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C&G’s Guide to Budgeting for Renovations
Finally saved up enough cash for your dream renovation? Whether it’s for your home or investment property, it’s a rewarding process that deserves the utmost attention to detail. This latest C&G blog unpacks some important points to consider before the tools come out!
Start with a plan.
It’s an exciting endeavour – we understand! However, as with any large-scale project you will need a detailed plan of action. Decide on the scope of your renovation, the costs and people involved. If the building or renovation business has a quote calculator on their website, test it out to determine what costs you will be incurring. Depending on your budget you may need to prioritise which upgrades are necessary, and which may have to wait.
Seek professional advice.
It’s always a smart idea to check in with a professional and obtain the green light to go ahead. If you’ve got plans and designs drawn up, consult an architect, tradesperson or quantity surveyor to approve the viability of your ideas. Your choice of materials, finishes and fittings can all impact upon your budget.
Choose the right contractor.
It does not hurt to obtain a number of quotes from different tradespeople so you’re making the most informed and cost-effective decisions. Before appointing a contractor, ensure they fully understand your goals, timeframe and budget. Take your time throughout the consultation process, check references, and seek feedback to avoid any pitfalls later down the track. Mistakes or miscommunication can end up costing you more than you intended.
Set a contingency budget.
Many experts will recommend setting aside 10-15% of your budget as a contingency buffer. It is very realistic for unexpected costs to pop up, as well as last minute changes during the build. Setting this money aside means you can still achieve your goals without compromising along the way. We recommend setting up a spreadsheet or system that documents the project’s finances. Dedicate some time each week to review your invoices and bills to ensure your budget is under control.