Renovation – Is It For Me? Is Now The Time To Buy A Project House?

If you’ve ever sat down on your sofa on a Sunday evening watching Grand Designs, you’ve probably developed the itch to buy a project house. In fact, a survey conducted in 2020 revealed that 80% of us would be happy to buy a project house. But is it worth buying a project house and, if so, is now a good time to do so?

Why You Should Buy A Project House

Add Value, Your Way

Making home improvements is a fantastic way to add value to your property at your own pace. This allows you to invest in your home in ways that suit you. After all, one buyer may want to invest in a garden room, others may want to schedule a loft conversion, and some may wish to knock down walls to create open-plan spaces. With a project house, you can add value to your home your way, and the potential to profit is huge. On average, large-scale property renovations can lead to a surge in property value of between 10% and 20%, although this is entirely dependent on the type of renovations you pursue, the quality of the finish, and the neighbourhood you have purchased in.

Save On Initial Costs

If you’re looking to get on the property ladder for a far cheaper initial cost, a fixer-upper is a route worth considering. With house prices slowly on the rise and competition for properties becoming fiercer, many first-time buyers have been searching for more affordable properties. Thankfully, project houses are listed for far cheaper than their new-build counterparts or recently renovated resale properties. This is because many buyers simply wish to move into their new home without the potential stress and delay of renovations, and buy-to-let investors typically want to sit back and let their assets accrue in value and produce impressive yields with little involvement.

In short, project houses are not for everyone and take time, effort and funds to turn into a dream home, hence the lower price tag. However, if you’re willing to put in the graft to create something truly special, a project house can be an accessible way to get on the property ladder and create a home that will serve you well for years to come.

Create Something Truly Special

Purchasing a project house can be a fantastic creative outlet to make a unique home that you wouldn’t otherwise find on the market. When buying a project house, you have the opportunity to mould a home to your personal specification. This is specifically beneficial for those with design tastes that are deemed out of the ordinary, those with huge ambition and vision for their home, or those with an especially creative flair.

Those with very specific visions and aims for their dream house will most likely have to refurbish any property, whether they are a new build unit or project house. However,  project houses are typically listed at far cheaper price. This makes them the perfect option for those looking to create a one-in-a-million property.

Cons Of Buying A Project House

Mounting Expenses

As rewarding as project houses are, there are potential pitfalls which you should account for. The most significant downfall of committing to a project house is the risk of overspending. If left unchecked, this could cause serious damage to your personal finances and reduce the profitability of your property. In fact, a survey carried out by Toolstation found that 60% of respondents found that their finances were impacted more than they originally assumed at the start of the project. Furthermore, 55% of those surveyed claimed that they went over-budget, with the average unaccounted expense sitting at £3,024. So, if your budget is tight, it is definitely worth setting strict budget goals to avoid overspending.

Unplanned Issues

Speaking of unexpected issues, it is important to account for potential changes to your long-term renovation plan. Many property owners find that upon investigation, the property requires more work than they anticipated. This can extend the length of your renovation project, as well as push your budget to its limit. Furthermore, you may encounter issues with planning permission. Many homeowners choose to extend their property to enhance their space, but not all properties are guaranteed planning permission. Although most planning proposals will be confirmed or denied within 8 weeks, some can take up to 13 weeks. This doesn’t account for responses and amends should permission be denied, which can further protract the process. As such, it is worth searching for a property with pre-existing planning permission should you wish to extend.

Disrupted Living

If you’re hoping to create a project house to live in, you’ll have to live in alternative accommodation whilst renovations are completed. For properties undergoing a complete overhaul, it may not be suitable for you to live in the property whilst works are being undertaken, especially if you have children or pets. What’s more, with modern ‘work from home’ culture meaning that many of our homes double up as our offices too, you should account for the impact property renovations could have on your productivity. There are solutions to this issue, namely living with friends or family members, or renting accommodation. However this could add to your already stretched expenses. However, if you’re looking for a quick move, a project house won’t be for you.

Make Your House A Home With Centrick

Whether you’re searching for your next investment, want to buy a project house to become your forever home, or simply want to get on the housing ladder – At Home With Centrick is your one-stop for property advice, no matter what your property goals may be. We’ve curated all of our knowledge to provide you with the guidance you need to make informed property decisions. Looking for more specific advice? Fill out the form below with any queries, and a member of our team will be in touch: