20 Best Cities to Buy a Fixer-Upper, According to StorageCafe
The percentage of active listings and how much you can save were key factors.
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StorageCafe recently released a report on the best cities to buy fixer-uppers to help homebuyers find the most cost-efficient cities for this type of home purchase. The nationwide storage space marketplace partnered with its sister company and real estate search portal Point2 to compile over 70,000 active home sale listings within 50 of the most populated cities. The company first compared the asking prices between regular listings and fixer-upper homes. It then ranked each city on how much a homebuyer could save by buying a fixer-upper, and how many active listings were available.
The report found that on average, a fixer-upper home can cost $283,000, making it 29% lower than a move-in ready home, and saving a homebuyer roughly $117,000. The results also showed that in “20 out of the 50 largest cities, fixer-uppers are at least 50% cheaper than regular homes.”
Related: The Best U.S. States to Buy a Home Under $150K
If you’re a homebuyer looking for a great deal on a fixer-upper, here are the top 20 best cities to find one.
Los Angeles
Kansas City
Dallas
Chicago
Bakersfield
Corpus Christi
Tulsa
Fresco
Omaha
Colorado Springs
Louisville
Raleigh
Long Beach
Las Vegas
Minneapolis
Albuquerque
Oklahoma City
Columbus
Aurora
Jacksonville
Los Angeles is the best city to buy a fixer-upper for good reason. According to this study, this city has the potential for big savings with ample active listings. The difference in price between a fixer-upper and a regular home can reach $945,000—more than double the national average for a fixer-upper home, according to the report. It shows the average price tag for fixing up that home in LA will typically be $155,000. However, that doesn’t mean the major city won’t cost you to live there.
In runner up Kansas City, you’ll find roughly 13% of all its listings fixer homes, so there are plenty of options. You can save an average of $229,000 with a fixer-upper in this Midwest city. Fixer-uppers can be listed for $170,000 (compared to $400,000 for move-in ready homes) and you can likely get a remodeling home loan for around $65,000 to cover many of the repair costs.
Dallas takes third place on this list. StorageCafe says it is one of the most popular relocation destinations in Texas, and has great deals on fixer-uppers if you’re on the hunt for one. While a regular home can be listed at $500,000, you’ll likely find a fixer home for $283,000, saving you $217,000 on average. About 12% of listings in Dallas are fixer-uppers, and while they can be smaller than regular homes, they often come with larger lots.
Related: 5 Things I Wish I Knew Before Buying (and Restoring) an Old House
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