While talking about the budget with a contractor can be filled with anxiety, it’s important for the successful completion of a remodel that the homeowner will love. While you may have a strict budget, you have to communicate your needs to the contractor as well as understand the costs associated with the choices you want to make.
Start the Budget Talk Early
There are times when a homeowner doesn’t want to discuss their budget with the contractor or the designer that’s been hired. This rarely leads to a satisfying outcome for the client. The homeowner might believe that certain aspects of the project will be a certain price, but that’s not always the case. Clients don’t always understand the true costs of materials like the custom finishes they might want. A remodeling contractor wants to give you the best result based on your budget, but he can’t do that when the budget is a secret. Expectations have to be very realistic, and that comes from frank, honest communication between client and contractor.
Subtract from the Budget
After creating the budget with the maximum amount you’d be able to spend, subtract 20 percent. Unfortunately, construction costs can differ from the planning stages to when the contractor actually starts knocking down walls. That’s because problems and complications beyond anyone’s control can happen. A 20 percent contingency amount should help mitigate any of these issues as they arise.
Understanding the Costs
There are a variety of costs associated with a home remodel. Along with the crew costs, you’ll be paying for construction materials, fixtures, and all that goe into the construction. There are also fees for permits and consultants to worry about with a remodeling project. That doesn’t even take into account appliances. It’s important that you understand exactly what needs to be done for your construction project. You should never leave the numbers to the contractor or design team alone. Every detail should pass before your eyes and meet your approval. That means having an understanding of exactly what items cost, and how vital they are to the finished design.
Changing the Scope
Even with all the budgeting you’ve done from the start of the project, there are times when the costs spiral way past the amount you’ve budgeted. This can leave you scrambling to find the money to finish the project. You’ll have to pull money from other areas like the finishes you planned in the new media room. You might need to finish that finished basement later after you’re living in the home. The finishes like flooring, light fixtures or appliances might need to be reduced in costs to cover the construction.
It can be uncomfortable talking about money with a construction company or designer, but at Alair Homes Oakville, we assure you that we encourage honest conversations to help get you the home you want and deserve.