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Fixer-Uppers may cost landlords more than pre-modernised homes

Are fixer-uppers really the cheap and cost-effective investment many believe?

They are popular amongst landlords but research by lettings agency Benham and Reeves has analysed the current cost of purchasing a property in need of modernisation and how these homes compared to the rest of the market. 

The results may be surprising to some.


The research shows that at an average sold price of £358,034, unmodernised properties present a more affordable investment - they are 4.5 cheaper than similar, modernised homes in the same area. 

Benham and Reeves then looked at the average cost of bringing an unmodernised property up to standard, a task that is estimated to require a budget equal to 15.8 per cent of a properties original value. 

On the average unmodernised home, that’s £56,569, meaning landlords will eventually fork out a total of £414,604 to get their fixer-upper up to scratch - £40,552 more than the cost of buying a modernised property outright.


London investors are likely to overspend to the greatest extent.

While an unmodernised home in the capital will cost almost £32,000 less on average, almost £115,000 will be spent on renovating it.

The investor in the East of England will eventually fork out £56,543 more while in the South East this overspend averages £44,440. 

Even in the North East where the cost of renovating a fixer-upper is at its lowest, an unmodernised home will eventually cost almost £7,000 more once accounting for the cost of bringing a property up to spec.  

Want to comment on this story? If so...if any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals on any basis, then the post may be deleted and the individual immediately banned from posting in future.

  • George Dawes

    Let’s all live in rabbit hutches munching on fried maggots in a vr world

    Coming soon

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    When I bought my properties they could be bought for the right money and repaired/ modernized for the right money, at a recent auction in Norwich a small mid terrace sold for £160k + fees needing £40k spending on it, the end house in the same terrace in very nice condition sold last yr for £210k, the sums no longer add up. I have one in the same terrace which I paid £25k for at auction in the 90s, currently rented for £750 month and I would say a value of around £180k

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    I think it is easy to under-estimate the costs of renovation, especially if you don't factor in your own time and the lost rent while you are renovating. Too many people watching homes under the hammer perhaps. If all this is true then investors might cotton on and then it will be impossible to sell shabby houses at such high prices. The only people who will pay over the odds will be people who specifically want to live in that street / area and where improved houses rarely come up.

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    Ones own costs would be prohibitive if charged at £25/HR.

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    Whoever wrote this needs to go back to English classes. If you're going to write for public consumption at least get the spelling/punctuation correct. And when did we in this country start using the term fixer-upper!!


    Sorry Karen but I cannot agree with you on this one, I'm a product of a 60s secondary modern education, my English, spelling & punctuation is rubbish, I make no excuses that's how it is, it's never held me back and me and my class mates have done much better in business then many of those grammar school idiots of the 60s, success is more about common sense than any education.

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    No problem with that Andrew, my brother has done much better than me and I don't think he has any qualifications. I didn't go to grammar school either. But if you're a journalist by profession or writing for public consumption you need to get the grammar, spelling and punctuation correct. Whoever writes the articles for Landlord today presumabably gets paid for them and it's their job. They are being lazy if they are not writing correct English. I've noticed other articles with mistakes, it's annoying!


    I agree with both Andrew and Karen.

    A journalist should be able to spell, just as any tradesman should be able to use their skills better than the ordinary person.

    PS. If I ever make a spelling or punctuation mistake it's my phone's fault!


    Robert, you know full well you would never make a spelling or punctuation mistake, unlike most of the rest of us on here.


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