Creating a Renovation Budget

creating a renovation budgetDeciding to undertake a home renovation is a big decision that takes a lot of factors into account. The biggest factor that you need to consider is your budget. Your budget will determine what you can and cannot do and will shape the outcome of your renovation.

One of the biggest mistakes we see homeowners making is basing their budget off what they see on television. The budgets shown on popular shows you see on HGTV and on other networks are often very unrealistic and you don’t know what actually goes into them. A lot of times these numbers don’t include labour or design fees, and often they get donated materials and labour from contractors who are willing to do the work for exposure.

In order to get a realistic budget for your renovation you will need to do some research. Look around at home improvement stores, lumber stores and flooring stores for materials. Take a look at appliances and cabinets that you really like. Once you have an idea of the types of items you want included in your project then we can help you prepare a proper budget. There are many “behind the wall” costs that go into a renovation and we can help factor those into the overall budget.

Once you determine the scope of your renovation, you will need to think about financing. Some experts suggest putting away 5% of your monthly income in order to save for home renovations and remodelling. You will need to consider if you have enough money in your short-term savings to pay for the renovation or whether you will need to consider different financing options.

When your renovation budget is complete, it should cover the following categories:

  • Labour
  • Materials
  • Permits
  • Cleanup

One of the main benefits of working with a contractor is that they can usually get the job done much more quickly than if you take on the renovation as a DIY project. Our budget that we provide you with will be complete and show you exactly what things are and are not included in your project.