Any refurbishment project requires patience, time and of course, money. But whether it’s a financial investment for your future or creating your perfect home, it can definitely be worth the effort. However, as with any investment, you will have to weigh up the pros and cons to work out if it’s the right move for you.
The pros
There are many positives when it comes to refurbishment over a new build. One of the most important is budget. If you can find a really good deal on a slightly – or even quite badly – run-down property, with appropriate project management you could do very well. The right property, in the right area at the right price could turn a relatively small budget into a very profitable investment.
Location can also play a big part in choosing to renovate a property. Perhaps your ideal locale is just too built up now, or in rural examples, perhaps local planning laws & regulations prohibit your dream build. Finding a derelict property and refurbishing can be a way around this for many people.
Depending on the property itself, refurbishing could also mean a lot of the work is already done. Think wiring and plumbing here. To not have to worry about that cost while still putting your stamp on the home is a huge benefit.
There are also other financial incentives including a recent announcement by the Government that a new fund of up to €30,000 will be made available to first-time buyers if they invest in a derelict property. The aim is to try and transfer some of the 100,000 or so derelict properties spread across the country into the active housing market.
The Cons
Risk. You can’t escape it. No matter how well you plan things out on paper, sometimes things just go wrong. Some unforeseen structural issues, planning issues, building costs and tradesmen going over budget – it can all happen and more. But this doesn’t mean you should expect things to go wrong and avoid refurbishment altogether. Sure, with experience the process becomes much easier and more profitable as you learn where to save money and more importantly, where not to waste time.
As with any project, efficient management is key. If you are a first-time buyer who is considering a refurbishment project, it is best to seek advice before committing to any financial arrangements.
At KPM Group we have over 25 years of experience in property management in Ireland and would be happy to help in any way we can. Please don’t hesitate to get in touch today if there is anything we can help you with.
