By Addison Herosian · Winnipeg REALTOR® · Real Broker Manitoba Ltd.
If we walked into a $400,000 bungalow in River Heights and saw an older roof, wiring that needed replacing, and signs of water in the basement, I’d want three numbers before we talked about an offer. What have comparable homes actually sold for? What will the work cost? And what would we pay for a similar home with the work already done?
Let’s run it on a roughly 1,000-square-foot bungalow. The house we’re evaluating is hypothetical. The three historical sales are real, and the repair budget uses published Winnipeg contractor pricing and stated allowances.
Start with what actually sold
These three bungalows were on the same street, and the sale prices were $70,000 apart. Before I gave any of them much weight, I’d want to know what condition they were in when they sold, what came with the lot and garage, and how much usable space they had in the basement. For a live offer, I’d pull newer closed sales and look at the listing photos and details. The City’s public sales book covers transactions through April 1, 2025. City of Winnipeg residential sales books
Price the work one line at a time
Add the $400,000 purchase price and an $8,000 closing allowance and you’re at $451,200 all-in. The closing allowance includes $5,650 in Manitoba land transfer tax, assuming the fair market value at registration is $400,000. I’d replace the allowances with written quotes and actual closing figures before relying on the total. Manitoba Finance land transfer tax rates
Where I’d draw the line on the offer
Say fresh sales support $450,000 for a comparable bungalow with the work already done. With roughly $9,000 in closing costs, that option comes to $459,000. The fixer saves $7,800 on paper. If I wanted a $10,000 cushion for taking on the work and the disruption, I’d be closer to $398,000 on the offer, assuming the repair scope holds.
The first number I’d try to confirm is the basement footage. If the contractor comes back at 60 feet instead of 30, the extra waterproofing and contingency add $12,600. Now the fixer comes to $463,800. The same house that looked $7,800 cheaper is suddenly $4,800 more expensive than buying the comparable home with the work done.
At $400,000, I’d keep looking at the deal while we pin down the scope. If the basement needs twice the work and the price stays where it is, I’d pass on these numbers.
Looking at an older Winnipeg home? Send me the listing. Let’s run the numbers before you write the offer.
