Home renovation is tiring and often costly. Most people who desire to contain the expense of their home renovation project end up spending more on it. This happens even though they plan and estimate an initial budget. But why do people overspend? This often happens because people make an unrealistically small budget to spend less on the project.
They fail to realize that overlooking important aspects and keeping aside less than the required budget will not reduce the cost. The right approach to spending less on your renovation project is to be mindful of your existing budget.
These tips help reduce costs by cutting unnecessary expenses and promoting the more efficient use of raw materials. If you are planning to start a renovation project soon, here’s what you should do.
1. Stick to your plan
Some people hire professional contractors to revamp their houses, while others DIY their home renovation projects. If you have hired a contractor for the project, trust them and let them do their job.
Often people try to forcefully insert their input which turns out to be costly and faulty simultaneously. So, the best way is to communicate and discuss your idea.
On the contrary, if you choose a DIY renovation plan, you can search for handyman tips on Google to help you along. These tips can simplify the seemingly complex tasks in your DIY home renovation project.
Alternatively, you can discuss your project with experts if you know any. Discussing your projects with them will help you clarify any ambiguity related to your project. Some people start their project but hire professional help midway, which is not helpful.
This change of plans and strategy increases their set budget. Whichever method you choose, stick to it till the end.
2. Work on making a realistic budget
One of the reasons for exceeding the set budget is the absence of a proper budget. It happens because people start being cheap. In reality, it is an estimate of how much you can spend depending on the extent of changes you require in your house.
So, start with an amount you can allocate to your project and then think about what you can achieve in that figure. You can make reasonable estimates by taking a round of the market and enquiring about the costs of supplies available.
If the material is expensive and your allocated amount cannot meet the expenditures, you may want to scale down on your plans. You can make a spreadsheet and write everything, including your flooring choice, faucets, paint, cabinet hardware, etc., against their cost.
This way, you know what you are dealing with in reality.
3. Get quotations from multiple contractors
While many people think that general contractors are expensive, homeowners who worked with them can vouch for their expertise and necessity for the success of a project. A homeowner renovating the whole house can hire a professional general contractor. General contractors have the experience to help you make budget-conscious decisions.
If you have decided to take professional help, make sure to get bids from different contractors. This way, you can compare their quotations to make the most informed decision.
4. Search different vendors for buying building supplies
One way to save money during a home renovation project is at the time of purchasing building supplies. This is also an area where homeowners tend to overspend. The best way to go about it is to visit multiple shops and estimate the price against the quality.
An alternative plan is to look for used or recycled material available in good quality. There are some online sites where people are selling this material so cheap that it seems like they are giving it away. Search for those sites to save some money spent on materials to help you cut down some costs.
5. Oversee the renovation project
Many people overspend on a home renovation project because they are too busy to supervise changes. While overseeing does not necessarily mean interfering with the contractor’s work, it implies how much supplies are used and proper care of the remaining material. Being the house owner, you have to make sure the money you spent on buying the material brings value and is not wasted.
You might be tempted to hire a project manager if you are too busy, but be ready to incur an additional 10 to 20 percent of the project’s overall cost. You can save this money by managing your schedule and taking out some time.
Instead of a project manager, you’ll be responsible for keeping the inventory record and ensuring that all the laborers come on time and finish their daily milestones to ensure on-time project completion.
6. Avoid using the credit card to pay the bills
Paying with a credit card is effortless; you don’t have to carry stacks of cash all the time. But think about the hefty interest you will pay if you make payments by your credit card. So, using cash to pay the contractor and buying material is a tried and tested way to reduce renovation expenses.
7. Don’t rush your renovation project
Often you are too eager to see the final product of your renovation project and try to rush the laborers, forcing them to overlook details. But remember, your contractors and the workers might not be worried about the quality of work, but you should be.
Unnecessary pressure on the contractor leads to compromised work quality, which you will surely regret later. Similarly, in their rush to complete the renovation, some people do not conduct a market analysis. This way, they often end up buying expensive or low-quality material, which ultimately costs them more.
8. Sell the material that you don’t need
The easiest way to save money during your renovation project is by selling stuff that is not needed. You might be changing fixtures or furniture in your house, so selling the old ones will help you gather some money for a replacement.
You can put all your sellable stuff on the buy/sell trade sites like Craigslist, OfferUp, or Facebook. The likelihood is that you will find people in need of this used stuff at a reasonable price.
Home renovation is a costly project, but it becomes more expensive through mismanaging. Regardless of the budget, mismanagement leads you to spend more. However, by making small changes here and there, you can reduce your renovation expenses without impacting the quality of the work.
So start collecting cash to pay for supplies and contractor fees a few months before starting the project. Similarly, look for contractors with a reputation for charging a reasonable price with good quality service and keep an eye on sales for buying the material at a discount.