A large share of the cheap flats listed in Madrid need renovation. Buying to renovate can be a good decision if you run the numbers properly, but it is also the easiest way to blow your budget.
When it pays off
It pays off when the purchase price plus the renovation is clearly below the price of an equivalent, already renovated flat on the same street. If the gap is small, the risk of the works is not worth it.
What usually drives the cost up
- A complete rewiring and new plumbing in old flats.
- Replacing windows and joinery.
- Damp in ground-floor or top-floor flats.
- Permits and municipal fees, which vary with the type of work.
Always get two or three fixed-price quotes before signing the deposit contract, and add a contingency margin on top of the total.
