’ll sink too much money into the repairs? The answer boils down to whether the needed fixes are cosmetic or structural. Here are five questions to help you determine this.

How to Tell if a Residential Property Is Worth Renovating

1. What Needs Replacing?

When you perform the pre-purchase inspection, focus on what needs to be replaced. Some items, like carpets and cabinets, are relatively cheap; others, like roofing or windows, will eat up thousands of dollars. Make a list of their projected costs to determine whether it fits your budget.

2. Is the Foundation Sound?

If the foundation isn’t solid, don’t buy the structure. Foundation repairs are enormously expensive, akin to building a whole new house. Furthermore, you can't ignore it since this will impact your family’s safety in the future.

3. Do You Like the Layout?

Though you can tear out drywall and make some alterations to a building’s design, the basic layout is there to stay. So if you don’t care for it, keep looking at other properties. Remember that this is where you’ll be living for many years, most likely, and don’t rush into a purchase.

4. Does the Plumbing Function Properly?

In older structures, you’ll need to ascertain whether features like the septic tank and sewage lines are still functional. Not only are the replacements costly, but they can also be inconvenient when you are just moving into a new home.

5. What’s the Location Like?

The area where the house is located helps indicate its future value. Examine the surrounding neighborhood and decide whether it’s someplace you’d like to live and raise a family. How are the school systems? How are job prospects? If the area is nice, it may be worth purchasing a residential property that will require more repairs to make livable. Conversely, a nice house in an undesirable area may not be a wise investment, even if it would require less work.

If you’re seeking a commercial or residential property in Georgia or Texas, the team at SWE Homes is here to help. They assist families and businesses in finding the real estate that’s right for them, providing financing for homes so that poor credit won’t stand in the way. Whether you want to lease or buy, turn to them when it comes time to shop for houses. Learn more today about how they can assist you by visiting them online or call (713) 413-1000 to schedule an appointment.