The Real Cost of a Fixer-Upper: What Buyers Need to Know

If you’ve been scrolling through listings lately, you might’ve noticed a trend: homes that need a little love are getting a lot more attention.

Searches for fixer-uppers have tripled since 2021, and these homes are now seeing over 50% more online views than move-in-ready listings. Buyers are drawn in by the lower price tags, the potential for customization, and that irresistible HGTV-style dream of transforming a property into something amazing.

But let’s be real, not every fixer-upper turns into a success story. There are some serious pros and cons to weigh before diving in.

The State of Fixer-Uppers in New Hampshire

Across the country, the typical fixer-upper lists for around $200,000 about 54% less than the median single-family home price of $436,250.

Here in New Hampshire, demand for these diamond-in-the-rough properties is growing, even as inventory tightens. The typical fixer-upper was built in the late 1950s, offers roughly 1,600+ square feet, and tends to linger on the market just a few days longer than move-in-ready homes.

In other words: buyers are noticing them but they’re also being cautious.

Why Buyers Are Saying “Yes” to Fixer-Uppers

 Lower Prices:
Fixer-uppers are generally listed below market value, which means a smaller down payment and a lower mortgage. It’s a great way for first-time buyers to break into the New Hampshire market without stretching their budget too thin.

 Customization:
Whether it’s opening up a kitchen, adding a mudroom, or finally creating that Pinterest-perfect bathroom, you get to design a home that truly fits your lifestyle.

 Less Competition:
Even though interest in fixer-uppers has jumped, most buyers still prefer turnkey homes. That gives you more room to negotiate and potentially snag a better deal.

 Equity Potential:
Smart updates can increase your home’s value and build equity quickly. Refinishing floors, updating bathrooms, or replacing windows can pay off down the road, especially if you plan to stay a while.

The Not-So-Glamorous Side

 Hidden Costs:
It’s rare that renovations come in under budget. Between surprise wiring issues, plumbing problems, or outdated systems, it’s smart to pad your renovation budget by at least 10–20% for the unexpected.

 Time & Disruption:
Renovations take time and living through them isn’t for everyone. Permits, materials, and contractor schedules can delay projects. Be prepared for a bit of chaos before you reach the “after” moment.

 Resale Risks:
Not every update adds value. Over-renovating for the neighborhood can actually hurt resale potential. It’s important to know what buyers in your area are willing to pay for.

What to Consider Before Making an Offer

1. Location, location, location: A great fixer in a great neighborhood will almost always pay off.

2. Cosmetic vs. structural: Cosmetic updates are manageable; foundation or roof issues can blow up a budget fast.

3. Resale value: Keep improvements within 10–15% of the area’s median price point.

4. Timeline: Be honest about how much time and energy you can commit big projects can stretch for months.

Common Mistakes to Avoid

• Overestimating your DIY abilities

• Underestimating time and cost

• Skipping necessary permits

• Ignoring local zoning rules

• Paying too much upfront

Working with a real estate agent who understands New Hampshire’s fixer-upper market (hi, that’s me 👋) can help you avoid these pitfalls and make confident decisions every step of the way.

Bottom Line for New Hampshire Buyers

Fixer-uppers can be an incredible opportunity a more affordable path to homeownership and a chance to create something truly your own.

But success depends on being prepared:

• Know your numbers.

• Get that inspection.

• Budget for surprises.

• Line up the right pros.

With the right plan (and the right team), that “needs some TLC” listing might just turn into your dream New Hampshire home.