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How to Plan the Costs of Your Home Renovation

How to Plan the Costs of Your Home Renovation

How to Plan the Costs of Your Home Renovation

If you want absolute perfection within a minuscule home renovation budget, you’re in a fool’s paradise.

There is nearly always something that could make your project cost estimations go over. Usually, it happens.

Yet, if someone still offers a very low quote for heaps of work, it’s likely they’ve prepared to screw you over with tons of hidden costs and additional charges.

It’s as they say…

If it sounds too good to be true, it probably is…

Plus, there are tons of factors to consider during a home renovation project.

So, the home renovation cost of different types of homes can vary by a lot. But if you follow the instructions we’ve jotted down below, you CAN get somewhere close to the amount you’d need to invest. So, let’s look at…

The 7 Steps To Figuring Out The Cost Of Home Renovation

Before going forward, I’d like to emphasize that this is not an exhaustive list of the things you have to do. It’s simply a guide for going about the estimation. If you’d instead like to have an exact cost of home renovation, you should consult someone for home visits.

The reason I suggest this is because all houses are built differently and at certain individual points in time. So, when we talk about renovation, we need to be specific about whether a property can even be renovated in the first place. If that would cause more damage to the house, you’d probably prefer to avoid the investment altogether.

But if you’re all set on a remodeling project anyway, here are some of the things you should do.

1. List Down Key Details

Unless you’re part of the super-elite of the world, you probably have a limited spending potential. So, you may not be able to rebuild your house end to end. It would go way over budget for your pocket.

To remain within or below your budget, you’ll need to specify the exact necessary changes you need. For instance, 6 steps of your staircase may have cracks. If the rest are in good condition, you may not need to re-fix those.

Similarly, your kitchen cabinets may have started acting up, while your slabs look slightly old. In such a case, you might need to replace the cabinets altogether. But the slabs might look new with a bit of touch-up.

The more precise you can be with your requirements, the better for your budget and the contractor who’s about to give you an estimate.

2.  Research The House Renovation Costs

Once you’ve figured out the specifics of your renovation needs, you can begin calculating how much you may need to spend.

There are many costs to account for here. For instance, you may need to factor in the following:

  • The contractor’s commission
  • The cost of labor
  • Material costs
  • Permits and miscellaneous costs

There are many ways to find out how much a specific part of your project may lighten your pocket.

One method is to look up online how much labor, materials, and contractor charges generally add up for projects like yours. Plus, you can also use our guide for renovation material cost calculation for a better idea of your potential material expenditure.

Another thing you should consider is that there are nearly always additional costs in every construction project.

 It’s not just a renovation issue, nor is it that your contractor is trying to charge you extra for no reason. Although that may happen, additional costs can also arise if:

  1. Required material (/s) goes up in price before purchase.
  2. You decide to go for another approach after work has commenced.
  3. Unexpected weather conditions cause harm to (or delay) the project.

So, it’s wise to consider additional funds of around 20% to keep your project on track.

Plus, based on the scope of your project, you may need permits from local buildings or regulatory authorities before you begin construction of any kind. So, you should find out the rules and regulations earlier on.

3. Discuss With Friends And Family

It’s generally better not to discuss your expenses with everyone you know.

The more people you tell, the more opinions you’d have to hear. As a result, you may find yourself in a pinch when making crucial decisions about your project.

But… talking to a few people in particular might be helpful.

Here, I mean people in your circle who may have also recently done a bit of property renovation.

These people can help you understand the ins and outs of potential home renovation costs, problems, and solutions during a project more efficiently.

4. Get Quotes From Local Contractors

So, you have wished it… so you’ll need to get detailed quotations now.

By now, you’ve learned a bit through online research and discussions with friends and family. So, you have a better picture of what you should expect from a contractor.

So, get in touch with well-known contractors in your area.

I recommend that you don’t settle for one or two. Instead, it’s best to get at least 5 different quotations for your project. That way, you’ll have more to go on instead of an “either/or” solution.

Another thing to remember is that if your house is dated, the costs of renovation may be higher.

In that case, even if you may know others paid way less for similar work, the amount you got might be justified. This is because older properties require extra care for the prevention of damage to the property during renovations.

5. Divide Your Budget

Once you have several quotations, it could go two ways.

  1. You’re perfectly capable of going ahead per your budget.
  2. You’re not.

The second is usually what happens. As such, you may need to divide your budget per the quotations given by each contractor.

The cost of home renovation can go up or down based on various factors, especially if it’s a major project. So, you’ll have to set limits for how much you want to spend on a specific part of the project.

For instance, if you have a budget of $50k, you can set a cap of $10k for kitchen repairs. Similarly, you can set a cap of $25k for remodeling your guest house. Of course, these are dummy numbers and the actual costs of your project may vary.

But this method will help you remain in the right direction to get what you want without breaking the bank.

6. Prioritize To Save

You shouldn’t do something you don’t know how.

I know it feels like a waste of time hiring someone else to do something you can probably do yourself. But that “probably” is where the problem lies. Because, if you’re not entirely sure of the how and why, you may end up increasing unwanted costs instead of saving them.

But at the same time, you shouldn’t leave absolutely everything to a contractor either.

There are many minor parts of a renovation project that you actually can do yourself. Thus, an easy way to reduce your renovation expenses is to take charge of some things independently.

Do what you can to do it for less.

For instance, you don’t necessarily need to hire someone to repaint. It’s an easy fix. Similarly, unless it requires a special kind of fitting, you won’t need hired help to replace fixtures like lights or fans.

The fun part is that these are just two examples. I assume, based on your particular skill set, you might be able to do much more.

But again, if you’re not 100% sure, leave it to the professionals.

Final Words

Well, now you have a solid understanding of planning the costs of your home renovation. So, do what you will with that information.

But whatever you do, always maintain a balance between staying within your budget and prioritizing quality.

Oh, and… if you need any more help along the way, we’re just a phone call away. Contact us today for a smooth home renovation journey!

Also Read: Navigating Material Costs in Home Renovation

Meridian Master Builders

"Your vision, Our passion"

Meridian Master Builders Inc.

11019 178 Ave NW
Edmonton, AB.
T5X 6J3

Elio Gabucci: 780.441.5410

Copyright © 2024 Meridian || Made with love by Design Divides

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Copyright © 2023 Meridian || Made with love by Design Divides