Budgeting for Your Home Renovation Project

 

Each home is has to room for improvement, some have more room than others. No matter if you simply need more space, grown tired of outdated fixtures and features, or want to invest in your home to bump up the resale value, financial planning of the project is as important as your design and decorating ideas.

 

Continue reading for great tips on budgeting for your upcoming improvement project to ensure that is a success and avoid any unpleasant surprises.

 

Invest Wisely

 

Any and all improvements that you decide to make to your home should pitch in on its overall value. Home improvements are just as much of an investment as your home purchase. Before you start, ensure that your plans well add real value, and that you avoid “over improving”, or putting more money into your home than you will recoup.

 

Budget Realistically

 

Determine just how much money you really have for your project. For money that you have borrowed, make sure that you add your repayment into your monthly budgeting. The last thing you want to do is overextend your finances.

 

Talk to a Professional

 

If you plan on working with a general contractor or a designer, talk with them to get a better idea of what your project might cost, and any additional advice or ideas. Be sure to add a contingency of at least 10% for unforeseen or unexpected expenses. If you are interviewing several contractors, remember that the right fit is often better than the lowest price.

 

Use Your Skills

 

It is very possible to reduce the cost of a home renovation project by handling some of the work yourself. If you’re handy in any area, you will have more time to put into other decorating ideas!

 

Is my general contractor the project manager too?

 

General ContractorHave you ever wondered what the difference was between your general contractor and project manager? What about a general contractor acting as a project manager?

You are not alone! In order to help clear any confusion, we’ve broken down the roles as well as responsibilities that each plays in your construction project.

Both a general contractor and a project manager are viewed as lead contractors on the job and it can be difficult to recognize the difference. Their operation is similar, and it’s common for a general contractor to operate a project or construction manager at times.

Beyond their similarity, general contractors and project managers are fundamentally different.

General Contractor

When examining each person’s organizational structure, it can be easiest to view a general contractor as a business entity. A general contractor usually has its set of employees with skilled trades.

A general contractor will also have an access to a variety of subcontractors they have worked with on other construction projects. This serves as an advantage because everyone is already familiar with working together and operational procedures; there is a certain level of cooperation and loyalty among the familiar parties.

Project Manager

A project manager sometimes referred to as the construction manager, could be an individual or a group of people. The key difference is that staff that actually performs the work are not employees.

If you happen to have both on your project, it is common to have a general contractor handle the structure changes and overall project responsibility, hiring and scheduling vendors, etc. while the project manager handles the day-to-day operations, such as meeting with your sub-contractors and handling the non-structural projects in-between.

General Contractor Acting as Project Manager

It is not uncommon for a general contractor to also act as the project or construction manager. This is more about trust and relationship to the owner. In some instances, the owner may request the general contractor also handle the project’s management.