Although some buyers in the past chose fixer-uppers for their low up-front costs, that's changing
Feb. 21, 2025
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Homebuyers are now more likely to choose a home that is move-in ready rather than buying a fixer-upper.
Buyers who were once interested in buying fixer-uppers in order to avoid the extra costs associated with new and remodeled homes appear to have changed their minds. According to National Mortgage Professional, which cites data from home marketing platform Zillow, home shoppers are now forgoing fixer-upper homes and opting to pay nearly 4% more for move-in ready properties instead. While this is a $13,194 price increase on average, buyers are now more interested in taking the up-front charge if it means avoiding costly renovations down the line.
“Fixer-uppers can be appealing to a first-time buyer trying to get their foot in the door of homeownership because they offer a lower initial price of entry,” said Amanda Pendleton, Zillow’s home trends expert. “However, buyers who are already stretching their budget to afford a home in today's market may not be willing or able to spend more on renovations or repairs. A remodeled home may come with a higher price tag, but a buyer would get to spread that additional cost over the course of a 30-year mortgage versus paying cash upfront to make similar upgrades themselves."Read more
