Are you planning to renovate your house? If so, you’re probably trying to find ways to save money. The good news is that there are plenty of ways to do this — you just need to know where to look.
In this blog post, we will discuss 8 different ways that you can save money for your house renovations. We will also explain how a mortgage offset account can help you achieve your renovation goals sooner.
Let’s get started.
1. Create A Renovation Budget
One of the best ways to save money for house renovations is to create a renovation budget.
This involves figuring out how much your renovation is going to cost, and then dividing that amount by the number of months you have until your renovation is complete. This will give you a monthly budget that you can use to plan your spending.
You can also use your renovation budget to set aside money each month into a savings account. This will ensure you have the required funds when you need them, and it will also give you a bit of wiggle room in case your costs end up being higher than expected.
Luckily, most banks offer savings accounts with low or no fees, and they also offer high-interest rates on deposited funds. This means that your money will grow at a faster rate than if it were sitting in a standard checking account. In case you’re wondering what a savings account is, you can check out this guide.
You can also use a mortgage offset account to reach your renovations goals sooner. A mortgage offset account is a type of savings account that is linked to your mortgage.
The money that you deposit into the account offsets the amount of interest that you pay on your mortgage. This can save you a significant amount of money over the life of your loan.
2. Use Online Calculators
Another way to save money for house renovations is to use online calculators. These calculators allow you to estimate the cost of your renovation, and they can also help you find ways to save money.
There are a few different online calculators that you can use, but one of the most popular is the Smart Reno Estimator. It will calculate the cost of your dream renovation depending on the type of renovation you want to do (partial vs complete), the area of the house you want to remodel, the type of materials you want to use, and the size of the area to be renovated. Some calculators also inform you about any deals that you might be eligible for, helping you save money.
3. Get Quotes from Multiple Contractors
If you’re planning on hiring a company to help with your renovation, it’s important to get quotes from multiple contractors. This will allow you to compare prices and find the best deal for yourself.
It’s also a good idea to ask each contractor for a list of references. This way, you can be sure that they are reputable and that they will do a good job.
4. Be Aware of Hidden Costs
One thing to be aware of when renovating your house is the hidden costs. These are costs that may not be immediately apparent, but they can add up quickly. Some common hidden costs include:
- The cost of permits and inspections
- The cost of hiring a contractor
- The cost of utilities
- The cost of storage during the renovation
You can avoid hidden costs by doing your research ahead of time and being aware of what you need to budget for. Researching about these costs can also help you find ways to reduce them wherever possible, making your dream renovation more affordable.
5. Look for Sales and Discounts
This isn’t exactly a way to save money for your dream renovation. But it’s a good way to save money on it. If you can reduce the cost of your house renovations, you’ll be able to save for them sooner.
Many stores offer discounts on flooring, paint, and other materials that you may need for your renovation. You can also find deals on appliances and furniture at stores like Sears or Home Depot. Make sure you don’t rush and miss out on a good deal when shopping for renovations.
6. Get Creative with Financing
There are a number of different ways that you can finance your house renovation. One option is to take out a home equity loan. This is a loan that uses your home as collateral, and it can be a great way to get the money you need for your renovation.
Another option is to apply for a personal loan from a bank or credit union. Personal loans usually have lower interest rates than credit cards, and they can be a great way to finance a large endeavor like a renovation.
You can also use a credit card to pay for your renovation. This may not be the best option in terms of interest rates, but it can be helpful if you don’t have any other options.
7. Make The Renovations Yourself
Another way to save money on your renovation is to do the work yourself, which can be a great option if you have some DIY skills.
Be sure to calculate how much time and money you will save by doing the work yourself before deciding whether or not this is the right option for you.
You don’t have to do everything by yourself. Easy renovation tasks that can be pulled off using DIY tutorials include:
- Installing new flooring
- Replacing cabinet hardware
- Changing light fixtures
- Adding a coat of paint to the walls
These are just a few examples — there are many other tasks that you can do yourself with a little bit of research. The more stuff you can tackle yourself, the cheaper your renovation will become. And this means you’ll be able to save for it faster.
8. Reuse Old Materials
If you’re looking for a more environmentally friendly way to renovate your house, one option is to reuse old materials. This can be a great way to save money and reduce waste at the same time.
Some things that you can reuse include:
- Light fixtures
You can find many of these items on classifieds websites like Craigslist or Kijiji. Or, if you know someone who is renovating their house, see if they have any extras that you could use. Once again, reusing items will make your renovation cheaper, allowing you to save for it faster.