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Planning to renovate your home? Just getting started can be overwhelming. Your first step should be examining what you want and need from your home renovation so that you get the most out of it.
What is your goal?
What has made you decide that it is time to make a change in your home? Perhaps you want more space for a growing family. Maybe you want that screened-in porch that you have always dreamed about. Or it may be that you just want to completely change your house’s look through a home renovation. First establish what your overall goal is: more living space, a master bedroom suite, another full bath, a modern kitchen.
What do you need?
Now that you know what your goal is, you need to determine what you need to do to your home to meet that goal. Use this as an opportunity to prioritize what’s most important, and what would be nice to have. Although updating your home’s look would be very nice, it may not be as pressing a need as adding room for your new baby. You may also have outdated pipes or electrical work that needs to be completed; these are improvements that need to be done.
Taking the following steps can help you frame your project so you can begin to set a budget:
1. Make a dream list. Write down everything that you want done for your home renovation.
2. Make another list of what must to be renovated or updated.
3. Take a first stab at a budget. Estimate what monthly payments you can afford if you’re paying for your renovation with a loan. If you have cash saved, set the total amount you want to spend.
4. Get an estimate of how much your dream renovation will cost. This will likely require you to meet with an architect and/or contractor. At this point, you’re not trying to nail down final costs, but get a general price for the work you want done.
5. Make a final renovation list. Compare the cost estimate with your preliminary budget, and decide what you can reasonably afford to do. For example, if you need to redo the plumbing in your kitchen, perhaps you can update the kitchen at the same time, but can’t afford to add a deck or patio. Err on the side of caution, as renovation costs often end up being more than planned.
6. Consider whether any projects can become a do-it-yourself project. This is a great way to save money and can help you to accomplish more from your dream list. For example, you may determine that by painting on your own, you can afford better fixtures or more square footage.
7. Set a timeframe. Does your home renovation need to be completed by a certain time or event? Perhaps you are hosting the holidays for your family or are having a baby. Know how much time you have for the home renovation, and consider giving yourself some breathing room. Renovations can take longer than expected.
Now you have a plan and are ready to get into the details. It can be easy to let home renovations escalate into something bigger than you intended. Stick to your project list, the timeframe, and especially your budget. With this plan in hand, you are now ready to get started on your home renovation.
Next step: Paying for your renovation.