In one line: A home priced below its neighbors because it needs work, and the buyers it attracts.
A fixer-upper is a home whose condition holds its price under the neighborhood's: dated kitchens, deferred maintenance, sometimes real damage. The discount is the compensation for taking on the work.
The economics only work when the discount exceeds the repair cost plus the hassle, which is why fixer buyers think in ARV and repair budgets rather than asking prices. The listing description usually tells you first: TLC, handyman special, bring your contractor, sold as-is.
Kouzr reads listing descriptions for exactly that language and scores the price against nearby comps, so the fixer-uppers with a real gap surface first.
A worked example
The description says 'needs TLC, bring your contractor, priced to sell'. The county says 1974, 1,480 sq ft, flat roof. That is a fixer-upper: the words admit the work and the record says what kind.
Questions people ask
How does Kouzr decide a home is a fixer-upper?
By reading the listing's own description for the language agents use when a home needs work: as-is, TLC, handyman special, needs updating, bring your contractor, original condition. The fixer-upper pages list exactly those matches, so the definition is the agent's words, not a guess about the photos.
Can I finance a fixer-upper?
Often, with a conventional or FHA loan if the home is safe and habitable at closing, or with an FHA 203(k) or Fannie Mae HomeStyle renovation loan if it is not. Listings marked cash preferred usually mean the seller expects it to fail a lender's condition rules.