Whether a project is small or large; the key to success is always in the planning. Begin by considering what you hope to achieve and why. Don’t be over ambitious. Renovations can be both costly and disruptive, particularly if you are trying to live on the property while renovating. Renovations notoriously do not go to plan, in part because once you start clearing out clutter, you may discover things that had gone unnoticed which require more work and cost than you had anticipated.
WHY?
There are a number of different reasons why you might renovate, for example:
• Buy, improve and flip a property for profit
• Add to the value of your home before selling and stepping up to a new and better property
• Make your property better, and at the same time improve your wealth and equity in the property.
Face Reality from the Start!
Renovation projects inevitably uncover the unexpected. Costs can easily blow out, and time schedules often need to be extended. Delays in getting equipment materials or tradesmen are to be expected; so allocate a fair percentage of your budget to the unexpected.
Know more to Reduce Uncertainty and Cost
The more that you know about construction, the better you can plan and reduce risk. If you have had some education and experience before taking on a renovation, you will not only plan and manage the project better; but also, you are able to save some expense by doing some of the work yourself, whether that be painting and decorating or some aspects of the construction work.
Obtaining Permits
Whilst sometimes things go smoothly, permits can be delayed. If possible, apply for permits well in advance. Work cannot proceed without appropriate permits or progressive inspections. Requirements are varied according to the jurisdiction and applicable regulations. Often finalising government permits (such as a building addition) can be highly unpredictable. You may submit plans and expect a fast response; but there are rarely guarantees. Do not plan for a start date on any renovation until after all required permits are in place.
Hidden Defects
Structural defects or deterioration may be hidden until after work starts. You can’t know whether the internal, hidden parts of a structure are sound, until after you begin to dismantle or renovate what is there now e.g., removing plaster from a wall may reveal rot or corrosion in what lies behind, or removing wallpaper could reveal subsidence cracks.
Inclement Weather
Weather can be unpredictable. Work can be stopped or slowed by abnormal weather such as an early wet season, an abnormal heat wave, a storm, a severe cold snap, etc. This is more likely to be a problem where roofs, walls or windows need repair or replacement, or where access to the site is difficult.
Supplies
Materials and equipment supplies can be unpredictable. Building materials supplies may be scheduled to be delivered on particular dates, but things do go wrong; shipments get delayed; bespoke fittings may take longer to make or for suitable manufacturers to be found, and when other delays force a rescheduling of a delivery, that can have flow on impacts.
Sourcing Tradesmen or Women
Tradespeople may also be unpredictable. People get sick or delayed on other jobs. Small jobs (like renovations) can often be given a lower priority than larger jobs, and a visit from a critical tradesperson (e.g., plumber or electrician), may be delayed; and that may stop other work from proceeding.
Finding the Time
The time and effort for any job may be unpredictable. Inexperienced home renovators are often optimistic about how quickly they can complete tasks; but with experience, a home renovator will discover some jobs take far more time than first estimated.
Obtaining Funding
Funding can be delayed. Any significant renovation work requires finance. That finance may come from savings, or it may be planned to use earnings as the work proceeds. Alternatively, the renovator may be seeking finance (e.g. a loan). Applications for loans can take longer to approve than anticipated. Cost overruns may exhaust finance before a project is complete. Funding as you go using income may be disrupted through unexpected circumstances such as extraordinary costs (e.g. a car breakdown, a serious illness, loss of employment).
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