“A budget tells us what we can’t afford,
but it doesn’t keep us from buying it.” William Feather
Money is on everyone’s mind these days. Maybe you’ve decided you have the funds to attack that home remodel you’ve wanted, or maybe the leaking roof has “decided” it for you. How in the world do you decide how much is appropriate to spend?
Inviting a designer, decorator or contractor into your home without having first considered your budget is a waste of everyone’s time. A home can be improved for as little as the cost of a gallon of paint, or for hundreds of thousands of dollars. When your designer or contractor asks what budget you have in mind, they are probably not trying to figure out how much money they can get. They are trying to determine both what kind of project you have in mind, and also if your dreams can be realized within the limits of your budget.
Your first meeting with a designer should be about three things. First, do you even like this person? Can you work with them? Both the homeowner and the designer should be asking themselves this question. If the answer is no, there is no point in moving forward.
Second, what is your dream? Don’t hold back. What is it you really want to feel in this room? How do you want to use it? Why are you wanting a change? What would you love to see? If you’ve always wanted a bay window, say so. The designer will let you know if it can or can’t work with your space or your budget, but needs to know up front what you wish. If you can, be prepared with photos you’ve printed from the internet or torn from design magazines of rooms and elements you love. Pictures help make sure we are all speaking the same language.
Third, budget. The budget may not be set in this first meeting, but it needs to be aired. There is no expectation that you know how much things cost (that is the designer’s job) but we need to know what kind of budget we are looking at. Now, if you tell me you want a full kitchen remodel with all new appliances, floors and cabinets, and that you have $10,000 to work with, it gives us a starting point. I will gently tell you that your budget won’t cover what you are wanting to achieve, and then we can discuss whether you want to change the project parameters or the budget parameters. But we have to know if we are looking at a $300,000 budget or a $20,000 budget.
Do be conservative with your numbers and tell your new designer a number that represents 80% of your true budget. This is appropriate because you want to have 20% of your budget in reserve for the “unexpected problems” that always sneak in. But do your homework first and have a number in mind. Then ask your designer if your dreams can be realistically met within your budget.
So, how do you set a budget? According to keidel.com a full kitchen remodel project should be valued at no less than 5% of your home’s value and at no more that 15%. In a kitchen remodel 50% of that amount should be allocated for cabinets. This is the most expensive room in a home, and is a good place to start when thinking about numbers for the rest of your home. Click here for another great article on kitchen remodeling budgets.
