Let's say someone finds a $1 million house that needs $250,000 in renovations to become that $1.5 house. They would need 20% down payment, plus $250,000 to renovate, plus closing costs, which is approx $500,000 total. If they buy the $1.5 house, they can get 80% financing, so would only need $350,000. If they put down down 25% to get a little better rate, they still only need $425,000. On top of that, I find couples in this price range are in 2 categories, either a 2 income family, so who has the time to get involved with major renovations, or investment bankers and the like where only 1 spouse works, but so many hours that the other one would feel like they had a job just doing renovations. Most of these people have young children, making this job even more difficult.
You may find a person here or there who is looking for what you are talking about, but it is probably rare, regardless of how great a deal it looks to you on the surface.
Licensed Associate Broker
Accredited Buyer Representative
Legends Realty Group