5 Biggest Renovation Budget Blow-Outs (and How to Avoid Them)
Don't let costly mistakes stress you out and slow down your renovation – here are the five most common ones to avoid
Facing a renovation budget blow-out can be one of the most stressful situations to find yourself in. But don’t let the thought of sudden escalating costs scare you off tackling that renovation you have your heart set on – with a bit of planning, you can keep your budget in check and be ready to handle any surprises.
Here are the five most common budget mistakes I see rookie renovators make, and some tips on how you can steer clear of them.
We’ve accompanied this advice with images of beautiful homes from the Houzz archives.
Here are the five most common budget mistakes I see rookie renovators make, and some tips on how you can steer clear of them.
We’ve accompanied this advice with images of beautiful homes from the Houzz archives.
Part two of your demolition plan can cost you greatly if it’s not done properly. Have you done your research and really checked out the property you’re renovating? A rip, tear or bust demolition needs to be carried out well or you could do more damage than you intended to. I’ve witnessed a demolition of one side of a wall that ended up going right through to the other. These sorts of renovation mistakes can really hurt both your bottom line and your timeline.
You need to find out what’s behind the wall and underneath the floor you have your eye on – use caution before you swing that sledgehammer.
You need to find out what’s behind the wall and underneath the floor you have your eye on – use caution before you swing that sledgehammer.
2. Not getting a thorough inspection
Sometimes people can run into renovation budget blow-outs simply because they dropped the ball and overlooked a crucial step or two. Renovation can be complex and each one will require a different approach, which is why doing a phenomenal property inspection is a must (you’ll want to do a pest inspection too).
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Sometimes people can run into renovation budget blow-outs simply because they dropped the ball and overlooked a crucial step or two. Renovation can be complex and each one will require a different approach, which is why doing a phenomenal property inspection is a must (you’ll want to do a pest inspection too).
Find an architect on Houzz to bring your dream home to life
The sooner you know what you are dealing with, the more time you’ll have to account for everything in your budget and factor it into your renovation plan.
I’ve learned the importance of getting thorough inspections from personal experience. Over the course of the 117 renovations I’ve done, I’ve discovered everything from asbestos and storm-water damage to different ceiling heights. If I hadn’t discovered these things early on, they could have been far more expensive to rectify when I was part-way through building works.
I’ve learned the importance of getting thorough inspections from personal experience. Over the course of the 117 renovations I’ve done, I’ve discovered everything from asbestos and storm-water damage to different ceiling heights. If I hadn’t discovered these things early on, they could have been far more expensive to rectify when I was part-way through building works.
3. Not adding up the little costs
Renovators often budget for the big-ticket items such as that gorgeous new kitchen benchtop or divine bathroom vanity, but often forget about adding in the little things. These can really add up, and end up costing a lot more than you expect.
These include things such as site clean-up costs, tip fees, stamp duty and insurance. To avoid any nasty surprises, make sure you factor them into your budget from the get-go.
Renovators often budget for the big-ticket items such as that gorgeous new kitchen benchtop or divine bathroom vanity, but often forget about adding in the little things. These can really add up, and end up costing a lot more than you expect.
These include things such as site clean-up costs, tip fees, stamp duty and insurance. To avoid any nasty surprises, make sure you factor them into your budget from the get-go.
4. Knock-on effect
If you want to avoid a budget blow-out, there is little room for change of mind in a structural renovation. Make sure your plan is solid before you start removing walls and rejigging the floor plan. Not only does changing one thing cost more, but other parts of your renovation will likely be affected too. The knock-on effects are additional costs and time.
I’m speaking from experience; during one of my renovations, I knocked out a wall and found that the bottom half of it was brick. This meant that not only was it a more labour-intensive demolition, I also had to spend on additional tip fees to dump the material, pay for patching and repair the floor that was the foundation of the half-brick wall. Three hidden costs from one surprise.
If you want to avoid a budget blow-out, there is little room for change of mind in a structural renovation. Make sure your plan is solid before you start removing walls and rejigging the floor plan. Not only does changing one thing cost more, but other parts of your renovation will likely be affected too. The knock-on effects are additional costs and time.
I’m speaking from experience; during one of my renovations, I knocked out a wall and found that the bottom half of it was brick. This meant that not only was it a more labour-intensive demolition, I also had to spend on additional tip fees to dump the material, pay for patching and repair the floor that was the foundation of the half-brick wall. Three hidden costs from one surprise.
My advice is to do your research and finalise your scope of work early on. Think about how you want to live in the property and how you will renovate to create flow between the different spaces. That way, you’ll be less likely to change your mind (at least until it’s time to choose paint colours, that is).
How to Read Your Architect’s Plans
How to Read Your Architect’s Plans
5. Forgetting to plan for the unexpected
I can tell you, even after 117 renovations, a thorough property inspection and a solid plan, you can still run into surprises. No matter how experienced you are, having a buffer in your budget is crucial.
Sometimes things will happen that are out of your control, and when they do, you won’t regret having a safety net in your budget. I recommend adding in a 10 percent buffer to your budget for the unexpected.
I can tell you, even after 117 renovations, a thorough property inspection and a solid plan, you can still run into surprises. No matter how experienced you are, having a buffer in your budget is crucial.
Sometimes things will happen that are out of your control, and when they do, you won’t regret having a safety net in your budget. I recommend adding in a 10 percent buffer to your budget for the unexpected.
Your turn
Have you made any of these mistakes in your own renovations? Tell us in the Comments, like this story, save the images and join the conversation.
More
Want more building and renovating advice? Don’t miss Pro Panel: 9 Butler’s Pantry Blunders and How to Avoid Them
Have you made any of these mistakes in your own renovations? Tell us in the Comments, like this story, save the images and join the conversation.
More
Want more building and renovating advice? Don’t miss Pro Panel: 9 Butler’s Pantry Blunders and How to Avoid Them
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We’ve all wanted to grab a sledgehammer and go nuts on a property at one time or another, so I totally understand any excitement you feel about demolition. But it’s extremely important to plan before picking up the sledgehammer.
Your plan should be in two parts. Part one is to identify what can stay in your renovation and what can be demolished. You can end up wasting serious money if you demolish a part of the property that could be rejuvenated to add real value to the space, or that you later find you need to rebuild for your new layout.
Put on your renovation goggles and really work through the property to come up with the most practical plan of attack.