3 Steps to Budget for a Remodel

If you’re like many homeowners in the New Jersey area, there are things about your home that you’d like to change. In fact, you may even need to complete some major projects before the seasons change, like putting on a new roof or replacing your windows. Unfortunately, when it comes to home improvement, figuring out what you want to change is the easy part; the hard part is find the money to do it. At Tom Madsen LLC, we understand the desire to complete home improvement projects and the stress that can come from budgeting for it. That’s why we’ve put together a list of tips to help you get started.

1. Find an Estimate

Step one is to determine a ballpark figure for how much your remodeling project is likely to cost. The cost of home improvement can vary widely, depending on how much work you need done. Are you looking to add on a home addition or build a new deck? Or do you just need some simple work done that can be easily completed by a general contractor? Once you decide what you want done, you can use online tools or request free consultations from contractors to get an estimate of what your remodel is going to cost.

2. Decide What You Can Afford

Once you have an estimate in mind, you can start to figure out how realistic it is for your budget. If you plan to pay up front in cash, it's pretty simple to know whether or not you have the money. However, if you plan to take out a loan or do a payment plan, you'll need to figure out how much of a monthly payment you can afford to add to your expenses. Depending on your credit, you will likely be able to secure a home equity line of credit at a lower rate than other loan types.

3. Prepare to Compromise

Finally, it's time to make the two figures match. Compare the estimates you received to what you can afford, and then figure out how to make them line up. Generally, your home improvement dreams tend to be a bit bigger than what you can actually afford, so find ways to compromise. Your contractor can help you find creative ways to scale back your project, and you can always prioritize projects that need to be done right away and then complete more projects in a year or two.

To start making your remodeling dreams a reality, contact the team at Tom Madsen LLC today at (973) 875-9716. We are confident that you’ll find our trusted general contractors to be top-notch and friendly, just the way you like local companies to be.