Lessons For Effectively Budgeting Your Kitchen Renovation
How much does it cost to remodel a kitchen? That depends on a number of factors that include the size of the kitchen, the quality of materials specified and whether or not you are using the same footprint or are removing or relocating walls, electric, plumbing,etc.
The remodel may cost $25,000 or it could be in excess of $100,000. Over the years, we have helped your neighbors budget effectively for their kitchen remodel to help prevent both surprises and sticker shock.
As part of our initial meeting we’ll ask how long you plan to stay in your home. If it is less than five years, then you are making the investment to improve the value of your home. We based our recommendations on helping you to maximize the return on investment.
If you plan to live in your home for more than five years, the canvas widens. We offer recommendations based on our understanding of what brings you and your family the most joy.
We provide guidance based on our experience and national trends and guidelines. Nationwide the National Kitchen & Bath Association, found that kitchen remodeling costs break down as follows:
- Design fees: 4%
- Installation: 17%
- Appliances and ventilation: 14%
- Cabinetry and hardware: 29%
- Countertops: 10%
- Lighting: 5%
- Flooring: 7%
- Doors and windows: 4%
- Walls and ceilings: 5%
- Faucets and plumbing: 4%
- Other: 1%
There is always something unexpected that throws a wrench into the best-laid remodel plans. That is why we advise our clients to budget for a 20% contingency to address those inevitable unexpected occurrences.
We understand that you don’t have an unlimited budget. That’s why we help you identify the components and elements of your new kitchen that will have the most meaning. One of our clients had their heart set on a marble countertop for the island. We were able to offset that expense by specifying an engineered stone and a more cost-effective tile for the rear wall of the kitchen. It was beautiful.
Determining funding sources is another part of the budgeting process. Many of our clients use home equity loans to finance their renovation, especially now with interest rates at record low levels. If you do take an equity loan, you need to factor in loan origination fees and interest into your budget. Also, expect to have to provide a deposit at the start of the project and pay for installation on a predetermined schedule based on completion of different phases of the project.
Budget plans should also include where you are going to live, eat and cook during the renovation. Many of our clients set up mock kitchens either on their deck, using their grill as the main appliance for cooking and setting up a refrigerator nearby on the inside of the home. If you don’t want to use paper plates and plastic cutlery, you need to figure out where you will wash dishes, pots and pans.
You most likely will eat out more often. Factor the cost of restaurant dining into your budget.
A tried and true technique for sticking to the budget is not to allow for budget creep by deviating from the original plan. That’s why it is so important to work with a professional organization that knows the right questions to ask and can develop a design that meets your goals, dreams and budget.
If you would like help developing a budget for your kitchen remodel, please call our showroom at (215)-657-6110 or come see us at 2124 Moreland Road, Abington, PA 19001.