Thinking of taking on an older home renovation? Here’s what you need to know before you swing that first hammer.
Older homes can offer incredible potential — charming architecture, solid bones, and big resale value when renovated right. But they also come with surprises… and not always the good kind. At SLG Property Deals, we work with real estate investors who specialize in flipping off-market and wholesale homes. And if there’s one thing we’ve learned over the years, it’s this: know what you’re getting into.
Here’s what to look out for when renovating an older property:
1. Outdated Electrical Systems
Many homes built before the 1970s have outdated or even dangerous electrical systems — think knob-and-tube wiring or underpowered panels. These systems aren’t just inefficient; they’re also a fire hazard and a deal-breaker for insurance providers. Before renovating, have a licensed electrician inspect the wiring and ensure it meets modern safety codes.
Investor Tip: Always budget for a full electrical upgrade in homes older than 50 years.
2. Plumbing Problems
Old pipes, especially galvanized steel or cast iron, can corrode, leak, or clog easily. Plumbing upgrades may require cutting into walls and floors, which adds to your renovation timeline and cost. Hidden water damage and mold are also common in older homes.
Pro tip: Check for low water pressure and visible signs of rust or leaks before purchase.
3. Foundation and Structural Issues
Time takes a toll on any structure. Look for cracks in the foundation, sagging floors, or shifting walls. These issues can be costly to fix and might require engineering reports or permits. Don’t let a beautiful facade distract you from serious underlying problems.
Investor Tip: Bring in a qualified home inspector before closing on any older wholesale property.
4. Asbestos and Lead Paint
If the home was built before the 1980s, there’s a good chance it contains asbestos (in flooring, ceilings, or insulation) or lead paint. These aren’t DIY issues — they require professional abatement and can delay renovations significantly.
Heads up: Don’t start demo until you’ve tested for hazardous materials.
5. Poor Insulation and Energy Efficiency
Older homes often bleed heat in the winter and roast in the summer. Original windows, uninsulated walls, and inefficient HVAC systems can turn into a money pit. Replacing these systems may not be glamorous, but they pay off in long-term value and energy savings.
Pro tip: Energy-efficient upgrades boost resale value and appeal to eco-conscious buyers.
6. Outdated Layouts
Many older homes weren’t designed for today’s lifestyle. Small kitchens, closed-off rooms, and minimal storage can turn buyers away. When planning your renovation, consider opening up floor plans, adding storage, or modernizing kitchens and bathrooms.
Design matters: A modern layout can make an old home feel brand new — and command a higher sale price.
7. Permit & Code Compliance
Renovating an older home often means bringing everything up to modern building code. That means you may need permits for things like electrical, plumbing, HVAC, or structural changes. Skipping this step can lead to fines, delays, or trouble when you go to sell.
Investor Tip: Work with a contractor who’s experienced in older home renos and familiar with local code.
Final Thoughts: Risk + Reward
Renovating an older home can be incredibly rewarding — both financially and creatively — but only if you know what to expect. The key is doing your due diligence and partnering with the right professionals. At SLG Property Deals, we connect investors with discounted off-market homes across Ontario — many of which are ripe for renovation and resale. If you’re looking for your next flip, we’ve got inventory and insights to help you succeed.