Home Sweet Home!
While this is true, there comes a time when your dream home no longer fits your lifestyle. There can be many reasons for this, and most of them are joyful – a growing family, changing trends in fashion & aesthetics, improving functionality or even adding extra room to rent out.
The reasons don’t matter; home improvements and renovations are a booming section of the real estate and construction sector in Canada. Simple upgrades to complete overhauls – home improvements have become a part of the costs of homeownership. It is estimated that the average Canadian homeowner will spend more than $10,000 in 2024 on making changes in their property, and on the whole, the home improvement market is a multi-billion-dollar industry.
But before you start looking at your home and wondering what to change, we have a few tips that will help you on this sometimes-rocky journey. Like every project that needs time, effort and money, home renovations also have a unique set of considerations and budgetary requirements that you need to navigate.
Understand the factors that influence costs, look at the most popular project types and whether they work for you, and plan strategies for smart budgeting. By the end of this article, you’ll have a better idea of home transformations and be confident that your project fits your needs and budget.
Factors that Affect Renovation Costs
The expenses of a home renovation project are affected by several factors, including the most obvious one—the scope and size of the project.
Material cost is a plum expense. High–end, artisanal or one-of-a-kind choices, such as tiles, countertops, fixtures, and appliances, will impact the budget. Similarly, the level of expertise required for specialized trades – think plumbing, HVAC or even electrical systems – will drive your expenses.
Another cost that is usually overlooked is the fees for the necessary permits and ensuring compliance with local building codes and regulations.
Above all else is what we call “Murphy’s Law Overdraft.” Set aside a portion of the budget (up to 20% of the total cost) for any unexpected issues, such as structural problems or the discovery of mould. Trust us, you will be glad you did so.
Tips for Creating a Budget for Renovations
A realistic budget is a pivotal part of any project.
In the case of renovation, there are multiple factors that need to be considered to avoid disappointments and losses. If the purpose of the project is to sell the property, then focus on potentially value-adding upgrades and changes.
If it is to suit your lifestyle, then prioritize based on your needs and the resources that are available to you. This will help you draw up a schedule not only for the project but also for pumping in funds.
An accurate cost estimate will help you create a practical budget – when you understand your financial limits, you can minimize the costs of overspending. So, get some estimates from different contractors to help you get a grip on the outlay.
And finally, consider various ways to supplement your budget – home equity loans, lines of credit, or government-sponsored renovation initiatives.
Most Popularly Undertaken Home Renovations
Let us take a few steps further and look at the most popular home renovations and their approximate costs. Remember that these are ballpark figures to give you an overview of the expenses – you will need to get professional estimates to have a clear picture and understanding.
Bathroom Renovations
Bathrooms are easily one of the most renovated spaces in Canadian homes, whether it is in a cozy Toronto condo or a spacious Mississauga townhome. Unsurprising when you consider it is one of the most-utilised spaces in a house with continuous wear and tear.
For small-scale changes, such as new fixtures or changing the tiles, the cost can be between $5,000 and $15,000. However, a more elaborate bathroom overhaul or renovation, including plumbing, custom finishes, and high-end fixtures, can quickly go up to $30,000 or even more.
Kitchen Renovations
Another oft-used area of the home – the kitchen – is on the most popular list, too.
Fitting when you consider that your kitchen is the heart of the home and heart surgeries are expensive, too.
Fortunately, renovating or updating a kitchen or a bathroom will positively affect the home’s functionality and resale value. Simple changes to a kitchen, like replacing countertops and backsplash tiles or cabinets, can cost between $10,000 and $25,000. A comprehensive overhaul that includes new appliances, custom fixtures and cabinets can range up to $50,000 or higher.
Basement Renovations
Transforming a basement or an unused attic into a suite is an investment and a potential income generator.
A basic makeover with finishing and waterproofing can start from $10,000. For a more up-scale renovation, with top-notch finishes and furnishing for the additional living area, the cost can be between $30,000 to $60,000 or more.
A Whole House Renovation
Sometimes, piecemeal renovations are just not the right answer, and some homeowners may decide to give their entire house a makeover. Be warned, it is definitely not cheap.
For a mid-range makeover of a simple property, the owners can expect to shell out between $100,000 and $200,000. And, equally true, the expense can exceed this sum for a top-to-bottom renovation. The silver lining is that usually, these complete renovations involve structural changes and major system upgrades, which mean possible savings on maintenance and repair.
Say Hello to A New Beginning
Renovating your home, even if it is just a few simple changes, can create a new living experience for you and your family.
So, take the time to decide what changes you need in your home, research the costs and options. Understand the factors that will have a say in the timelines and expenses of what you are trying to accomplish. Create a budget with the flexibility to accommodate delays or mishaps.
And there you have it!
Explore the full potential of your house and create a space that is not only your biggest investment but also your home for years to come.
