If you’re considering a home renovation, congratulations, you’re in for a challenge, and there’s no denying that this is a pretty big step. If you have kids, maybe a couple of furry friends, then the challenge is even greater because you cannot make any financial mistakes. Not this time, because a home renovation is a costly project, and you need to manage your finances meticulously to preserve your financial stability.
That said, this doesn’t mean that a home renovation should stress you out, because after all, this project is supposed to help you lead a greener life, rejuvenate your home, and elevate your quality of life in general. To that end, let’s go over some smart tips to help you organise and finance your home renovation for maximum impact and minimum stress.
Start with a detailed renovation plan
First things first, keep in mind that every successful home renovation starts with a detailed plan. This should be a mix between a checklist and a summary of everything that needs rejuvenating in your home. It should also be organised and easy to read through on a moment’s notice because you will use this plan as a guide through this project, all the way to your new dream home.
Start by listing the rooms and zones in your home. Go room by room and note everything you want changing, fixed, and remodelled. After that, start assigning price values to everything that needs to be done around the house (you can use an Excel spreadsheet), and take your time researching online to see how much everything should cost you. Once you have a detailed renovation plan, you can start comparing prices on renovation loans and contractors.
Shop around for good renovation loans
If you decide to handle the project yourself, keep in mind that you might need to get the right permits that a professional contractor would already possess. Depending on the project’s scale and complexity, it might be a better idea to get quotes from professionals and delegate the project.
However, your biggest concern is financing the whole renovation. One of your top priorities should be to find a reputable lender so that you can get a personal loan or get a dedicated home renovation plan. You’ll be able to get a better loan plan with more favourable terms if you have a detailed project plan, work on improving your credit score, and if you don’t have outstanding debt. Take the time to compare lenders, and don’t spring for the first deal you come across because you want to make sure that the loan will cover the whole project.
Save up on your solar conversion
The whole idea of this renovation is, of course, to elevate your quality of life but also to elevate the value of your property. To achieve both, you should consider solar conversion a top priority. Going solar brings numerous immediate and long-term benefits to the table. Now that you can find interest free solar panels on the online market, you can easily save money on this expense and factor it into your renovation budget.
You will need to shop around for the right solar installers and their fees, as well as the best solar panel system for your home, the orientation of your roof, and other important factors. Don’t forget to budget for a solar converter and a solar battery to store clean energy in your home for future use, which can be a great way to minimize your energy costs even further.
Cut financial waste and set a timetable
Before your renovation even starts, you need to take one last run-through of the entire project and consider the areas where you might be able to save money. After all, it’s not just about managing physical waste. It’s about minimising financial waste as well. Check every expense once again and see if there is anything you might have overlooked, if there is a better deal out there, or even if you can cut something out of the renovation altogether.
Don’t be afraid of cutting stuff out of the plan if you need to invest in something more important. Another effective way to cut financial expenses is to keep the project moving along and meet your deadlines. If you breach deadlines and if the project stalls at any point, that’s money out of your pocket.
Allocate for unforeseen circumstances
Lastly, you need to have a “what if” budget for unforeseen circumstances. Maybe you need more work done to reduce the household’s energy use with new energy-efficient solutions. Perhaps you need to invest more money into new materials or a sudden change of plans for the living room. There’s no telling what might happen. The key is to be prepared for every scenario, so setting money aside in case of emergency should be a top priority.
Organising your home renovation is a challenge, but financing it is another beast altogether. Make sure to use these tips to retain financial control over this project to rejuvenate your living environment in 2021.