Did I Pay Too Much? - Avoid over paying for homes that need repair

I recently had a consultation with a buyer and we were discussing the Pros and Cons of buying a ‘Fixer-Upper’ or homes that were selling in ‘As-Is condition’. It often seems like a great idea from a purchasing perspective because of the reduced asking prices. However, the question that needs to be asked is if the asking price is low enough.

If a home is asking $20,000 less than the neighbour that just sold last week and you negotiate an additional $10,000 off of that reduced asking price, is that a good deal? What if that house needs a new furnace and air conditioner? What if the house needs to be painted, wall paper removed or carpets replaced? What if the kitchen screams 1980? These are all considerations when buying a home that needs significant work. In our example, if you buy that home for $30,000 less than the neighbour, it may be a steal! But if the home you bought needs a new kitchen and the basement is not finished, then you may have over paid.

When you decide to buy and you have your home inspection, please keep the following costs in mind. This will help you with price negotiations or help determine if that home is the right fit for you and your budget.

As a dedicated real estate agent servicing the Burlington, Oakville, Hamilton and Toronto markets, I provide all buyers with this affordability consultation so they know exactly what they are getting into. It is not meant to scare anyone off buying a home, it is just meant to provide my clients with all the information necessary so they can make the most informed decision about their purchase.

If you would like a personal buyer consultation, I would be happy to sit down with you and examine things such as budget and housing affordability. One of the largest regrets a buyer will have when purchasing a home is underestimating the maintenance and repair costs. A skilled and qualified buyer real estate agent will be able to help you avoid such regret.

Roofing/Flashings/Chimneys

Install conventional asphalt shingles over existing shingles

$2.00 - $4.00 per sq. ft.

Strip and reshingle with convention asphalt shingles

$2.75 - $5.50 per sq.ft.

Strip and reshingle with premium quality asphalt shingles

$5.00 - $10.00 per sq. ft.

Strip and re-roof with cedar shingles 

$9.00 - $18.00 per sq. ft. 

Strip and replace built-up tar and gravel roof 

$10.00 - $20.00 per sq. ft. (min. $1,000.00)  

Strip and replace single-ply membrane 

$10.00 - $20.00 per sq. ft. (min. $1,000.00) 

Reflash typical skylight or chimney 

$500.00 - $1,000.000  

Rebuild typical chimney above roof line 

$25.00 - $50.00 per row of bricks (min. $400.00) 

Rebuild typical single flue chimney aove roof line 

$200.00 - $400.00 per lin. ft. (min. $1,000.00)  

Exterior                 

Install galvanized or aluminum gutters and downspouts

$5.00 - $10.00 per lin. ft. (min. $500.00)

Install aluminium soffits and fascia

$8.00 - $16.00 per lin. ft. 

Install aluminium or vinyl siding

$6.00 - $12.00 per sq. ft.

Repoint exterior wall (soft mortar)

$3.00 - $6.00 per sq. ft. (min. $500.00)

Repoint exterior wall (hard mortar)

$5.00 - $10.00 per sq. ft. (min $500.00)

Parge foundation walls

$3.00 - $6.00 per sq. ft.

Dampproof foundation walls and install weeping tile

$150.00 - $300.00 per lin. ft. (min. $3,000.00)

Install a deck

$25.00 - $50.00 per sq. ft. (min. $1,000.00)

Resurface existing asphalt driveway

$2.00 - $4.00 per sq. ft.

Install interlocking brick driveway

$8.00 - $16.00 per sq. ft.

Rebuild exterior basement stairwell

$5,000.00 and up

Build detached garage

$70.00 - $140.00 per sq. ft.

Build retaining wall (wood)

$20.00 - $40.00 per sq. ft.

Build retaining wall (concrete)

$30.00 - $60.00 per sq. ft. (min. $500.00)

Painting (trim only)

$2,000.00 - $4,000.00 and up

Painting (trim and wall surfaces)

$5,000.00 and up

Structure

Underpin one corner of house

$5,000.00 and up

Underpin or add foundations

$300.00 and up per lin. ft. (min. $3,000.00)

Lower basement floor by underpining and/or bench footings

$50.00 - $300.00 per lin. ft. (min. $5,000.00)

Replace deteriorating sill beam with concrete

$60.00 and up per lin. ft. (min. $2,000.00)

Install basement support post with proper foundation

$800.00 - $1,600.00

Perform chemical treatment for termites

$2,000.00 and up

Repair minor crack in poured concrete foundation

$400.00 - $800.00 

Electrical

Upgrade electrical service to 100 amps (including new pannel)

$1,200.00 - $3,000.00

Upgrade electrical service to 100 amps (if suitably sized panel already exists)

$800.00 - $1,600.00

Upgrade electrical service to 200 amps

$1,700.00 - $3,500.00

Install new circuit break panel

$700.00 - $1,400.00

Replace circuit breaker (20 amp or less)

$100.00 - $200.00

Add 120 volt circuit (microwave, freezer, etc.)

