Understand all the costs involved in renovating a home.
There are many different types of home renovations and many different reasons to renovate. Maybe you need to reshingle the roof or make practical repairs. Maybe you want to retrofit your exterior with new siding, or improve your insulation or mechanical systems. Or maybe you want to add an extension or convert an unused basement to living space.
Whatever your plan, renovating will not only improve the look and feel of your home and living space, it will also protect your investment by adding value to your home.
Your first step is to plan.
As with any complex project, planning is the first and most important step. The adage, “measure twice, cut once” applies quite literally when it comes to renovations.
To start, check with your municipal building department to determine if the renovations you're planning are allowed under current zoning and by-laws and that they conform to building code.
Next, decide whether you need to hire a contractor.
From painting to making minor repairs, there are many small projects you can handle yourself, but do you have the skills and tools to fully renovate a kitchen or bathroom? There may even be some tasks that must be performed by certified tradespeople in accordance with local by-laws.
Renovating is really a full-time job, and trying to do it yourself can be time consuming and costly. For larger jobs, consider hiring a full-service renovator, who can take responsibility for the entire process from obtaining permits and drawing up plans to hiring a contractor and supervising the work being done.
Make sure you have the money to finish the reno.
Before undertaking any renovation project you will need to have a clear understanding of the costs involved. You should obtain at least three estimates for the work from qualified contractors.
Anticipate spending an additional 10-15% for unexpected costs.
With a reliable figure in hand, you can look at your financing options. You may want to renegotiate your mortgage or apply for a personal loan.
However you decide to pay for your renovations, G&F Financial Group can help.
Are you renovating to stay or to sell?
If you’re planning to sell, be sure to connect with a G&F expert. They can provide valuable input into where to spend your money so you can get the most from your sale.