Keep Home Renovations Costs from Breaking Your Budget Home renovation costs can be hard for anyone\u2019s budget. Maybe you\u2019re planning to live in your house for a while, or maybe you want to raise its selling value. Many people start reno projects with great ideas and clear goals. However, you only have to search online or ask an experienced friend to see how even the best plans can fail. Here are some tips to remodel without breaking the bank: Identify Your Renovation Project and Shop Around for Good Prices First, figure out what renovations you\u2019re making to your home. Then shop around for the best price and value for what you want. Get several price quotes from different stores and\/or contractors, check online reviews, call references, and view samples or tour finished projects if possible. Also talk to friends and neighbours who have recently done home renovations. Ask what went well and what they would do differently next time. This will let you see where you can save money and where it\u2019s worth spending a little extra. It\u2019s okay to break your dream renovation project down into smaller projects so that you don\u2019t break your household budget. Hold off on opening your wallet until you have all the information you need. Think Twice About DIY Reno Solutions Doing part or even all of the renovation yourself can save a lot of money on labour. However, investing sweat equity means you\u2019re saving money at the cost of your own time and responsibility. Ask yourself these questions to help decide if a DIY (do-it-yourself) solution for your renos is right for you: Do I know how to do this myself safely and properly? Will my renovation follow applicable safety codes and bylaws? How will doing the renovation work myself impact my home insurance? Will I be able to keep up my other time commitments while working on the reno (e.g. work, family, and volunteering)? Could doing this myself hurt my relationship with my spouse or others living here? Do I have a plan in case something goes wrong? Starting a project and then realizing you\u2019ve messed up and can\u2019t finish it will be an expensive lesson. Talk to any tradesperson and they\u2019ll tell you that it\u2019s always a lot more work and cost to undo someone\u2019s home reno than starting themselves from scratch. If you\u2019re not completely confident in being able to make the home improvements yourself, then call a professional. The higher cost now will save a lot more in the long run. Budget for Renovation Costs and Unexpected Expenses The cost of a home renovation can break your budget if you\u2019re not prepared. According to a 2019 CIBC poll, Canadians planned to spend around $10,000 on average for renos. What you can spend depends on your own budget. One choice to make is whether you\u2019ll use your savings or borrow money from credit sources like a home equity line of credit. Going into debt will of course bring its own list of problems, but so will leaving the job unfinished because you ran out of money. A blended budget that uses both savings and borrowings might be your best strategy. Where to Find Money to Save If you\u2019re okay with putting off renovations until later, then you can always set a saving goal to come up with the money you need. Your remodeling might be finished in a few days, but that doesn\u2019t mean you need to save all the money for it in that time too. The farther you think ahead, the easier it will be to build your renovation fund. For example, if you put away $50 a week, then in 2 years, you\u2019ll have $5200 to spend! Unfortunately, even if you know exactly what you want to renovate and got your price quotes for it, things could still end up costing more than expected. Just as it\u2019s a good idea to have emergency savings ready for life\u2019s unwanted surprises, you want to leave some room in your renovation fund for extra expenses. Also, decide before you start renovations what you\u2019ll do if you go over-budget. This will help you not give into emotions if a problem happens. How to Save Up for a Big Expense Balance What You Want with What Your Home Needs Everyone wants their home to be a certain way for themselves and their families, but that shouldn\u2019t come at the cost of what they need. It\u2019s not worth buying stainless steel appliances and running out of money for necessary home maintenance. If you live in a strata building or complex, with insurance rates as high as they are, it can be worth spending your renovation dollars on upgrades and maintenance before the creature comforts. A new kitchen is great, but if the roof starts to leak, then it will be hard to cook. It\u2019s also important to keep balance in mind. For example, if you spend everything on renovating your bathroom, then what about the other rooms, the hallways, and the outside of the house? Will the bathroom still fit with the look of everything else, or will it seem awkward and out of place? Before you get what you want for your home, make sure you know what your home needs. Take care of those needs first. If you have money left over, then you can put that towards new gadgets and styles. Should You Downsize If You\u2019re in Debt? What to Do When Home Renovation Costs are Causing Budget and Debt Problems Renovating your home into one that you and your family loves is a great feeling, especially when costs are under control. However, if you\u2019re facing an unexpected bill after doing your renovations or need extra support with budgeting, we\u2019re here for you. Give us a call at 1-888-527-8889, send us an email, or chat with us anonymously online. One of our experienced credit counsellors will be happy to help you solve your debt problems so that you can focus on enjoying your improved home.