Setting a Flexible Remodel Budget: 4 Tips for Planning Ahead to Avoid Breaking the Bank

As a homeowner, keeping an open mind to how much you’re going to spend on your remodeling project will save you the disappointment of going “over-budget.” When asked, “In the past 5 years, thinking about your most recent remodeling project, how did you do versus the budget you were planning on spending?” Houzz.com survey participators revealed that 41% of them went over budget and 33% stuck to their original budget. We hope that you’ll use the following tips to create a flexible range with plenty of room for unexpected costs and upgrades so that you’ll be one of the 33% to avoid breaking the bank.

      • Almost everyone has their dream remodel wish list – whether it’s in the form of magazine clippings, pinterest boards, Houzz ideabooks, or the dozens of color swatches you’ve collected from the local home improvement store. After you have your complete wish list, you may want to take a second look at it to make some revisions. Eliminate some things that may not work in your space, or that may be more of a dream and less of a reality. For example, an outdoor kitchen – great in theory, not so great in Northern Ohio where the weather can be below 50 degrees nine months out of the year.

 

      • Next, create plan A items and plan B items in case you need some more wiggle room for your funds. Having a range from $-$$$ is key to making sure the final result is perfect for your vision AND your wallet. Because let’s face it – your vision may change when you fall in love with the most expensive quartz countertop on the market. Does that mean your only option is to go over-budget? No! If you’re truly unwilling to budge on getting the Cambria quartz countertop, taking a second look at your less expensive cabinets, fixtures, or appliances from your plan B list may be the way you choose to balance the budget back to something more manageable.

 

      • Let’s not forget about the hidden costs. During the demolition process, you may discover in your walls that a previous electrical project wasn’t finished correctly. This could be either a minor or major setback with the potential to temporarily derail your project. Our MBS Interiors design team can assist you in determining where there might be unexpected costs so that you’re prepared for any situation that may arise. Other unforeseen problems could include structural, plumbing, insulation, etc. We recommend setting aside an additional 10-15% above your total budget for these “hidden costs”. Allowing room in your budget to correct these problems when they arise will move your project along at a steady pace, ensuring minimal delays.

 

      • Our final investment tip should be a no-brainer. Do your research! Homeowners that enter blindly into the remodel process could end up purchasing appliances and other products that are more than they can afford. Don’t hesitate to speak with our design professionals about the cost difference between various types of styles, finishes, and materials. Our designers will appreciate establishing a realistic price bracket to work within. Being prepared also means visiting a showroom to get a feel for the products you’re interested in. Find a list of MBS locations here.

 

A recent Kitchen & Bath Design News survey (Oct. issue pg. 38,39) that polled almost 200 kitchen and bath dealers and designers about consumer buying preferences revealed that on average, 19.7% of consumers are spending $20,000-$30,000 on their complete kitchen remodel. Of course, some spend much less and some spend more (as shown in the graph above) so don’t let yourself get caught up in what others are spending. A good rule of thumb to follow is not to invest more than 15% of your home’s total market value into your kitchen remodeling project. Setting this guideline will allow you to recover most of the renovation costs when your home is eventually listed and sold. Whatever you spend, the most important thing is to make sure it’s in a price range you can manage. We hope that these tips have enabled you to create a budget that you’re comfortable with.

 

 

Related Articles

Menu