Posted on: April 7, 2017 by Goodrich & Watson
If you have the expertise to tackle the home on your own, price out the supplies for what needs to be accomplished. Next, experts recommend factoring in an additional 10-20% extra for unforeseen expenses so you don’t break your budget. Once you have a grasp on the work the home needs to be inhabitable and safe, then consider making an offer.
To make a fair purchase offer, consider the market value of the property. Take the fair market value of the property (what it would be worth if it were in good condition and remodeled to current tastes) and subtract the upgrade and repair costs. If the home you’re looking to buy has asbestos, pests, and dated appliances with dingy wallpaper, get an estimate of what it would cost to repair and upgrade these issues. This number should be deducted from the list price to ensure you get a fair deal. Your real estate agent can help you determine the market value of the home and the surrounding neighborhood, as well.
Whether you are in the process of buying a new home or have been in your home for many years, you can trust Goodrich & Watson with all of your home-insurance needs. Your home is your greatest asset. Protect it with insurance you can trust. For more information, contact us at (757) 591-2032.