Well, the numbers are in (kind of), and it seems feasible. The home inspector concluded that there were no structural problems, and that the roof did not leak (but that pretty much everything else was a disaster!) I am clearly deranged for contemplating this, but at least the simple math works. It appears that my guesstimates of renovation costs (see prior scintillating post) were not far off, and it will take about $55,000 to renovate. If I do much of the work myself, that amount could be significantly less. As such, with a purchase price of $50,000, and a maximum of $55,000 additional into it, I should have a total investment of $105,000. If I can sell if for at least $140,000, or clear at least $5000 a year in rent, then it works, right?
Who knows? On the one hand, the simple math works. On the other hand, it seems like a spectacularly speculative guesstimate by a rank amateur that could be hideously off the mark. But the simple math works. Have I said that already? Perhaps it is me that is simple. I am obviously conflicted. I want to do it. I am intrigued by the challenge of doing it. However, I can’t help but think that I am like the person atop a steep drop-off, 200 years ago, encased in a contraption of feathers and light weight wood, somehow naively thinking, convincing myself, that this will work!
“When early humans attempted to fly, they mimicked birds — often with disastrous results.” That’s what I am afraid of – disastrous results!
I spoke with one of my brother’s about it (who lives in N.C.). Although sympathetic to the decision dilemma, he rightly pointed out that only I can make the decision. He also intriguingly suggested that since my 19 y.o. nephew was looking for temporary work, if I did buy it, he could help me out for a couple of weeks. My nephew and I don’t spend nearly enough time together, only getting together for a few days twice a year. The opportunity to spend some good quality time with ‘the boy’ would be reason enough to embark on the crazy project.
Well, I have to make a decision. Since an Agreement of Sale has been signed, it is now a matter of me having to cancel the contract if I don’t want to buy the house. If I simply remain stuck in indecision, this real fixer upper will be all mine!