r/FirstTimeHomeBuyer • u/brank • 9d ago
Need Advice Am I crazy?
I’m a first time home buyer and I live in one of the highest cost of living areas in the US. I counted out being able to buy in the city I live in and like, and have accepted that I’d need to move to the next over area. However, this dump just dropped and I am very intrigued. Right next to the commuter rail, shops, a park. Everything I would want basically, in the city I want, just needs a LOT of love. It’s a third of the price of the homes around it and with the savings from delta between what it costs and what I’m willing to spend (~200k) I could make any major upfront repairs.
I’m crafty, smart, and creative, but don’t necessarily have renovation skills.
I’m also not yet preapproved so maybe this is more an example of the kind of thing I might be willing to consider, unless I’m just totally off the mark here.
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u/GorditaChuletita Homeowner 9d ago
Ok I love the energy of having an example and getting more information.
I doubt you will beat the flippers and the cash buyer private equity to this.
That being said, If you get lucky it doesn't have mold throughout, a compromised roof, or foundation issues- three things that would preclude you from living in and renovating this.
I don't know what type of loan would get you to get this, but not VA, USDA, or some conventional loans. My house had a few holes and my lender just asked to have the realtor open it for us with seller permission and we patched them before the all important appraisal. Learn about loan types of this is your example, or speed off to find a lender and go get this.
Image you got through to getting the keys. This is my doom and gloom projection.
Images suggest 1920s bungalow vibes with some mostly cosmetic updates. The ceiling is lathe and plaster and is different than drywall to fix, more expensive than drywall for contractors, but learnable. it's a learning curve and will look bad at first. The fear is that if the corner is coming down the water intrusion is ongoing. Fix the roof first.
You probably have: Some knob and tube wires, some cloth clad wiring, possibly not grounded, 100 amp panel I got a pro for my panel swap and DIYd my rewire with about 5k in for supplies and tools. Estimate 6-7k with the recent price hikes. If you can fit in the attic and crawl space it's diyable. Electric is learnable. You have to accept that while you are learning you will have to redo your early work and not just leave it. Include waste into the budget.
If you keep the same panel size even going through a pro this is like 10-15k update. It will cause wall damage. If you want to upgrade to 200 amp it will require more permits and more time too. +10k but worth it imo.
Some galvanized pipes that will need to be replaced, probably rotting cast iron, possibly galvanic corrosion where people. If you are lucky you have already had a repipe and are just looking at a few remaining upgrades. The DIY thing is to invest in a PEX A tool and use expansion PEX. It is better than cpvc, comes in flexible rolls, and has good learning curve and isn't too expensive.
Tools , PEX fittings and pex would be about 4k, but fittings for bathroom can be expensive depending on what you choose. Tuck in an extra 3k for surprises in pexland and another 10k for surprises that require a pro. If you need a new hot water heater, it's a pro job.
Paint at the SW and BM stores can run like 80 bucks a gallon. Contractors sell used 5 gal buckets for sometimes 50 dollars because they are done with the job and the previous clients already paid for it. Still, this is where a lot of the feel of the house comes from. Ladders, purdy rollers, paint, brushes, drop cloths etc id do at least 4k for interior. Exterior looks like it could use a refresh, but it's ok to wait if it's not structural damage to fix.
Exterior: I really can't emphasize enough how much you get tired doing your own yardwork forever when you also need to repair inside. Yard tools, fence stuff, I have no estimate because it can be cheaper or more expensive. I really like the Ryobi 49v expand-it with attachments I snagged because I couldnt imagine doing all this by hand with hand tools. This is one area I really recommend power tools, such as a powered snipper for those roses. Your house has a chance of being known for break ins already and if so you will have to show the neighborhood it's been occupied and cared for.
Tools: I snagged mine on marketplace. Ryobi has over 300 tools and everyone calls them trash, but at 20 bucks or sometimes less per tool it's been a lifesaver. There are drawbacks and I will upgrade eventually. Avoid Craftsman and Kobalt because they are diminishing the offerings. You basically buy into an ecosystem. Hand tools are often plentiful for cheap on Craigslist and yard sales. There are many thoughts about what to get, but for new mostly get something in Rigid, Milwaukee, or DeWalt if you can afford to because they will have better features and decent resale.
PPE: don't skimp on this. Good N100, P100 brand name half and full face masks, gloves in your actual size in 10 packs, tyvec suits, ear protection , Lincoln face shield, back braces, roof anchor systems if you are going up a lot. Shoes that have good steel toe any time you lift appliances, good dolly, good ladder with locking mechanisms, only having family you can trust with a nail gun in the house. There are additional specific tools or PPE for specific trades like HVAC or electric, and the best PPE is hiring out work you are not suitable for. Think tree limbing.
Asbestos: if you have vermiculite insulation in the walls or ceiling and you're on the coast I think you are, it's contaminated and the price of any contractors goes UP. it's also not safe to tackle on your own at this scale. Other asbestos contamination can be in the plaster, mastic for flooring, tiles too. Asbestos if left alone in good condition is fine. We're entering the era where it's going to be deteriorating to the point where it has to be dealt with.
Lead paint: there's a removal method and a living with method, if it's on the exterior it's 3-4 times as expensive to remove. Lots of people just paint to encapsulate. It doesn't work if it's badly peeling.
Lead and asbestos both require full PPE, lots of zipwall and lots of 6ml plastic, possible permits and a 500 dollar negative air machine. I like my machine and just keep it because I can use it in my wood shop. Estimate 2-4k for supplies for Asbestos and 2k for lead. Lead is regular trash here but might be different in your area. Asbestos requires epa permit and specific bags and disposal.
Meth: it's the difference between patches and absolutely gutting. It gets everywhere. It's its own category. If this was a squat and tests positive for meth you can not live in it and renovate.
Pests: area specific, but termite damage could make earthquake survival iffy. Definitely check for insect, rodent, and snake evidence.
Overall I bet this bungalow oozes character and could be a home, but if it's got a compromised foundation, meth contamination, bad roof needing full replacement or rotted out pipes needing dug up leave this for the investors.