Reno budgetting

[Tizzy]

I think I've got a confession to make. I'm going over budget on the PPOR reno (bathrooms/ kitchens/ new floors) and I think this might be a recurring problem for me because I went over my budget on finishing off two recent builds also. There it was things like buying Sir Walter lawn instead of cheap couch. Better pavers/ more lush plants/water features.

I think partly the problem is in hidden costs that I don't know about when I work out the initial budget and partly its because I see "must have" products. Eg: bought the plumbing fittings from Reece's and not Bunnings ( because quality was rubbish).


So I wondered if those who are more experienced in reno's could give me some hot tips on how to stay within my budget. This is definately the hardest part of property investment for me and it's my achilles heel.

All help greatly appreciated.

 

[wylie]

I tend not to stick to a "budget" as such. I would also pick the better plumbing for higher cost, because having used el cheapo taps in IP bathrooms before, soon realised that they look fine, but can be crap quality. So I would always go the mid-range to get the quality.

As an example, the last place we bought, we ripped out the bathroom, moved a door, removed a wall, painted, had floors polished, replaced kitchen benches, installed a new floating floor in an enclosed verandah etc. I had no idea what it would cost (rough idea of course, but no fixed "budget"). We sourced what we could from various places, choosing plumbing fittings, bath, basin, loo for mid-range to avoid the el cheapo trap.

For our PPOR I now wish I had been a little more "over budget" because the mid-range oven I bought is looking decidedly mid-range, even el cheapo, and I wish I had lashed out and bought European. I tell myself that "next time" I will lash out.

I am half seriously contemplating moving my PPOR kitchen (which is too good to dump) into an IP and starting again. Nothing wrong with the cabinetry but our kids were 8, 5 and 2 when we put it in and now they are 20, 17 and 13 and when we are all trying to move around in the kitchen, I see the error of the design. It is a great kitchen for one or two people to use. Maybe most kitchens would be stretched with five people trying to use them at once?

Anyway, unless you NEED to stick to a budget, why not just buy the best you can without going overboard. I wish I had paid more for my oven .

 

[Tizzy]

Hi Wylie, Happy Christmas to you !!

Yeah perhaps you are right. For a PPOR, I don't "need" to stick to the budget. I don't have a finish date in mind for our reno, it can be an evolving project for the minor rooms over 2009.

Perhaps it is the words of Sarah Beeny ringing in my ears "stick to your budget" that makes me feel so guilty about my over spending.

If I had to reno a flat and sell it quickly I'm sure I could source the bargains with the best of them to ensure I make a profit. Working on the PPOR is quite different for me. After 15 years of plain jane I want the place to look good. Every second house in my street is being renovated at the moment and I want mine to be able to compete with the neighbours if it were to be sold in the next few years.

I really haven't skimped on my kitchen so far. I haven't bought the kitchen sink goosneck tap yet and I could just do it 'standard' or go for the extendable awesome looking sculptured solid one that costs about $500!!

 

[wylie]

Happy Christmas to you too Tizzy.

I would probably go the $500 one because a few "in your face" things can really dazzle would be buyers, and you get to enjoy them as well.

Hubby and I were talking just a few days ago about the loo we bought from a designer bathroom shop about 20 years ago. We paid $700 when I imagine a regular middle of the road loo would cost $100.

We just fell in love with the unusual shape of this loo and we were doing a rather flash bathroom at the time but my parents could NOT believe we paid $700 for it. With hindsight it was rather stupid of us to pay such a lot when we were scrimping and scraping in other areas but we just LOVED that loo .

Finding the middle ground is the trick..... enough classiness to look special without breaking the bank.

 

[chrispy]

Hi Lizzie

I am with Wylie on this. We built the house 30 odd years ago and put in the el cheapo oven intending to replace it, as soon as we could. Of course it never got replaced and I was unhappy with it the whole time. 30 odd years later and I have redone the kitchen. I never worried about a budget this time, just went and got the Miele products, oven, microwave, dishwasher and cooktop, but the demonstration models, so saved money but got the top of the range.

The same with the benchtop, we never skimped on those and it paid off, so I did the same this time, bought real granite, and did the benchtops in the 2 bathrooms at the same time. I do not regret it at all.

We bought the top of the range toilet all those years ago and it is still modern, was money well spent.

With IPs I stick to a budget of sorts but get the best I can afford without being silly. With PPOR I intend to stay here so buy the best I can.

Have a great New Year to you and Wylie

Chris

 

[RumpledElf]

Budget renos are fun. We're way over budget on the IP mainly because we decided to get the builder to do a kitchen for us, and we bought a new oven instead of using the secondhand 70s one we were offered.

However we've decided to grit our teeth and finish the PPoR reno. Its just the bathroom and entry room (both are about 4x4m), and we should be able to do it with a budget of $1500-2000. Wish me luck. Our kitchen reno was $1000 so we should be ok.

Need to repaint, replace floor coverings, remove a chimney and make good a wall, lower a ceiling, replace bath/toilet/vanity, tile and paint the bathroom. Sounds a doddle, eh?

 

[Propertunity]

So I wondered if those who are more experienced in reno's could give me some hot tips on how to stay within my budget. This is definately the hardest part of property investment for me and it's my achilles heel.

I suspect that by the sound of it, you might have trouble with budgets in general. When you shop for groceries, do you come home with lots of stuff that wasn't on your list and then justify it by saying 'we needed it?'

I do a reno budget in Excel based on the actual stuff I plan to buy (not the fancy stuff because its your PPOR) and then add 10% for the inevitable over-runs and that's it. period. full stop. no more fancy stuff. water features, fancy toilet pans, etc. Its a numbers game Tizzy - but I'm sure you know that already.