Remodeling
Considering Renovating Spring 2024?
Most people start considering remodeling projects and renovations in the spring. Here are somethings to consider:
Create an overall plan
Build your team
Obtain pricing from your GC
Leave enough time
Create your overall plan and if needed do the work in stages. By staging the work you can do things that fit in your budget now or within your time frame between vacations or school etc.
Build your team, You may think you need a designer or architect first. You really should put everyone in place early before you start designing. I have seen to often when I deliver a price to a client and they are shocked by the number. They tell me it is impossible the cost should be that much, when actually the cost is really the same cost I would pay for my home. What usually happens is a client will negotiate the Architect to charge $X percent over the cost of the project. The client provides a target construction budget and the drawings are suppose to reflect that. Sometimes they do and sometimes they don’t. Client’s many times cause increased budget costs. It is easy to love something drawn on paper, not so much when it blows up the targeted budget.
On my end I would rather be involved early and give input to numbers while the design develops. If I understand what my client wants to spend I can help with value engineering while the plans are developed. How do you hire a GC early and protect yourself? Interview and screen your GC candidates. You want transparency and trust, knowledge, willingness to work and proactive. You can lock in your GC based on a percentage fee over cost. You can also hire a GC for pre-construction work and send the final plans out for bid to make a final decision. We usually wrap our pre-construction into the project rather than bang up the client for a few hours of time.
Time, drawings and design can take 3 months easy. Between selection and review and revision that is a generous time frame. Then permits can take another 2-3 months depending on the work and sometimes longer. Add the time to make GC selections and such and y0u could lose 8 months in preplanning and prep time. Goodbye spring!
Remodeling
Build your team and select a General Contractor who is knowledgeable and can provide you preliminary numbers.
Inside tip: The process of hiring a GC or Architect, Designer etc. is the same process and challenge we face when hiring subcontractors. We look for proactive attitudes, details written on paper, fair pricing, professionalism, and really try hard to weed out the BS.
Construction Budget
Details matter, when your G.C. provides your estimate there should be line items with details. You should be able to see what is going into your project and the cost for each item. If you receive one line item with one cost for the entire project…stay away!
Some GC will submit very few line items and one price. They may tell you this and that is included, but if you choose someone who cannot put the details on paper you put yourself in a bad place. We stay away from subcontractors who try to do this with us. The gray area is where all the trouble sits. Full details reduce anxiety, surprises, opens up communication, and if everyone is on the same page then you eliminate problems.
New Homes
Everything should be transparent when dealing with finances. This image is a budget for one of our projects based on renderings we received from the Architect. We have also contributed costs allocations prior to receiving money from this client. Our clients are able to login and view the finances and details associated with the projects we are completing for them 24-7.
When you are seriously considering a new home or remodeling project you should put thought into the entire design. Know the cost as you design so you do not over design or over build for your neighborhood.
Stage the work based on financial decisions and how you have to live during the work. It may be better to move out short term or work on one floor (or area) at a time.
Make certain you know what is included by the estimate and not what someone is speaking to you. Have everything listed with a value, this makes changes later much easier. Tile to plumbing fixtures, cabinet design and drawer count, hardware to ceiling light counts. Details, details, and more details.
Give yourself time to plan and then execute the work, we spend more time planning the work then executing the work. Who wants to live in a construction zone longer than needed? Plan ahead of time as this saves you the most money and grief. Transparency, if your contractor is not transparent then stay away and part ways. To often clients listen to the sale of the project and jump into contracts that have no real explanation or detail of what the work includes. Some contracts have pages of what is not included and how the contractor is not liable for anything. That is a sign to stay away and pump the brakes. You can easily end up paying a deposit or your first invoice that reflects 50-70% completion of the contract work and only have 5% actually finished on site. 5-10% deposits are standard anymore than that beware. Progress payments are for progress. If there has been no work on your property then you should pay nothing. Be Careful to pay only for what you have received or what has been completed on your home. Do not over pay your contractor and only pay for what was completed.
