Many times, in many posts, we’ve mentioned the importance of setting a budget for any remodeling project. Because it is so crucial to any remodeling/building project, we wanted to do a two-part series of posts regarding budgets and where to get started on setting your budget!
Today, we’re going to look at why setting a budget is so important.
Why it Matters
“What is your budget?” This is usually the first question asked by any contractor, and it is often met with an uncomfortable silence or blank stare. Your budget is the most important piece of information that a contractor needs to help you achieve your remodeling goals. Even if you decide to work with a different contractor for your remodeling home project, it matters. Here’s why:
1. We Have to Start Somewhere
Shopping for materials and finishing items starts much earlier in the process than you would think. If you have a $75,000 budget, your contractor will begin to search in very different places than if you have a $7,500 budget. By giving the contractor a clear direction as to where to start, you will actually save money by saving time.
2. Draw the Line
Everyone has a budget, whether they’ve formally set one or not. Once in a great while there is a rare client that has a literally unlimited budget! However, of you are like most of the population, read on! No one wants to go over budget. You work hard for your money and you should spend it on what you want to spend it on. You feel badly, question yourself and your decisions, and usually resent whatever it is that made you go over budget. You won’t put yourself through that if you set a budget of some sort. Even if it is a range of what you’re looking to spend, set it and stick to it!
3. Take Control
Scared to set a budget because you don’t think you’ll be able to get what you want? Don’t be! If you have a clear vision of what you want, can set realistic goals that find a compromise between your wants and needs, and are persistent in sticking to your budget, you’ll achieve those goals. It might not be easy and it may require some tradeoffs along the way, but it’s worth it. You’ll feel a sense of accomplishment, and you also won’t regret spending money that you didn’t have.
4. Plan for the Unexpected
Even a simple home remodeling project can get out of hand quickly. For example, something as simple as re-tiling the bathroom can lead to a discovery of mold under the existing flooring. Make sure that you have enough money built into your budget in case the project turns into something more. If nothing goes wrong, great! You now have extra money to spend on this project or the next one!
Be sure to check back for Part 2 of our budgeting series, Where to Start. We’ll cover how to actually plan and set the right budget for you and your project!
*header image via Alexander Stein/Pixabay