Tip #1 -- Budget Wisely

Fixer uppers are full of hidden costs. You thought you just needed to redo to the roof, but you discovered, in redoing the roof, that the entire house has a termite problem. Yikes. To accommodate for this inevitability, set your budget for twenty to thirty percent less than you can afford to pay and don't budge for anything incidental. That way, when unexpected and unavoidable expenses come up, it won't be a catastrophe.

Tip #2 -- Expect Delays

As a rule, fixer uppers are more complicated than they seem. This means unexpected costs, but it also means unexpected delays. Take the time you expect the project to take and add half again. You think three weeks? Try four and a half. Six months? Try nine. You may be pleasantly surprised, but by adjusting your expectations, you'll avoid unpleasant surprises, like having all your new furniture in a truck outside the house only to discover your fixer upper still needs lots of fixing before it’s livable.

Tip #3 -- Fix Essentials First

It may be a lot more fun to think of what color to paint the upstairs bedroom or what kind of stair rail to replace the old one with, but start with the boring stuff like the old heater or the plumbing. Systems like the plumbing or the wiring are where you're most likely to uncover expensive problems and big delays. Dealing with trouble early on will make it possible for you to adjust your budget for more incidental costs, like paint or fixtures, if need be.

Undertaking major repairs on any type of real estate can be tricky business, but when your home’s involved, things can get especially complicated. By giving yourself big budget and time buffers, you'll be able to avoid any truly scary problems.