In our earlier article with regards to how you can be able to renovate your house while maintaining your budget, we had tackled the importance of planning. That said we will be continuing where we left off by paying more attention to what planning can actually do for you.
For the vice president of Operations at the Credit counselling Society, Gary Tymoschuk, adding a buffer of at least 25% to the budget that you currently have right from the beginning will help a lot. Tymoschuk is not alone with this view. In addition to agreeing with him, Pat Giles from TD, adds that there is need for home owners to be realistic about the possibility of problems arising and thus changing their initial plans.
“Factoring in an extra 10 to 15 per cent on top of your anticipated costs can help keep you from running over-budget,” Giles said adding that, “Be prepared to make the trade-off decisions that inevitably come with renovations.”
The best way in which you can be able to renovate is saving up money. However, the $17,000 figure that comes with type of renovation will make it hard for you to save all that and that’s why people tend to look for other means so as to finance it.
According to Tymoschuk, the worst way in which one can be able to seek finances is via a credit card.
“Credit cards likely have the highest interest rate,” said Tymoschuk adding that, “And if you carry that balance over a period of time, you have to factor that in — those interest payments can be quite significant.” Also to note is that you should ensure that you take up finances that you are sure you will be able return.