As homeowners, most of us certainly have a long list of upgrades and home improvements that we wish to get sooner or later – whether it’s for the purpose of upping the resale value of your home or finally making your dream home into a reality. However, speaking of reality, home renovations can be expensive and time-consuming. It will take some saving and some sacrificing to make it happen. But the good news is that you can make it happen – and this article will list down a few ways to save up for your dream home renovation. Let’s get started.
Get a precise, realistic estimate of the total cost of your home improvement project. Consult with contractors and price out the materials you intend to use. If you are going to improve your heating or air conditioning, ask your contractor how to get an affordable HVAC system. Inquire with other homeowners in your area about their spending plans for similar projects. Once you’ve determined how much you need to save, leave some wiggle room for the inevitable surprises that always seem to occur.
Creating a renovation budget is one of the ways to save money for house renovations. This entails calculating the cost of your renovation and then dividing that figure by the months remaining until completion. This will provide you with a monthly budget to help you plan your spending.
Your budget will be determined by the scope of your renovation (new bedroom versus a total house makeover). But here are some things to think about:
Any permissions? (especially for external works or heritage-listed properties)
The cost of hiring a plumber, electrician, carpenter, or painter
Removal of old materials and demolition
Skip hire (for throwing out heavy rubbish)
new fixtures (taps, handles, lights)
Cable management, especially if you plan to update or add new electrical or network cabling
Tiles for the floor and walls
Blinds and curtains
If you need to leave for a few days or weeks, you’d have to find temporary housing
You can also use your renovation budget to put money aside in a monthly savings account. This will ensure that you have the necessary funds when you need them and some elbow room if your costs get higher than expected.
Home renovation is a financial goal you want to achieve strategically, and a good strategy is to open a savings account solely for your renovation expenses. A dedicated fund will allow you to keep track of your savings goals and progress and eliminate the temptation to use your savings for other purposes.
You’re renovating a home, not a hotel. Gold faucets, chandeliers, and extensive landscaping would be visually appealing, but they are optional and realistic. Being realistic does not imply being boring, though. There are numerous creative solutions and cost-effective suppliers for outfitting your home – factory seconds and surplus stock clearance centers, to name a few.
Don’t feel obligated to renovate every room at a time. If you only have enough money to redo the bathroom and not the kitchen, resist the urge to go overboard.
You can also save money on materials and appliances by waiting for sales if you are not in a hurry. Major department stores, lighting stores, and plumbing and tile stores have regular deals that can help you stay within your budget.
While saving for your home improvement project, learn some DIY skills that will help you save money on contractors. For example, instead of hiring a professional painter, you could do the painting yourself or learn how to install tiles. Choose something that interests you, and you may discover a new hobby in addition to savings.
One of the most common mistakes homeowners make when renovating their homes is underestimating the project’s costs. Everything, including architect fees, the cost of drawing up new plans, contractor costs, and the actual cost of any new fixtures and materials, must be factored into the price of the improvement. Is your architect using 3d visualizers? Do you need to pay for temporary storage for your furniture and appliances during the renovation? These are just some things you need to consider to ensure you get a more accurate estimate of the costs.
If your savings plan does not work out as planned, despite your best efforts, you can always scale back your home improvement project and still benefit from some updates. Instead of replacing outdated kitchen cabinets, refinish them, or install new countertops instead of remodeling the entire kitchen. Instead of spending money on new fixtures, replace the bathroom floor and paint the walls. Take your project in stages and make minor improvements as your budget allows.
Guest Contributor: Bash Sarmiento