In order to make a realistic budget for your own project, do research before you commit to a number. Setting limits in your head, when you are not informed tends to anchor you on a specific cost before you really understand the scope of the work. If you see a kitchen renovation on TV costing you $7,000, this may be because some of the contractors have donated their time to the show for exposure. You will soon realize later that for it to be done correctly, its going to cost you more, but you may be set on your $7,000 price tag and it may not end up being renovated properly
An idea would be to start off by window shopping for materials so you know what they will cost before you commit to a project. You should bring in a few contractors to get labour estimates. then add on20% to 40% top-up on the labour quote because you never know what you’re going to run into in a reno. If you choose to buy the materials, make sure you bring your budget with you so you’ll stay on track. But many contractors, us included, get whole sale pricing on our materials so you may just want the contractor to handle both the materials and labor, but atleast you have an idea on cos, by having properly educated yourself and being realistic on "Extra charges" and "top-ups"
Renovations take a long time. On TV, renovations go from conception to perfection in a few short weeks. But there are things the camera doesn’t show. Things are done quickly and cheaply on tv, but they do not show you that at least 20% of the work isnt even finished and the low costs are due to promo and exposure discounts. These shortened timelines and low costs, can set up heightened expectations that are just not realistic. These 3 day renovations are planned months in advance and done through the evenings, leaving unfinished work off-camera. IT can take 8 weeks just to have your kitchen cabinets built. HGTV has made it look like you can build your entire kitchen in your driveway in a weekend and its unreasonable and makes work harder for contractors when home owners have these unrealistic ideas
Before you get started on your own renovations, draw up a timeline with the contractor so you’ll know what to expect. At Conrad Contracting, this is part and parcel of the renovation and gives us a baseline for discussion if things take longer than expected. If permits are needed, we are sure to need some extra time for them
It’s important to realize quality contractors, like ourselves, aren’t necessarily available right away. We generally book two to three months out or longer, depending on the job. We also schedule things so only one contractor or two at the most are in your home at once, unlike what is shown on TV.
To keep things running smoothly, its a smart idea to buy all the materials ahead of time, and remember it’s common for items to be out of stock or for the wrong product to be shipped. If you give us the green light to buy other materials as the need arises it will keep the process running smoothly.
If you decide to do some renovation work on your own, make sure to get help from a buddy with some experience. It’s not realistic for someone to read a book and then do their own renos properly, but it is realistic if they are being supervised by someone who knows what they’re doing. Even so, you’re probably better off leaving plumbing, electrical and structural work to the pros.
Funding the renovation : If you do not have the savings, a line of credit secured against your home will give you a lower interest rate, but unless your lenders cover costs for legal fees and an appraisal, you may need to pay $700 to $1,100 to set one up.
If you get a line of credit, make sure you have the cash flow to make the payments and cover your other financial obligations, and give yourself a deadline to pay it off. Lenders will usually extend credit if your monthly obligations are less than 40% of your gross income, but you’ll want to stay below that number to protect yourself against rising interest rates.
If you can’t pay off the debt promptly, you might be better off refinancing your mortgage.
The reno may or may not add to your home’s resale value. Check out the graphic below:
And if you choose the wrong renovation project or make unpopular design choices, you may get no return on your investment, or even reduce the value of your home. If your renovation isn't up to par, you might as well just burn the money. If it’s not up to the quality expected in the neighborhood, don’t do it. We can help you with quality renovation ideas and design concepts. Also remember your new kitchen won’t be considered new unless you sell in the next couple years, meaning it may have no impact on the amount buyers are willing to pay.
If you’re concerned about resale value, shy away from ornate designs, bright colours and overly personalized renovation projects. We recommend picking something relatively neutral for your counter-tops and cabinetry, and then use bright colours and accents in paint. If you like bold colour choices, you can change the paint before you sell. Of course you could just not bother with the pressure of whether anyone else will appreciate your renovation, and just renovate for yourself. AS long as you do not get too crazy, inappropriate, cheap or gaudy, your renovations should not negatively affect your property's resale value. ( knock on wood ) We are just giving you ideas and options to make an educated choice. We like to guide you through merging your own style with appropriate renovation design for your property, area and style of home, hence the reason for hiring a contractor rather than taking a huge renovation project upon your own shoulders
You can’t afford to be passive. You can be sure we will not want to dominate the renovation process, giving you only one or two chances to have input. WE do not expect Carte Blanche and not expect you to weigh in again until the project is finished. In reality, if you take a passive role in your renovations, you do increase the likelihood of running into problems. We like to work with you as a team
We do not expect you to take your eye off the ball or abdicate responsibility. If you disengage from the process, we are no longer working as a team
Having said this, we do not want you to micromanage our every move, but you do need to stay on top of developments and be responsive when we ask you to make decisions. Look at the details and listen to your intuition as to whether you like what you’re seeing,
A properly planned project won’t create major drama. A well planned renovation doesn't have much excitement, its boring, meaning its well planned. Stress is not necessary
Renovations have been giving the negative aura of being a "horror show" It doesn't have to be that way at all if you put in the time to find the right contractor, this will reduce surprises and never give the contractor all the money upfront - stay in control by paying in installments. According to the CMHC, it’s common to pay a deposit of 5% to 15% when you sign a contract—more if you’re getting custom-made products, such as windows and doors.
Reduce potential drama with your partner, by having frank conversations about your goals and expectations before you get started. A lot of couples assume they have the same vision for a project, but this is not always the case. You need to have some really candid discussions about who’s responsible for what and make sure both partners are on board.
Brought to you by Conrad Contracting Inc. If you would like us to give you an estimate on your potential renovation, we are most happy to do that. Call us today at ( 250 ) 508 - 6601