$150.00 - $300.00

Add 240 volt circuit (dryer, stove, etc.)

$300.00 - $600.00

Add conventional receptacle

$200.00 - $400.00

Replace conventional receptacle with ground fault circuit receptacle

$70.00 - $140.00

Replace conventional receptacle with aluminium compatible type (CO/ALR) (assuming several are required)

$60.00 - $120.00 each

Upgrade entire house with aluminium compatible receptacles, connectors, etc.

$1,000.00 - $2,000.00

Rewire electrical outlet with reversed polarity (assuming electrician already out there)

$5.00 - $10.00 each

Replace know & tube wiring with conventional wiring (per room)

$1,000.00 - $2,000.00

Heating

Install mid-efficiency forced-air furnace

$2,500.00 - $5,000.00

Install high-efficiency forced-air furnace

$3,500.00 - $7,000.00

Install humidifier

$300.00 - $600.00

Install electronic air filter

$800.00 - $1,600.00

Install mid-efficiency boiler

$3,500.00 - $7,000.00

Install high-efficiency boiler

$6,000.00 - $120,000.00

Install circulating pump

$400.00 - $600.00

Install chimney liner for gas appliance

$500.00 - $1,000.00

Install chimney liner for oil appliance

$700.00 - $1,800.00

Install programmable thermostat

$200.00 - $400.00

Replace indoor oil tank

$1,200.00 - $2,500.00

Remove oil tank from basement

$600.00 and up

Remove abandoned underground oil tank

$10,000.00 and up

Replace radiator valve

$300.00 - $600.00

Add electric baseboard heater

$250.00 - $500.00

Convert from hot water heating to forced-air (bungalow)

$10,000.00 - $20,000.00

Convert from hot water heating to forced-air (two storey)

$15,000.00 - $30,000.00

Clean ductwork

$300.00 - $600.00

Cooling/Heat Pumps

Add central air conditioning on existing forced-air system

$3,000.00 and up

Add heat pump to forced-air system

$4,000.00 - $8,000.00

Replace heat pump or air conditioning condenser

$1,200.00 - $2,500.00

Install independent air conditioning system

$10,000.00 - $20,000.00

Install ductless air conditioning system

$3,000.00 - $7,000.00

Insulation

Insulate open attic to modern standards

$0.80 - $1.60 per sq. ft.

Blow insulation into flat roof, cathedral ceiling or wall cavity

$2.00 - $4.00 per sq. ft.

Improve attic ventilation

$30.00 - $60.00 per vent

Plumbing

Replace galvanized piping with copper (two storey with one bathroom)

$2,500.00 - $5,000.00

Replace water line to house

$2,00.00 and up

Replace toilet

$500.00 and up

Replace basin, including faucets

$750.00 and up

Replace bathtub, including ceramic tile and facuets

$2,500.00 and up

Install whirlpool bath, including faucets

$3,500.00 and up

Retile bathtub enclosure

$1,000.00 - $2,000.00

Replace leaking shower stall pan

$1,000.00 - $2,000.00

Rebuild tile shower stall

$2,500.00 - $5,000.00

Replace laundry tubs

$400.00 - $800.00

Remodel four-piece bathroom completely

$6,000.00 - $50,000.00

Connect waste plumbing system to municipal sewers 

$5,000.00 and up

Install submersible pump

$1,000.00 and up

Install suction or jet pump

$700.00 and up

Install modest basement bathroom

$6,000.00 and up

Interior

Add drywall over plaster

$4.00 - $8.00 per sq. ft.

Sand and refinish hardwood floors

$2.00 - $4.00 per sq. ft.

Install replacement windows

$40.00 - $120.00 per sq. ft.

Install storm window

$200.00 - $400.00

Install masonry fireplace (if flue already roughed-in)

$3,000.00 and up

Install zero-clearance fireplace (including chimney)

$3,500.00 and up

Install glass doors on fireplace

$300.00 and up

 * Costing courtesy of Carson Dunlop

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