Is Your Fixer-Upper a Mistake? 1 in 5 U.S. Homeowners Said Yes
The idea of transforming a bargain fixer-upper has long been a part of American homeownership, but new research suggests that this can come with a costly reality check.
A recent Zillow study highlighted the “nostalgia tax”: remodeled homes now sell for 3.7% more on average than expected, while listings labeled “fixer-upper” are discounted by 7.3% compared to similar properties.1 In short, today’s market increasingly rewards move-in ready homes.
Our survey of more than 2,000 U.S. homeowners explores the trade-offs between buying a fixer-upper vs. a move-in ready home. The findings reveal a strong preference for convenience — and growing regret among fixer-upper buyers — as home costs continue to rise.
Key takeaways
- 62% of homeowners bought a move-in-ready home, while only 28.1% bought fixer-uppers, showing a strong preference for turnkey homes.
- Across all home types, 51% love the area it’s in, suggesting that features like walkability, school districts, and proximity to family or work is more important than the price (50%) and the features of the home itself (44%).
- More than 62% of fixer-upper owners spend upwards of $6,000 per year on renovations, increasing monthly expenses.
- Nearly all fixer-upper buyers (98%) have made repairs since moving in; more than 48% spend more than $6,000 annually on those repairs.
- If given the chance to start over, 23% of fixer-upper owners would choose a move-in ready home instead, suggesting the labor and cost outweigh the value.
Renovation costs overshadow initial savings from buying a fixer-upper
When deciding whether to renovate your home or move, it’s important to weigh both upfront and ongoing costs — especially for lower-cost fixer-uppers.
According to a study of home listings from July 2021 to July 2025 on Realtor.com, the median listing price for fixer-uppers is $200,000 — 54% lower than the median for all homes.2
Fixer-uppers are becoming slightly harder to sell. As of mid-2025, homes marketed as fixer-uppers sit a median of 53 days on the market compared to a median of 50.5 days for similarly priced move-in ready homes.2 They’re often smaller than move-in ready listings and come with higher repair and renovation costs that vary greatly by scope, location, and materials.
In our survey, more than 62% of fixer-upper homeowners reported spending more than $6,000 on renovations annually, and 15% spend $16,000 or more every year.
Repairs may cost less than full renovations, but they still add up: 48% of fixer-upper homeowners reported spending more than $6,000 annually on repairs, compared to 11.6% of move-in ready homeowners. Only 2% of fixer-upper homeowners reported avoiding repairs altogether.
The most common repairs also differ: more than half of homeowners who purchased move-in-ready homes repaired appliances (average repair cost: $2753), while about 3 in 5 fixer-upper owners repaired flooring, walls, or ceilings — repairs that can exceed $1,000 each.4,5,6
Given that 49% of homeowners reported they would delay major purchases and 47% would cut discretionary spending to afford their dream home, the ongoing costs and labor of buying a fixer-upper could deter hopeful buyers.
The financial strain helps explain why more than 88% of fixer-upper owners say they’d do things differently. More than 1 in 5 reported they would skip a fixer-upper altogether if given a second chance.
Across generations, buyers prefer move-in ready homes
The nostalgia of DIY is giving way to practicality. Millennials, who make up nearly half of recent buyers surveyed, are especially drawn to move-in ready homes, with nearly 59% buying one. As many younger owners balance the demands of their careers and raising children, finding time to juggle the demands of renovations and home upkeep can make move-in ready homes a welcome necessity.
Among first-time buyers between 2020 and 2025, nearly two-thirds chose move-in-ready homes, signaling a shift away from the DIY renovation mindset towards immediate livability.
Household dynamics, such as children or pets, don’t drastically affect this choice, though many families may find it easier to move into a home that’s safe and livable from the start.
The preference for move-in ready homes is nothing new
While today’s market pressures — high mortgage rates, rising maintenance and material costs, and inflation7 — may strengthen the demand for move-in ready homes, this preference isn’t new.
Our report found that since the 1980s, over half of buyers have consistently chosen a move-in ready home over buying a house that needs work. This consistency suggests that even when fixer-uppers offer lower prices, buyers prioritize long-term cost certainty and convenience over short-term savings.
While fixer-uppers naturally require more upfront expenses and labor, the opportunity to customize your home before settling in still appeals to 28% of homeowners. For homeowners willing to roll up their sleeves and dive into major renovations, the reward of transforming a house into a personalized home can outweigh the initial effort.
General considerations when buying a home
The choice between a fixer-upper and a move-in-ready home goes beyond the listing price. Our survey highlights clear differences in cost, effort, and emotional impact.
Before you decide on your next home purchase, it could be valuable to consider:
- Closing price: Fixer-uppers tend to list for less, making them potentially more accessible to buyers with less home equity.
- Long-term cost: Lower than average purchase prices could mask unanticipated renovation and repair expenses. Completing a home inspection can help solidify long-term cost projections before completing a sale.
- Time and effort: Not everyone has the bandwidth to manage renovations, including buyers with kids, pets, or demanding careers.
