http://cribbinrealty.com. Looking for fixer uppers in O'fallon or anywhere else...here are some myths that aren't true. Check them out. If you have any questions call Mike Cribbin of Cribbin Realty (314) 954-6500

1. 5 O’fallon Fixer Upper Myths
And the 5 Facts to think about first

2. A HOME WILL ONLY SELL FOR
WHAT THE MARKET CAN BARE.
No Matter How Many Upgrades Were Made, or How Much Money You
Invested In Upgrades,
A Home Will ONLY Sell For What The MAJORITY Of Homebuyers Are
Willing To Pay

3. Fixer Upper Homes Can Represent a Good Deal…
BUT there are some
points that a homebuyer
should be aware of
Before making that offer.

4. 5 Myths To Think About
Before You Purchase A Fixer Upper
1 Myth #1 – I Can Make a “Killing”
Buying a run-down property and fixing it.
2 Myth #2 – I Don’t Need An Inspection
Just save the cost and aggravation
3 Myth #3 – It’s Better To Buy A Fixer-Upper
In an undesirable area than in a better area
4 Myth #4 – Once Fixed I Can Double My Money
I can sell it for double what I paid for it
5 Myth #5 –Make More By Turning It Into Something Else
Turn it from a single family into a multi-family

5. Myth #1
I can make a “Killing” in
the real estate market
by buying a run-down
home, fixing it, and
selling it for full price or
more

6. Fact #1
Most homeowners selling their “fixer-upper”
have reflected the fixes in their pricing. If you
upgrade your fixes too much … you may NOT
recoup your investment.

7. Myth # 2
I don’t need to bother with
the cost or aggravation of a
home inspection.

8. Fact # 2
A home inspection should
always be included in an
Offer To Purchase and Sell
agreement –
Many time inspectors will find
structural defects that are
NOT visible to the untrained
eye

9. Myth # 3
It’s better to pay a lot less
and buy a “fixer upper” in an
undesirable area, than to
pay more for a comparable
“ fixer upper” in a better
neighborhood.

10. Fact # 3
Location, Location, Location
The 3 most important
things to consider
when buying a home

11. Myth #4
Once I fix this house
up, I can turn
around and sell it
for double the
price I paid

12. Fact # 4
A home will only sell for what the
market can bare.

13. Myth # 5
I can make a lot more money
by turning this single family
home into a multi-family
dwelling

14. Fact # 5
While this is generally true …
it may not be possible.
Most towns / cities have
strict zoning laws that not
only dictate the maximum
allowable occupancy, but
dictate the size and type of
home.

15. Investigate the Pro’s and Con’s
After investigating the pro’s
and con’s of the purchasing
a fixer upper … you need to
run the numbers

16. Run Your Numbers
Before You Purchase A Fixer Upper
1 List Price of Fixer Upper
2 Average Recent Sale Prices of Similar “Non Fixer Upper”
Homes
3 Estimated Cost of Repairs from reputable sources
e.g. Referred renovation company
4 Buffer Amount for “Unexpected” Repair Costs
(usually ½ of estimated total)
5 Selling Expenses ( real estate fees, closing costs, etc)
6 Amount of Profit You Desire vs Amount of Actual Profit

17. For Example
1. $200,000 = List Price
2. $255,000 = Average Sales Price
3. $ 25,000 = Estimated Repairs
4. $ 12,500 = Buffer for Repairs
5. $ 17,000 = Selling Expenses
6. $ 20,000 = Desired Profit Versus Actual
Profit of $500

18. The Big Question …
If you were looking to just Buy, Fix, and Sell for
a $500 profit this wouldn’t work for you,
BUT
If you were looking to Buy, Fix, and Live for
some time you would normally show a nice
profit

19. Feel free to contact us.
Questions? Need More Information?
CribbinRealty.com
Mike@CribbinRealty.com
(314) 954-6500
Lets find the RIGHT fixer upper
to meet your goal