So you’re considering doing some home improvements. If the extent of those renovations is anything but very minor, it’s a good idea to have a plan before you start anything. You don’t want to start racking up costs without comparisons, cost analysis and seeing what your return on investment will be.
Extent of Your Home Remodel
Some things to consider before deciding on what you’d like to remodel:
1. Return on Investment
No renovations will give you 100% return on what you spend. Data gathered by Remodeling Magazine’s and documented in their annual Cost vs. Value Report provides the percentage of return on investment on different remodeling projects. The figures vary, based on the region you are located in. But it portrays a good basis on which to make your remodeling decisions.
2. How Long You Plan on Living in the Home
Your plan should take into account whether you are doing the remodeling for personal and lasting enjoyment or because you believe it will increase the sale value. This is important when deciding how extensive (and expensive) you want to go. If you plan on living there for years to come, then you may want to spend more for your own pleasure. If you plan to sell in the near term, you need to decide what needs to be done to make it more sellable and pass inspection.
3. Neighborhood Style and Standards
There is such a thing as remodeling past the value of other homes in your neighborhood. You might be spending thousands to create a masterpiece that still won’t be worth much more than your neighbors’ more modest, but functional homes.
4. Tax Credits
Check to see if there are any federal, state or local tax credits or incentives available for the renovations you’re planning to do. These could help off-set the cost of the remodel.
5. Effects on Property Taxes and Homeowners Insurance
On the opposing spectrum, you should research whether and how much your improvements will impact your property taxes and insurance premiums.These impacts will not only affect you while you’re living there, but will also trickle down to future buyers should you decide to sell.
What Your Remodeling Plan Should Consider
After you’ve determined what the extent of your remodeling project will be, you will need to make a schedule and plan for implementing the project. Here are four areas that you need to include:
1. Details of the Remodel
It’s a good idea to take measurements of the space to be remodeled to use during the designing phase, and carefully document what changes will be made to the space. If you plan on doing some of the work yourself, determine what tools and materials will be needed. How will the changes impact the electrical wiring, plumbing, structure, and other affected areas?
2. Duration of Project
The estimated length it will take to complete the project is important so that you can plan for adjustments to your everyday life. Most projects cause some inconveniences, so planning ahead for how you will live through the upheaval can prepare you better.
3. Budget
Few of us have unlimited funds to spend. Setting a budget for the home remodel will keep you in check when unanticipated events arise that can increase costs. The budget you set should take into account the extent of your remodel (see above for determining factors).
4. Consult a Professional Contractor
You’ll need to request bids on your project from contractors. The more information you provide to them, the more accurate and complete their bids will be. For example, if you already have some of the materials, tools or design plan, they may reduce the bid accordingly. Make sure you get critical information from contractors, such as, reviews, references, licensing and bonding, certifications, and, of course, costs.
5. Contract
Once you settle on the contractor you want to do the job, make sure you have a signed contract in place before they start on any work. The contract should include the project description, any inspections, permits, licenses or warranties required, estimated start and end dates, payment amounts and due dates, insurance and property damage liability.
Finnteriors Can Take on any Home Remodeling Project
Finnteriors has been in business since 1990 as a family owned and operated construction and remodeling company. We provide professional remodeling services at a price that fits any budget. Our goals is to bring your design ideas to life.
Contact us today to find out how we can help you get that remodeling project started!