Fixer-upper homes prove popular as affordability lifeline

"Fixer-uppers give buyers a way to break into the housing market at a time when affordability is still stretched thin, said Danielle Hale, chief economist at Realtor.com. For those with the vision and a toolbox, fixer-uppers provide both a starting point in the market and the chance to create a home that's truly their own. For sellers, listing their home as a fixer-upper at a lower price may generate more interest online than if they spend extra money on upgrades to make it move-in-ready."

"The median list price for a fixer-upper is $200,000 about 54% less than the $436,250 median for all single-family homes. The typical fixer-upper has three bedrooms, two bathrooms, was built in 1958 and measures 1,628 square feet. By comparison, single-family homes nationwide average 2,000 square feet, the report said. Fixer-uppers made up 5.2% of listings in July, down from 6.1% four years ago, according to Realtor.com."

"Still, the number of such listings has risen, from 66,619 in 2021 to 79,175 this year an increase of nearly 19%. These properties also spend slightly longer on the market, averaging 53 days to sell compared with 50.5 days for similar homes. However, that gap has narrowed since 2021 as rising housing costs have made renovation projects more appealing. The Midwest, Northeast and South show the strongest opportunities for buyers willing to take on repairs. St. Louis, Detroit, Jackson, Miss., Toledo, Ohio, and Dayton, Ohio, ranked among the top markets for fixer-uppers."

Fixer-uppers offer buyers an affordable route into the housing market and give homeowners the opportunity to create customized living spaces through renovation. Listing as a fixer-upper at a lower price can generate more online interest than investing in move-in-ready upgrades. The median list price for a fixer-upper is $200,000, about 54% less than the $436,250 median for single-family homes. Typical fixer-uppers have three bedrooms, two bathrooms, were built in 1958, and measure 1,628 square feet versus a 2,000-square-foot average. Listings rose from 66,619 in 2021 to 79,175 this year and average 53 days on market.

Read at www.housingwire.com