Bathroom renovations are one of the most popular home projects people choose to do. For many though, the desire to remodel their bathroom seems out of reach because of expenses. The good news is that there are ways to budget a bathroom remodeling project, to help you get the most bathroom for your buck.
A budget will help you see the boundaries for your renovation project, to help you know where you can afford to go big versus where you need to scale back some. Here are four ways to budget your bathroom remodeling project.
Learn Your Numbers
The first step you should take to create a realistic budget is to run numbers to get an idea of how much your remodel is going to cost. Going over your finances, considering how long you want to stay in your home, and understanding how much value your bathroom project will add to the house are all items to consider.
If you are remodeling to put your home on the market within a couple of years, your bathroom project should be considered an investment in your home, to help increase the value. If you have no plans to move and just want to renovate your bathroom, your budget may include some extra personalized features that someone who is trying to sell their house will not add.
Plan for Labor Costs
The costs of labor can feel expensive, but if you are prepared for them and understand their importance, it won’t feel so stressful. On average, labor costs are often at least one-third of the costs for a bathroom remodel. This number will be different for people who are renovating with little to no contract help.
Hiring contractors to help you through the process is essential, and if your budget is tight, it is crucial to develop your plan with labor costs being a high priority.
Apply a Cushion to Your Numbers
Before you even begin the budget for your bathroom remodels project, it is vital for you to keep a cushion of about ten to fifteen percent to account for all of the miscellaneous expenses that will crop up during the renovation.
The plus side of having a good cushion is that there may be leftover money at the end of the project and you won’t have to spend any time worrying about whether you have enough money or not.
Adhere to Your Budget Strictly
After you complete your budget and have everything worked out, keep your budget near you through the whole remodel process and check it against your actual numbers regularly. Your budget is an excellent resource to help give you the bathroom of your dream without blowing your budget.
The easiest way to track your budget is to either create a spreadsheet or write a list that includes columns for the budgeted amount and the actual costs. If you find areas where your actual prices are lower, that money can be utilized somewhere else. If you spend more than you budgeted in one area, the cushion money will help be a buffer.
Once you have your budget figured out, securing financing is your next step. There are many financing options to consider. Home equity loans are one of the most popular ways, and they carry an added benefit of being tax deductible. If a home equity loan isn’t your preferred method, there are many other loans and refinancing options.
Through the whole renovation process, it is essential to shop around for the best rates and prices. When you are considering financing, look for the best rates, and when you are looking for remodel items, look for the best deals. You can save money by repurposing things that you already have. Each of these money-saving options can help you have the money available for the luxury items you want.
With careful planning and smart purchasing, your dream bathroom can be a reality.