Fixer-Uppers Become a Viable Path to Homeownership in 10 U.S. Markets

Fixer-uppers have emerged as a notable path to homeownership for buyers facing affordability pressures, according to Realtor.com, which on July 2025 listing data identified marked discounts in 10 metro areas. The research shows the typical fixer-upper listed for about $200,000, roughly 54% below the national median for all single-family homes. The study defines a fixer-upper as a single-family home at least 20 years old with a listing price per square foot below the ZIP-code median, and it used AI to flag listings marketed as fixer-uppers by parsing common descriptors such as good bones and needs some love. In this market, fixer-uppers are still usually budget-friendly options.

In July, the typical fixer-upper dates from 1958, measures about 1,628 square feet, and has three bedrooms and two bathrooms.

The metros with the steepest discounts were concentrated in the Midwest and South. Jackson, Mississippi, topped the list, where the typical for-sale home was about $299,000 while a fixer-upper carried a price tag of $66,750 — a discount of about 77.7%. That gap reflects what real estate adviser Alan Philipson described as an opportunity to access desirable neighborhoods without paying turnkey prices, while still leaving room for renovation and potential appreciation. Another standout was St. Louis, where a fixer-upper posted a 68.3% discount; if the median list price was $315,000, the fixer-upper could be purchased for about $99,900.

Rounding out the top ten were Birmingham, AL, and Pittsburgh, PA, each offering discounts above 67%. In Toledo, OH, the typical fixer-upper carried a median price of about $79,975 versus a overall single-family median of $234,075. Other notable savings were seen in Detroit and Dayton, OH, where buyers spent roughly $185,000 and $162,400 less on fixer-uppers compared with move-in ready homes. Rounding out the list of deep discounts were Little Rock, AR (about 59.7%), Wichita, KS (about 57.9%), and Kansas City, MO (about 56.4%).

Overall, 10 metros stood out for offering the deepest savings on fixer-uppers. Notably, all of these markets have median single-family listing prices that are already below the national median, suggesting the discount on fixer-uppers is more a factor of local affordability than a percentage of value. In addition to the top-discount markets, the study found that the Midwest and Northeast also hosted the highest shares of fixer-uppers on the market, with a notable overlap between the markets with the deepest discounts and those with the most fixer-upper listings. Syracuse, NY, for example, had 11.5% of its for-sale properties requiring TLC as of July.

The broader takeaway is that the fixer-upper pathway can be appealing where supply of traditional turnkey homes is tight and demand for lower-cost, rehab-ready properties remains strong. Joel Berner, Realtor.com’s senior economist, noted that the strongest opportunities tend to arise in markets where supply is constrained yet demand for renovated homes remains high, particularly in the Midwest and Northeast. He cautioned, however, that not all fixer-uppers are created equal and urged buyers to assess their renovation capabilities and finances before committing. Alan Philipson, a Compass real estate adviser, emphasized focusing on cosmetic or moderate issues rather than heavy structural problems to maximize leverage in negotiations.

Buyers should also be mindful that renovation costs can erase a portion of the apparent discount if projects run long or exceed budget. Financing rehab projects, securing permits, and managing timelines add layers of complexity to a fixer-upper purchase. Even so, the combination of deep discounts and the potential for value appreciation after renovations has kept demand steady for renovated properties. The Realtor.com analysis suggests that fixer-uppers will continue to attract interest in markets where affordability gaps are evident but where buyers can realistically absorb renovation costs and still expect a solid return on investment.

In sum, fixer-uppers offer a tangible path to homeownership for many buyers, particularly in Midwest and Southern markets where affordability conditions are more favorable. The approach requires careful due diligence, practical renovation plans, and a clear understanding of financing for rehab work. When these elements align, a fixer-upper could convert a budget-friendly listing into a long-term home or a profitable resale, reflecting a broader trend in the evolving United States housing market.