Remodeling your kitchen is a very big undertaking. It takes a
large amount of planning, time, energy, and of course, money. One of the most
important (and frustrating) parts of updating your home is budgeting. Without
an accurate budget, you could wind up in serious financial trouble. Here are
7 steps to creating a precise budget.
1. Come up with a
total maximum cost
And stick to it! This is the baseline
for the entire process. Figure out how much money you have coming in, and how
much you can afford to spend based on your means. It’s important to be honest
and accurate about this number, as the entire budget depends on
it.
2. Create a spreadsheet
Meticulous
detail is the best way to make sure you’re sticking to your budget. If you
don’t have a spreadsheet, and just try to keep a number in your head, it’s
likely you’ll lose track or forget about things. Documenting every cost
negates this possibility.
3. Break down the
costs
Do research on each project and familiarize yourself
with the total percentage of costs associated with each job. Get quotes from
multiple contractors to get a sense of how much you’ll be paying for labor.
4.
Set aside 20% for surprises
You’ll encounter plenty of
surprises when remodelling your home. And it’s never a buried treasure. It’s
usually outdated electrical or hidden rot. Be sure to leave some wiggle room
to cover the unexpected.
5.
Prioritize
What is most important to YOU? What
projects will give you the most satisfaction and happiness upon completion.
These are the tasks that should be done first, in case you max out your
budget, you’ll still have the top things accomplished.
6.
Know exactly how you’ll pay
There are several ways to pay
for a kitchen remodel, from cash to credit to loans. Figure out a plan that
works for you effectively and efficiently and don’t stray from the
plan.
7. Factor in additional
costs
You’re going to be eating out a lot more. Some
people even leave their home and stay somewhere else while their home is
under construction. Be sure to prepare for all of these additional
factors.
If you have any questions about kitchen remodels,
feel free to stop into one of Naffco’s two
locations and speak with a friendly and knowledgeable staff member
today.
