7 Things To Consider Before You Renovate
If you’re planning a renovation, it is important to make sure you are aware of the significant implications it can have for both your cash flow and your lifestyle. Before beginning a renovation you need to make sure you’ve considered everything from more than just a financial standpoint.
Here is a list of 7 important things to consider before starting your renovation.
1. Know Why You Are Renovating
Renovating can be done to update, extend or fix up the property as well as to improve the liveability of the space. These improvements can be made for family or personal reasons or from a purely financial standpoint to rent out or sell the property. With a personal renovation it is easy to get more emotional and carried away, over-capitalising on the process. On the contrary, if you are making renovations in order to sell or rent the property, you are more likely to consider things logically and from a return on investment perspective.
2. An Independent Property Valuation
This is a good way to understand the value of other properties in the area in order to determine a reasonable budget for your renovation in order to avoid overspending.
3. Create A Detailed Budget
Maintain a close eye on it throughout the entire renovation process in order to avoid costs escalating and getting out of hand.
4. Prioritise Your Renovation List
into needs, wants and nice to haves. Simplifying your priority list can be especially useful if you need to cut back on luxuries in order to stay under budget.
5. Consider Your Living Arrangements
Consider whether or not you will be able to continue living in the property while renovations take place. While in some short term or minor cosmetic cases you will be able to, if you are required to move out for a period of time consider whether you may be able to live with family or friends or if you will need to source other accommodation.
6. Think About Extra Fees & Repayments
If you intend on paying for your renovations using home loan equity or by redrawing from a line or credit or an alternative financial arrangement consider any extra fees or repayments you may be required to pay and how they may impact your overall lifestyle.
7. Check With Your Local Council
Finally, make sure you check with your local council prior to beginning the renovations themselves, as to whether you are in violation of or likely to be restricted by any local planning laws or strata title rules and regulations. If you live in an apartment or townhouse be sure to consult your body corporate as well.
Remember that as simple and glamorous as renovation shows such as The Block and Renovation Rescue can make the process look, a renovation project can be very stressful and demanding. Maintain communication amongst your partner or family members, giving each other space and time to relax if things become overly stressful or difficult to manage.
Know someone who is thinking of renovating?
Share this with them!