Greetings from the Smith Family! I have a long update post coming soon, but here’s a small spoiler: our financial situation has drastically improved. You will be able to read all about the numbers and the family very soon, but this post is all about fixing up your home. We’ve put off a lot of “non-essential” expenses while paying down our debt, including home repairs and renovations. We finally repaired a broken kitchen faucet over the summer and we’re looking at installing a new toilet in the bathroom (I know, so exciting). However, we always have to make sure we’re not going to overspend and reverse any of our financial progress.
Major Remodeling
For most families, home remodeling is a major dent in the budget: the average cost of home renovation in the US peaked at an average of $41,773 in 2018. However, it’s a great option for those looking to fully personalize their home, or for families who don’t want to move their kids into a new school district. You can think of your remodeling project as an investment: by renovating, you are not only boosting your property’s value on the market, but also creating a space for your family to unwind and enjoy daily life.
DIY Projects & Extra Materials
In planning out your renovations, don’t be afraid to tackle some of the easy projects yourself. Work such as painting or even some tile work is not that hard to do, especially if you watch some instructional videos. Also, remember to check out sources like Craigslist for extra materials from other jobs in order to save money. Often times, you can find some of the things you need for free!
Consider Your Financial Options
When budgeting for a home improvement project, it’s a good idea to tally up the total costs and add an extra 10% for any unexpected expenses. Once you have a budget, it may be necessary to apply for home improvement loan to cover the costs of your renovation. When applying for a loan, obtain at least 3 quotes before settling on a lender, as loans vary widely from bank to bank even if your credit score is relatively unchanged. If you’re over the age of 60, you can consider releasing some of your home equity, a financially viable option for covering the expenses of a remodeling project while adding to your home’s property value.
Get A Side Hustle
One creative way to fund your renovation without hurting your checking account is to get a side hustle to cover the costs of your project. The terms of a side gig are normally quite flexible, so you can structure the added hours around your schedule. Look for gigs that appeal to your skill set, whether that’s event-planning, copy-writing, or even freelance tutoring for local families. When approaching potential clients and/or collaborates, be assertive about your skills and candid about prior work experiences. You want to showcase your skills to convey why your expertise is valuable. Apart from side gigs, other money-making ideas include selling old clothes and/or stuff that you no longer use.
Stick To A Timeline
When it comes time to actually execute your home renovation, the biggest thing you can do is stay organized. This will also help your family in the event that you need to relocate during the heavy-duty part of the remodeling. Be firm with contractors, plumbers etc. about deadlines and insist on a formal contract to hold them accountable for their services. Odds are, when undertaking a home improvement, you are the coordinator behind various jobs and services, so it’s important to keep a record of what you want to accomplish and when’s the best time to do it.
With the right financial strategy, you can drastically reduce the costs and inconveniences associated with home improvement. Like most aspects of raising a family, the solution comes with effective time management skills and careful planning. The end result, of course, is a home tailored to your personal taste, which will allow your family to grow and expand in a comfortable atmosphere.
I absolutely love this article, i really appreciate you sharing this amazing tip. Am planning on doing an home renovation soon.
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Totally agree with these tips! Home renovations usually are so costly, that’s why getting your hands in every aspect of the project is a must. Having control in everything gives you much assurance that you won’t be spending much more than what has been planned.
Hey! Thank you for the article, Harmony! I know how hard it can be when your budget is tight but you have so many ideas.. Doing some things yourself is what we always should try. I know that some people don’t have time but well. It maybe is time-consuming, but at least it will save some money. You can’t want both 🙂
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DIY is my choice! It always uncovers your natural talents.
Awesome tips!
Great info! Thank you for sharing these tips!
Glad I popped by to read it!
Thanks for telling me that we need to at least three quotes from different lending companies before choosing one. We bought an old family house last year and we’re thinking of renovating it so we can sell it at a better price. Since we don’t have enough money for the entire project, I’m guessing that rehab loans might be our best choice.
We did a couple of home renovation this year and it was only being funded by me and my wife side jobs. A bit difficult but also satisfying to know that we were able to handle our budget properly :).
Home shouldn’t just be the place you sleep at night — ideally it’s a place where you can unwind from a long day and where you can look forward to spending time. And that’s why if you’re like me, you spend a lot of time looking for affordable ways to make your home feel cozy and inviting.
Great suggestions! Thank you for sharing!
There are a lot of ways to add value to a home. Elements like installing new windows, adding curb appeal, and sprucing up the interior design can be tackled no matter how long you plan to stay in the home, because they’ll pay for themselves in added value and/or cost savings rapidly 🙂
We created a list of cheap and simple ways to do this, check it out: https://portella.com/blog/how-can-you-add-value-to-a-home/
i really loved these tips and i think i am about to build sidehustle and i really love these idea for renovation and i thank Harmony Smith for this amazing guide.
That was the blog i needed 6 months ago when i started learning about finance. I already understand everything he said after 6 months of self learning but this was like super base line simple stuff a super beginner will understand!
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It’s wonderful to hear that your financial situation has improved and that you’re now able to focus on fixing up your home. Your tips for home renovation are spot on, especially considering the average cost of home renovation in the US. It’s inspiring to read about the ways you suggest saving money, such as doing some of the easy projects yourself and looking for extra materials on Craigslist. Your suggestion of getting a side hustle is a creative and effective way to fund your renovation without hurting your checking account. Overall, your advice on sticking to a timeline and staying organized is extremely helpful for anyone looking to undertake a home improvement project.