- Risk tolerance: Homeowners with a higher risk tolerance may be open to unanticipated projects that arise from buying a fixer-upper, allowing them to plan and adapt as renovations and repairs arise.
- Emotional cost: Due to the multiple projects that come with the territory, many fixer-upper buyers report wishing they’d done things differently, while move-in ready buyers more often express confidence in their choice.
Ultimately, only you and your household can determine which type of home makes the most sense for you. Consider total estimated costs, as well as your ability and willingness to invest in home projects, before committing to a home, even if the property checks most of your boxes.
Of course, these factors aren’t the only things that matter when you’re choosing your dream home. Move-in ready homeowners tend to be more satisfied with the location and features of their homes, while fixer-upper owners are comparatively more satisfied with the price, potential, and sentimental value of their homes.
Fixer-upper | Move-in ready | |
|---|---|---|
Price | 51% | 50% |
Location | 45% | 55% |
Home features (e.g., backyard, patio, etc.) | 44% | 46% |
Household loves the home | 36% | 38% |
Potential | 36% | 23% |
Sentimental value | 29% | 22% |
Different priorities likely contribute to homeowners’ satisfaction, as move-in ready homes tend to offer more convenience and fewer compromises while fixer-uppers can be more affordable upfront and present more opportunities for customization.
Get the best protection for your home
While fixer-uppers still appeal to some, the costs — in money, time, and stress — often outweigh any savings. Move-in ready homes are still the safer and more popular choice, with many fixer-upper buyers wishing they’d chosen differently.
When choosing between the two, look beyond the listing price. Account for likely repairs, renovations, and the protection you’ll need from day one to safeguard your home — including home insurance.
According to our survey, more than a quarter of all homeowners lack coverage for essential repairs, renovations, and extreme weather preparation, with around 72% of all respondents purchasing homeowners insurance.
Many homeowners choose to protect their investment with coverage that fits their needs. Whether you prefer a fixer-upper or move-in ready home, a licensed Hippo home insurance producer can help you find coverage options to help protect your home.
FAQ: Fixer-upper vs. move-in ready homes
Is it better to buy a fixer-upper or a move-in ready home?
There’s no one-size-fits-all answer, but most buyers surveyed prefer move-in ready homes for their convenience, cost, and time savings. Our survey shows 62% of homeowners bought move-in ready homes, and these homeowners tend to spend less on annual repairs and renovations.
Fixer-uppers often come with lower purchase prices but higher ongoing spending (more than 62% of fixer-upper owners spend upwards of $6,000 on renovations). Still, they often leave more room for personalization and customization if you’re willing to invest the time and resources.
What is a move-in ready home?
Move-in ready homes are properties that need little to no work upon moving in. Homebuyers may wish to make aesthetic updates, but move-in ready homes shouldn’t need immediate attention to structural elements or core systems.
When is it time to walk away from a fixer-upper?
Only you can decide when a fixer-upper begins to eat up too much money, time, or effort. To help make this decision, homeowners could look for: structural issues, code violations, asbestos, or mold.
General recommendations also include reviewing projected renovation costs and timelines. If renovations exceed your budget or seem like they may take longer than you can accommodate, it may be better to walk away.
What is the most expensive thing to fix on a house?
Major structural repairs, foundation work, roofing, structural framing, and replacing systems like plumbing or HVAC often cost the most. These repairs require skilled labor and may uncover additional hidden damage like water intrusion, mold, or rot.
In our survey, plumbing, HVAC, and appliances were among the most commonly repaired systems.
Methodology
This survey for Hippo Insurance Services was conducted by Centiment and fielded on September 23, 2025. It includes data from 2,120 U.S. residents over 18 years of age who currently own a home. The complete, unfiltered data, based on all 2,120 responses, has a ±2% margin of error (MOE) and a 95% confidence level.
The MOE and confidence level for data filtered by specific demographics (subgroups) may differ from the overall result. Because these subgroups are naturally smaller than the total sample, they may have a larger margin of error than the ±2% for the full data set.
External sources:
- Zillow. (2025, February). The end of the fixer-upper: Remodeled homes sell for the highest premiums
- Realtor.com. (2025, September) Roll Up Your Sleeves: An In-Depth Look at Fixer-Uppers on the Market
- This Old House. (2025, May) How Much Does Appliance Repair Cost?
- Home Guide. (2025, July). How much does it cost to repair floors?
- Mr. Handyman. (2025, September) How Much Does Drywall Repair Cost?
- This Old House. (2025, May) How Much Does it Cost to Repair Drywall?
- HVAC. (2023, July) HVAC Repair Costs
- U.S. News. (2025, July) 2025-2030 Five-Year Housing Market Predictions
This article is for informational purposes only. The content reflects general homeowner considerations and is not professional advice. It also includes observed trends within the surveyed population, which do not influence or reflect any insurance product pricing, coverage decisions, or eligibility criteria applied by Hippo. Certain additional information included in this article was compiled from sources not affiliated with Hippo. While we believe this information to be reliable, we do not guarantee its accuracy or completeness. For any insurance-related decision, please consult your licensed insurance producer.
Sources cited are publicly available and referenced in November 2025.
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