How Much Should You Plan to Invest in Your Home Remodeling Project?

So, COVID-19 has had you quarantined and nesting in your home for far too long?

As you stare at your existing walls, searching for a better way to use the space that fits your current lifestyle — while also trying to manage your children’s virtual learning or telecommuting for work, of course — are you struggling to determine where to even begin planning a budget for the home remodeling project you’ve been dreaming of?

The short answer is that there isn’t always an easy answer.

This is often a conflict that develops between the beautiful features you see on HGTV, Houzz or Pintrest and the return on investment (ROI) you can expect after the completion of a project.  The key missing element in this equation is the element of time. How long do you plan on staying in your home?

While it’s important to think about budgeting within the scope of your property value, that really only applies if ROI is the driving factor in your selections process. In other words, there are different motivations for everyone in terms of what constitutes “value” in your project.

At The Lifestyle Group, we ask two key questions up front to help guide you in this process:

1. How long do you plan to stay in your home?

  • Less Than 3 Years
  • 3-5 Years
  • 5-10 Years
  • More Than 10 Years

2. When it comes time to make selections for your project, how do you expect you’ll make your choices?

  • Modest Selections Focused on ROI for Resale
  • Nice, But Not Crazy — And I Want Help to Keep Me in That Range!
  • I’ll Pick What I Like, Regardless of Resale Value — Perhaps Exceeding My Original Budget

Take notice that, in each of those two questions, we never asked about budget. Why, you might ask?

The answer is simple. Inherently, homeowners have spaces similar to their neighbors in terms of square footages and features. This is how neighborhoods come together initially with relatively similar homes.

Eventually, neighborhoods mature and remodeling begins to take place. At that point, you have a range of product options to choose from and a pre-determined square footage you are working with. Those selections, coupled with the square footage, will drive your project price to the point that your budget becomes relatively defined for you.

Given that, we recommend you call The Lifestyle Group early in the planning stages of your “potential” remodeling projects so we can help you begin to understand the level of investment required to renovate that kitchen, remodel a bathroom or redo an outdoor living space, for example.

At The Lifestyle Group, we’re able to take our 21 years of experience and begin to put you into cost ranges to plan for. It’s important to remember the cost of these projects can rise 4-5% annually, so acting sooner rather than later has been a wise approach in recent years.

Besides, there is no enjoyment for you if the only reason you remodel is to put your home on the market. It’s a much better scenario if you can design a space for your use and enjoyment for a few years prior to passing it along to a future homeowner.

Regardless of your approach, please rest assured that we will help you achieve the goals important to you. If your decisions are ROI driven because you plan to sell, we will guide you far differently than if it is a home you have lived in for 20 years, you have no plans to move and the time has finally arrived for your dream kitchen.

We don’t care how much you spend, but we can help you understand what you are likely to spend if you engage in a project.

No matter how much thought you’ve put into your home’s next remodeling project, The Lifestyle Group looks forward to working with you to create a realistic budget that makes the most sense for you, your family and your lifestyle.

Reach out today and let’s get started transforming your space.

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A podcast for remodeling industry owners and homeowners. Geoff Horen, a home renovation expert, hosts the podcast, which includes real remodels, challenges, and talk. The podcast is available on Apple Podcasts and YouTube.