The fixer-upper is a grand tradition of real estate. Several houses go on the market needing some work before they are truly habitable. Whether your intention is to live in the residence or to fix it up and sell it on for a profit, you will need to do some work one way or the other and because of the work involved, often these houses are available for a bargain price. However, it must be noted that not every residence that is available for a reduced price is a bargain. Sometimes, people only find this out after doing a lot of work.
A money pit is a residence which looks like a bargain when you initially buy it, but when you come to realize the extent of the renovations that need to be done before it is even habitable you realize that you will have actually to spend a ludicrous amount of money. If you are selling, you may not make a profit. If you plan to live there, youd have actually been better moving in to an already suitable residence and paying the extra money up front. Of course, by the time you have actually found this out, its already a little late.
Before buying a residence which requires work, it is always advisable to have actually a survey carried out on the property to find the extent of work that needs to be done. You might be pleasantly surprised, or you may get a warning that you must not proceed along with the purchase. Despite the fact that it costs money to have actually a survey done, it is still immensely preferable to buying rashly and then spending time and money putting that decision to rights