To Remodel Or Not To Remodel? That Is The Question.
Among all the things that trended worldwide during the pandemic and the lockdown season, one of the top things that many people did other than bake banana bread, learn how to cook, and became plant parents is home improvement and remodeling.
With all the time they had crammed in their homes, many homeowners decided to become productive and get to doing some much-needed updates at home. Some gave their properties a landscape redo. Others gave their homes a facelift with new paint jobs. Many folks worked on their interiors and still some more converted unused spaces into man caves, she sheds, or home offices.
And then some did major renovations on their properties. In most cases, it was the lack of space that led them to it. With every household member stuck at home during the entire lockdown season, the space became too cramped, so remodeling was more of a necessity. It was either that or look for a mortgage broker and buy a new house, which is quite impractical at this point.
So if you’re considering joining the Pandemic Home Remodeling Club, here are a few things that you need to think of before making the jump.
- The project will cost you more.
The demand for contractors has significantly increased during the pandemic. And while plenty of contractors are available, because of the demand for their services, some shrewd contractors might initially offer a good deal for their services to get you to sign a contract. Once you’ve closed the deal, they can easily upsell you on some unforeseen concerns that need to be addressed. And while the prices may seem reasonable, some of them will take this opportunity to jack up the prices.
Do your due diligence and find out what the current prices are. Get multiple bids if possible and be as detailed as possible with the contract, especially with the time, materials, work, and costs.
- It will take a little longer to finish.
With COVID-19 affecting the supply chain globally, delays in shipment and delivery of materials should somewhat already be expected. The efficiency and operations of manufacturers, suppliers, and even logistics have been greatly impacted by the pandemic. That being said, projects will most likely take a little longer than usual to complete during this time.
- Take into consideration the scope of your property value when spending for the project.
When it comes to upgrading your property, be careful to stay within the price range of your neighborhood. Even if you spend a lot of money on materials, trimmings, furniture, and finishes, if the project’s total value is more than the scope of your property value, you will end up losing money if you intend to resell in the future.
- Think percentage.
Since we’re already talking about reselling, one important thing to note is this: if you intend to have your property listed soon, always think in percentage as far as renovations are concerned. For instance, your home’s current fair market value is $1 million. We recommend keeping your renovation budget at 10% of your property value, or $100,000. This gives you bigger chances at recouping your costs and getting a good return on your investment.
Now, if you’re only renovating your home for your own personal pleasure and enjoyment, none of this matters.
- Some contractors charge based on the neighborhood you live in.
You need to understand that when it comes to pricing, contractors will usually base their rates on the location of your house. That’s on top of labor and materials. So before you sign a contract, make sure to carefully read through it and look for unnecessary features that they could have put in that will allow them to inflate their prices.
- Manage your expectations.
Lastly, we’re living in unprecedented times and are still navigating this season. It would be unfair of you to expect output and base it on what was normal before the pandemic hit. So learn to manage your expectations as early as now so that you don’t end up getting too disappointed. A good rule of thumb to follow is to expect the costs to be 50% more and the completion time to be 50% longer.
If you’ve never remodeled your home before, know that the entire process can be such a nightmare if not done right. That’s why you need to give careful thought to how you plan to do it. It’s not as easy as they make it look on TV. But it doesn’t have to be hell for you, too. Plan it right, work with the right people, do the right things, and do things right. These will help ensure that the project is a success.
