Realtor Magazine
The lower price of a fixer-upper and the added resale value after a remodel can be alluring to some home buyers. For example, the average price of a fixer-upper home on the TV show “Fixer Upper,” based in Waco, Texas, is $178,449, with the average resale value being $297,488.
But a new study from the remodeling site Porch.com, based on a survey of more than 1,000 homeowners, shows that the majority of fixer-upper homeowners who thought they could save money actually ended up spending about the same or more than a move-in ready home.
Respondents paid, on average, slightly over $250,000 for move-in ready homes. They paid slightly under $200,000 for a fixer-upper. But after the renovations, fixer-upper homeowners ultimately spent nearly $247,000—for those who managed to stay within budget. For those who went over budget—which about 44% said they did—they spent over $25,000 more than move-in ready buyers for a total of $275,741, according to the study.
