Property to renovate: Property finders advice

Whether you are searching for a property to renovate and call home or are looking for a project that will return a profit, there are key considerations to bear in mind.

Renovation projects attract buyers for two main reasons: personalisation and potential profit.

For those looking to create their dream home, renovating offers the chance to design spaces tailored to their preferences.

It is particularly appealing when unique features, such as period architecture, can be preserved while updating the functionality of a property.

For investors, the appeal lies in adding value. A well-executed renovation in a sought-after location can generate significant returns, whether through resale or rental income.

However, careful planning and budgeting are key to ensuring the project is a financial success.

Below, we share practical advice to help you navigate the process of buying a property to renovate.

Buying a renovation project

Searching for and buying a property to renovate can be an exciting process, offering endless possibilities to transform a space. However, the first challenge is identifying a suitable property and assessing the scope of work required.

Online searches may seem the easiest way to start, but not all homes listed as “in need of modernisation” represent value for money.

In fact, the appeal of “putting your own stamp” on a property can sometimes inflate its price tag. Each opportunity requires a detailed evaluation.

Consider how much work is required to make the property habitable, the costs involved, and the timeline for completion.

Properties in conservation areas or those that are listed often come with additional complexities, such as restrictions on modifications or requirements for specialist materials.

Whether your aim is to live in the property or sell it for profit, understanding the financial commitment is crucial.

Where possible, arrange for a design and build professional to accompany you on a second viewing to provide initial cost estimates and advice on what could feasibly be achieved.

How to identify a good renovation opportunity

A good renovation opportunity will have the potential for value growth and align with your goals. Look for properties with these characteristics:

• Structural Soundness: Properties with solid foundations and minimal structural issues reduce the likelihood of costly surprises.
• Desirable Location: Proximity to amenities, schools, and transport links enhances both liveability and resale value.
• Untapped Potential: Layouts with underused space or rooms that can be reconfigured are prime candidates for renovation.

When looking for a property to renovate, be cautious of red flags, such as subsidence, severe damp, or planning restrictions that may limit your intended changes.

Calling in the professionals

If it isn’t feasible to bring an expert to a viewing, making an offer “subject to survey” allows time for a professional inspection before committing to the purchase.

A full structural survey conducted by an independent surveyor will identify issues and outline the estimated costs of rectification.

While these surveys can be costly, they are an investment in avoiding unexpected expenses later on.

For large-scale projects, budgeting for an architect or structural engineer is essential.

These professionals can help maximise the property’s potential, advise on structural integrity, and determine whether planning permission is required for your plans.

Structural changes

Structural modifications tend to be among the most expensive updates to any property. Before applying for planning permission, ensure that the changes will significantly enhance the property’s value or functionality.

For example, in cities like London, basement extensions are increasingly popular but notoriously complex and costly.

Engaging reputable contractors and planners is vital when undertaking such work, as the structural stability of the entire property depends on the integrity of the basement.

Updating heating, electrics, and plumbing

A good surveyor will evaluate the condition of the property’s heating, electrical, and plumbing systems, highlighting any required upgrades.

In some cases, they may recommend updates as a long-term investment rather than an immediate necessity.

If you intend to buy a property and strip it back to its shell, consider the cost of upgrading systems entirely. Installing new electrics, plumbing, meters, or eco-friendly features during this phase is often more cost-effective than retrofitting later.

Understanding planning permission and legal considerations

For properties that are listed or located in conservation areas, planning permission requirements can be complex. Restrictions may apply to extensions, alterations, and even internal changes.

It’s essential to consult local planning authorities or engage a planning consultant to understand what is permissible.

Additionally, properties with shared walls or close neighbours may require party wall agreements before work can begin.

Future planning

When purchasing a property to renovate and sell, location is paramount. While renovation opportunities in prime areas are rare, they are usually worth the wait due to their resale potential.

However, be prepared to compete with other buyers who may not need to factor profit margins into their offers. Overpaying for the property can significantly reduce your return on investment.

If you intend to make the property your home, paying slightly over the odds may feel justifiable, but always leave sufficient budget for renovation work.

For those renovating with resale in mind, focus on neutral designs that appeal to a broad audience rather than personal preferences.

Buying a renovation project in the UK

The scope of a renovation can vary greatly. While some buyers prefer a complete overhaul, others only wish to undertake cosmetic updates. Employing an independent surveyor for a full structural survey is invaluable.

If major issues are discovered, you’ll have the opportunity to renegotiate or walk away before finalising the purchase.

Consider the time the renovation would take and if this fits with your plans. You should factor in lead times for materials and potential delays, prioritising essential structural work above cosmetic upgrades.

As property finders, our top tip for anyone searching for a renovation project is to remain patient and focus on location.

Properties ripe for renovation rarely become available in the most desirable areas, but having a professional property finder working on your behalf can ensure no opportunity is missed.

To discuss your requirements and learn more about how we can assist with your property search, please contact us without obligation.