If you’re preparing for large-scale home renovations, you’re probably going to be shelling out thousands of dollars. With the proper budgeting, however, you can eliminate wasteful spending and get the most bang for your buck. Here’s what you should know when budgeting for home renovations.

Goal-Setting Before Budgeting for Home Renovations

Before budgeting for home renovations, it’s important that you begin setting goals for your future home. 

You could say that your goal is to “make my living room more comfortable” or “get rid of the ugly carpet” — but those aren’t specific enough. Why exactly are you partaking in home renovations to begin with? Is it structural (e.g. fixing your HVAC system), or is it cosmetic? It’s important that your goals are specific so that they can be broken down into smaller tasks and completed one at a time.

Once you figure out your goals and intentions are for your home renovations, you can begin making checklists for what jobs need to be done and what equipment you’ll need. This will help you visualize the budget you’ll need when the time comes.

For example, if you want a cosmetic living room renovation, an example checklist for jobs would be:

• Redo living room paint
• Rearrange furniture/purchase new furniture
• Furnish with new appliances

Then, you can account for equipment needed:

• Paint trays
• Brushes/rollers
• Furniture

Create an Outline for Costs

Once you’ve established what goals you have for your home and what tools you’ll need, then you can really get started on budgeting for home renovations. 

The best way to do this is by creating an outline of all the things you can do personally and all the things that require professional help. Then identify which ones can be done yourself or by a contractor at reasonable costs. For example, a professional conducting HVAC service on your home can run an average of $4,080, but costs can rise up to $15,000!

Furthermore, try not to cut corners when it comes to budgeting. We know budgeting for home renovations can be difficult, but if something is financially out of reach, it’s best to hold off. The last thing you want to do is skimp on costs and end up with a shoddy renovation job.

Contingency Funds

You will also want to set up contingency funds. Contingencies are “what if” funds that you can access for unexpected expenses that arise during the renovation process. Some examples of common contingencies include:

• The project takes longer than expected
• You exceed your budget by 20%
• You run into a problem with permits or inspections that delays construction

Understanding the Contracting Field

Once you have all your ducks in a row, it’s now time to start sending feelers out to contractors. One of the most important things you can do when budgeting for home renovations is to hire a contractor with the right skills, experience and certifications. This is because contractors with these qualities have a better chance of delivering on time and on budget than those who don’t have them.

Take into account the three precepts: skills, experience, and certifications. You’ll want a skilled contractor who can perform all the tasks laid out and has a team of people that can provide exceptional service. Moreover, the more years of experience they have, the better. You’ll want someone who has years of experience and one who has worked with the size and scope of your renovation projects. Certified technicians are a plus!

Of course, these are all ideal characteristics, which means they could make or break your bank. Finding a healthy middle ground of contractor experience and affordability is key!

Budgeting for Home Renovations with GQ

At GQ Renovations, we provide a multitude of home renovation solutions. On top of that, we work hand-in-hand with all clients, which ensures that budgeting for home renovations is a breeze. To learn more about our services, please visit our website and get in touch with us today!