How Do I Stay Under Budget For My Renovation?

Did you know that almost half of all renovation projects go over budget? Yes, that’s right, almost 50%! 

There are a lot of moving parts and hundreds of factors to consider when you are on the path to renovating. Sometimes the path seems pretty straight forward, a nice walk on Newcastle’s beautiful Memorial Walking Path, other times it can feel like you’re scaling the cliffs below the Memorial Walking path.

So how can you make sure you stick under your budget? There are a few simple rules you can follow from the beginning:

1. Set a budget you are comfortable with.
2. Create a list of the things you must have, and the things that are optional.
3. Educate yourself with articles, subscribe to newsletters and emails.
4. Get expert advice from the beginning.

But I have no idea what things cost? How can I set a budget?

That’s okay. Set one anyway. It doesn’t matter so much, as educating yourself and getting expert advice from professional builder will ensure you are guided through the process and they can let you know if what you are planning to do doesn’t fit your budget.

They will ensure that you do not waste your time and money getting plans drawn up for a renovation that is $100,000 over your budget.

Think about it, the $1000-$5000 you spend on getting a plan drawn that is over budget, could just have taken away that gas fireplace or the stone benchtops in the kitchen. It is money taken from your budget.

This happens so often, in fact, 80% of architectural plans never get built!! 80%!!!

Please fall into the 20%, your life will be a lot less stressful I can guarantee you that.

So, what can you do monitor your costs and keep your project under budget?

1. After getting expert advice, ask to get plans drawn up to come well under the budget to form a contingency.
2. Spend enough time working with a professional builder who should be investigating your site, offering reports and information on how best to use your space. The design phase is critical it can save (or cost if done incorrectly) you tens of thousands of dollars, so ample time needs to be spent here. I know you are itching to get started but get the initial stages right and I promise you will thank me for it!
3. Ensure your professional builder has a schedule and plan. Costs can blow out if the project drags on. Especially if you are renting and paying a mortgage at the same time. It’s stress you don’t want, and don’t need, wouldn’t you agree?
4. Don’t make too many big changes. This one is not as critical, unless you are adding another storey to your renovation. Obviously, costs will go up. However, since you already followed step 1 and designed your home to come under budget, you have room to make changes to the plan, or the tiles, kitchen, outdoor area – or anything, because you got it right from the beginning!! Also, having a way to see a real time snap-shot of your budget, upgrades you have selected and any variations which affect the total price is an absolute god send.

A final word, yes nearly 50%  of renovators go over budget, but 50% don’t! Please don’t roll the dice on this, or flip a coin should I say. The stakes are very high, there is a lot of emotion tied to a project this size, especially being a family home and how it directly affects your future.

Please remember that it is your home, but it is also a part of something bigger, you are investing in your city. If you had $200,000, $300,000, $600,000 to invest in the stock market, would you do it without the best possible advice first?

Take the right steps from the beginning, as the old saying goes, – walk first, then run.

For more information on your project or you are unsure about which stage you are at, contact us and get a response within 24 hours guaranteed.

Thinking of Renovating?
Read this First!