The typical Canadian homeowner is ready to invest approximately $10,200 in renovating their homes. In 2021, around 11% of Canadian homeowners had plans to spend more than $25,000 on home renovations, which followed a trend that started during the COVID-19 pandemic in 2020.
Homeowners understand that even small projects can be quite a significant endeavor.
So, how can you plan and budget for such projects?
Here are some tips from renovation contractors to assist you in planning for your next
home renovation.
The first step in budgeting for any exterior project, like installing gutters or replacing windows, is to know the costs involved. Even if you have a lump sum saved up for the renovation, it's helpful to break it down into different parts to better understand what you can afford, including the materials.
The charges and their amounts will vary depending on the specific job. For example, a small roof repair will cost much less than a complete replacement, and different aspects of the project may have separate charges.
In general, the following expenses are typically involved in a renovation:
Usually, materials and labour will make up the largest portion of the costs, but it's important to consider other expenses as well. During your consultation with the contractor, they will discuss any additional fees, which are also mentioned in the contract you sign. Be sure to factor in these costs when calculating your budget.
When planning a home improvement project, it's important to understand the costs involved. As a homeowner, you should clearly understand what the project entails, including materials, timelines, and, most importantly, the price. Be careful not to underestimate the costs, as small fees can quickly increase. That's why getting a detailed estimate from the beginning is important.
If you're worried about your budget, consider the following options:
If your home is newer (less than fifteen years old), it typically requires less maintenance. Any issues that arise can usually be fixed with simple repairs. However, it might make more sense for older homes to undertake comprehensive replacements if you're facing problems.
Think about how long you intend to stay in your current home. A renovation can significantly increase your property's
value if you plan to stay for many years. For instance, replacing your front door can return over 90% of its cost, and reinsulating your attic can recoup over 100% of the expenses.
When renovating the exterior of your home, consider a balance between your personal aesthetic preferences and the trends in your neighborhood. If you like the appearance of a wood-clad home, authentic wood siding might suit you. However, if it's not within your budget, you can opt for vinyl siding that mimics the look of wood.
Change orders can sometimes be necessary, allowing contractors to address unexpected issues and keep your project on track. However, it's important to note that change orders often increase project costs.
Why does this happen? Change orders have a ripple effect on the project, potentially causing worker rescheduling, paperwork updates at various levels, ordering new materials, adjusting timelines, and additional labor expenses. The consequences can be extensive.
It's advisable to minimize change orders whenever possible to stay on budget. While certain unforeseen circumstances, like hidden damage, cannot be predicted, you can provide your contractor with a clear understanding of your requirements before the project begins. In other words, avoid changing your mind midway through the project, such as switching from asphalt shingles to a metal roof.
It's impossible to budget precisely for unexpected changes, but you can and should allocate significant funds to account for unavoidable change orders. The recommended amount varies depending on the project and contractor. Discuss with your contractor if you're concerned about determining the appropriate threshold. They can provide guidance and help estimate a ballpark figure based on the project and its scope.
Once you have decided which part of your home you want to renovate, it's important to find a reliable home contractor to carry out the renovation. They can also help you budget your money well while maintaining the quality of exterior renovations.
No matter what renovation you have planned, effective budgeting and choosing the right
home contractor will help you transform your vision for your home into a reality.
At
Abbotsford Home Renovations, we are dedicated to delivering top-notch, trustworthy work that we take pride in. We have contracting/carpentry in Abbotsford, BC. Get in touch with us today to book your complimentary in-home estimate!
We bring pride and passion to every project that we undertake, with a professional team of designers, project managers and tradespeople.
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