How to Buy a Fixer-Upper in Richmond, VA — What You Need to Know
How do you buy a fixer-upper in Richmond, VA, and make it a smart investment?
Answer:
To buy a fixer-upper in Richmond, VA, start by setting a clear renovation budget, securing the right financing, and partnering with a local expert like Jared, Associate Broker with The Hogan Group, who understands renovation potential, after-repair value, and neighborhood trends.
Understanding the Fixer-Upper Market in Richmond, VA
Buying a fixer-upper can be one of the most rewarding ways to purchase a home in the Richmond Metro Area. It lets you build equity, customize your home, and often buy into desirable neighborhoods at a lower price point.
In 2025, Richmond’s housing market remains competitive, especially in areas like The Fan District, Church Hill, Bon Air, and Northside. The Richmond Association of REALTORS® reports that the median home price now hovers around $375,000, but many fixer-uppers list for 10–25% less, depending on condition and location.
If you’re open to some renovation work, these properties can be your entry point into high-demand neighborhoods.
Step 1: Decide If a Fixer-Upper Fits Your Goals
Before making an offer, think about what type of project you want. Are you ready for a cosmetic refresh—new paint, flooring, and fixtures—or a major renovation that involves structural updates?
Buying a fixer-upper is ideal if you:
Want to build instant equity through upgrades.
Have time to manage renovations.
Enjoy DIY projects or design work.
It might not be right for you if:
You need to move in immediately.
Your budget has no room for surprise repairs.
You’re new to construction or renovations.
Step 2: Get Pre-Approved for the Right Financing
Financing a fixer-upper in Richmond can be a little different from buying a move-in-ready home. You may need a loan that combines purchase and renovation costs.
Here are some common options:
FHA 203(k) Loan – Combines the cost of the home and renovations into one mortgage with a low down payment. Great for first-time buyers.
Fannie Mae HomeStyle Loan – A conventional renovation loan that allows you to fund nearly any type of improvement. Best for buyers with strong credit.
VA Renovation Loan – Available to veterans and active-duty military members. It covers both purchase and renovation costs.
Cash or Home Equity Line of Credit (HELOC) – Works well if you already own a home or have significant savings.
Pro Tip: Jared and The Hogan Group regularly partner with lenders in Richmond who specialize in renovation loans. They can help you find the best financing fit for your situation.
Step 3: Work with an Experienced Local Realtor
A fixer-upper requires more than just a good eye—it needs an agent who understands rehab value, renovation costs, and local demand.
Jared, Associate Broker with The Hogan Group, helps Richmond buyers identify properties with solid bones and strong resale potential. With experience in neighborhoods like Forest Hill, Bellevue, and Midlothian, Jared can spot opportunities that make financial sense.
An experienced agent will:
Help you evaluate a home’s after-repair value (ARV).
Spot potential red flags early.
Negotiate a fair price based on condition.
Connect you with trusted inspectors and contractors.
Step 4: Inspect Before You Invest
Never skip the inspection when buying a fixer-upper. In older Richmond homes—especially in areas like Church Hill or The Fan—it’s common to find outdated wiring, aging plumbing, or foundation issues.
Schedule a full home inspection and consider specialists for:
Electrical and plumbing systems.
Roofing and structural integrity.
Environmental hazards like lead paint or asbestos.
Use the inspection results to negotiate price adjustments or request repairs. Jared and The Hogan Group can recommend inspectors familiar with Richmond’s historic housing stock to ensure you understand exactly what you’re buying.
Step 5: Estimate Renovation Costs Realistically
Renovation costs in the Richmond area vary depending on the project size and the contractor you choose. As of 2025:
A kitchen remodel typically runs between $20,000 and $40,000.
A bathroom remodel averages $10,000 to $25,000.
A new roof may cost $8,000 to $15,000.
HVAC replacement averages $6,000 to $10,000.
Full exterior paint can range from $5,000 to $9,000.
Always add at least 10–15% for contingencies. Unexpected costs are common, especially with older Richmond homes.
Jared’s advice: “It’s easy to fall in love with a home’s potential, but always confirm your numbers before you buy. The right fixer-upper can build equity fast—but only if the math makes sense.”
Step 6: Check Local Permits and Zoning Rules
Richmond and surrounding counties have specific regulations for renovation work. Structural changes, electrical upgrades, or plumbing updates require permits from local building departments.
If the property is in a historic district—like Church Hill North or Jackson Ward—you may also need design approval before making exterior changes.
Before you close, confirm:
What permits your renovations will require.
Whether the home sits in a restricted or historic zone.
Any local building codes that could affect your plans.
The Hogan Group can help you navigate these rules so your renovation stays compliant and on schedule.
Step 7: Think About Long-Term Value
A smart fixer-upper purchase should deliver long-term equity growth. To gauge that potential, consider:
Neighborhood appreciation: Areas like Short Pump and Midlothian have seen 6–8% annual growth in home values.
School districts: Homes near top-rated Henrico and Chesterfield County schools tend to hold value better.
Location and amenities: Homes near Carytown or the James River Park System attract higher resale prices and stronger demand.
Buying a fixer-upper isn’t just about getting a deal—it’s about choosing a location with lasting potential.
Step 8: Reassess After the Renovation
Once your renovations are complete, schedule a professional appraisal. Many homeowners working with The Hogan Group see 10–20% equity gains after targeted updates like kitchens, bathrooms, or curb appeal improvements.
If your home’s value has increased significantly, you may even be able to refinance to a better rate or tap into your equity for future investments.
Final Thoughts: Buy Smart, Renovate Wisely
Buying a fixer-upper in Richmond, VA, can be a smart move if you’re strategic and realistic. With the right plan—and the right Realtor—it can turn into a high-value investment.
Jared, Associate Broker with The Hogan Group, helps buyers throughout the Richmond Metro Area find properties with potential and guides them through every step of the process—from financing and inspections to final walkthroughs.
Whether you’re drawn to a historic home in The Fan or a family property in Chesterfield, Jared can help you identify the best opportunities and avoid costly mistakes.
📞 Ready to Find Your Fixer-Upper in Richmond?
Reach out to Jared, Associate Broker with The Hogan Group, today. He’ll help you locate the right property, connect you with reliable local contractors, and ensure your fixer-upper purchase in the Richmond, VA Metro Area is a smart, informed investment.
