Budgeting for your new kitchen or bathroom remodel is complicated. You must find a healthy balance between getting what you want and keeping things affordable. Homeowners are not only financially responsible for the design and decor, but for the man hours, construction materials, and other miscellaneous costs. Creating a budget is the most efficient way to stay on target with your ideas and your finances.
Below is a list of steps on how to create the most accurate budget for your kitchen or bathroom remodel:
Decide What You Want
To get an idea of how much a renovation is going to cost you, you need to know what it is you want to be done. Are you simply looking for touch-ups? Do you want to start with a blank canvas? Or are you looking at more significant renovation tasks like tearing down walls and creating more space? Next, browse kitchen and bathroom products online with service providers like Gilmans Kitchen and Bath to see how much the items you’re most interested in would cost. Pick out kitchen cabinets, sinks, floor tiles, tubs, toilets, and whatever else you’d like to have in your home.
Get Some Estimates
The first thing a kitchen and bathroom remodeling contractor will ask you is what you’re interested in getting done to the space. Now that you have a better idea of what you want to be done, you have a place to start for estimates. The contractor will likely take some measurements, hear your ideas, and then provide you with an estimate on how much it would cost to create the kitchen and/or bathroom you want. You should talk with a few contractors to make sure you’re getting the best deal on the services.
Consider Other Costs
There are other costs with renovations that you’ll need to factor into your budget. As the work gets underway, there can be issues that cause construction to delay. This could include a structural issue or safety hazard that needs to be addressed, such as the presence of mold or electrical wires that have been chewed on by mice. If the contractor needs to repair the damage or invest in other supplies to make your home safe and up to code, this will be added to the budget. So, whatever you’ve been quoted by contractors, add a nice cushion for incidentals.
Decide What You Can Afford
You’ve got a list of prices for the items you want to be installed in your home. You have a few estimates from kitchen and bathroom remodel contractors. You’ve also considered the additional costs. This information is enough for you to get a range of how much it would cost to have your kitchen and/or bathroom remodeled. Based on this range, how much can you afford? Remember to factor in a bit of a cushion for those unforeseen circumstances.
If you want a kitchen or bathroom remodel, but don’t necessarily have all the cash upfront to pay for it, there are other funding options you might consider to boost your budget.
Home equity loan – Homeowners can now apply for home equity loans even if they don’t have much equity in their homes. The loan, if approved would provide you with the funds you need to finish the renovations. Keep in mind, however, that this will be a sizeable monthly payment that you have to cover each month to avoid losing your home, so you should only go this route if you can afford to repay it.
Charge It – If you have a credit card with a large limit you could always charge the renovation to your card and pay it back over time. Just be sure that you can make more than the minimum payment each month. The longer your credit card balance is high the more you pay in interest and the more impact it can have on your credit score.
Earn More – If you seriously don’t have the cash for a renovation, it’s probably best to put it off for a few months. You can start accumulating funds by earning more money. Rent out a room in your house, get paid to manage social media online, sell your things at a yard sale, or whatever other ideas you may have to earn extra money.
Kitchen and bathroom renovations are costly, but when done correctly, you’ll surely get a return on your investment. Before getting started, it is best to do some research to get an idea of what you can afford. Start looking at the prices for your visions, get estimates from qualified renovation experts, factor in a cushion for incidentals, and from there you can calculate a ballpark number for how much it would cost to get everything done. If you’re a bit strapped for cash, the above ideas should give you the boost you need to create the home of your dreams.