Is it better to buy a property that already has everything you want, or to purchase a house that needs modernizing? Both options have pros and cons.
In 2026, the answer will hinge more than ever on your budget, your risk tolerance, and your long-term goals.
The Popularity of Turnkey Homes
“Move-in-ready” properties have plenty to offer!
Despite being more expensive—which is the main drawback, if not the only one—many buyers prefer to avoid the headache of carrying out renovations. This is especially true given the significant and fluctuating prices of materials and labour (they remain above pre-pandemic levels), and extended project timeframes (see the following paragraph).
A turnkey home comes with several advantages:
- No project to plan and manage after moving in.
- More predictable costs, without big, unexpected problems.
- A usually up-to-date kitchen and a bathroom (the two costliest rooms to renovate!)
- A real estate purchase that lenders are more inclined to finance.
For families or buyers pressed for time, this peace of mind justifies the purchase price.
Are Renovations Still Super Expensive?
Although prices for some materials have stabilized since 2022 and 2023, renovating a house still represents a major investment. Costs vary enormously depending on the type of work involved; nevertheless, many homeowners continue to underestimate the budget required.
Before you submit an offer on a property in need of renovation, make sure you factor in: a contingency fund for surprises; delays caused by contractors’ availability; municipal permits (as required); and a possible rise in the price of materials during the work.
A renovation that looked promising on paper can quickly end up costing far more than expected if problems are discovered following the purchase.
The Fixer-Upper: Often a Great Deal
A property in need of TLC is often a wise investment. In some markets, it can even allow buyers to purchase in a neighbourhood where flawless homes are otherwise out of their price range.
The owner can then spread the cost of the renovations by doing them bit by bit over the years, without breaking the bank.
A fixer-upper’s advantages include:
- a lower purchase price;
- a higher potential return on investment;
- an opportunity to customize your space fully;
- an asset that increases in value thanks to well thought-out renovations.
Buyers who are able to carry out some of the work themselves can also realize significant savings. Provided they’re conscious of their limitations, this approach can considerably improve the project’s cost effectiveness.
Beware of the “Facelift”
Not all renovations are equal. A fresh coat of paint and new flooring can create an excellent first impression, but they reveal nothing about the property’s actual state.
Before buying, it’s important to check the condition of several key elements, including the roof, the foundation, the plumbing, the electrical system, the windows’ energy efficiency, the heating system, and any signs of water infiltration.
A pre-purchase inspection remains one of the most worthwhile investments you can make to avoid expensive surprises.
What Can You Afford?
Torn between buying a turnkey home or a diamond in the rough? Look beyond the purchase price and assess the project’s overall cost. A cheaper home requiring $100,000 in renovations could ultimately end up being more expensive than a turnkey property.
It’s also worth checking
- if your financial institution will easily finance the renovations;
- if you need to obtain a line of credit or an additional loan;
- if certain repairs must be carried out right away to ensure the building’s safety or compliance.
So, What’s the Best Deal in 2026?
There is no single answer!
A turnkey home will tend to suit buyers who prefer simplicity, predictability, and immediate occupancy, as well as those with the necessary financial means!
A fixer-upper will often appeal more to those who have a good financial cushion, a bit of patience, and a long-term vision.
These days, the best purchase isn’t automatically the cheapest house or condo, nor the most luxurious: it’s the home whose potential truly matches your life goals and your budget.