Recent trends show home buyers moving from the suburbs to settle in communities that are within their ideal neighborhood location. Whether you are looking to move for the right school district or looking for a more desirable commute to work. You may have no problem finding the ideal location but the inventory of turnkey homes may not be available. We have watched these trends and have noticed that home buyers have shifted their primary focus and are no longer looking to “find the perfect house” but to find the “imperfect house in the perfect neighborhood”. With that many home buyers are considering home renovation rather than buying the turnkey home. To keep up with this new trend, many mortgage companies are now offering renovation loans for home buyers. While each lenders qualification may be different in various aspects, the general idea is to provide an all-in-one mortgage that rolls renovation cost and the mortgage into one payment. This gives buyers the opportunity to purchase an imperfect home and make it their dream home.
It is important to realize that some television programs show a gut rehab only taking approximately 30 minutes to complete. What you don’t see are all the planning phases involved in a home renovation project. There are many important steps that must be taken before you go tearing down walls and tossing out the kitchen sink. With this being said, hiring a General Contractor is key.
Step 1: Determine Your Budget
Before jumping into the renovation process, your first question should be “What can I afford?” This budget needs to be based on what you can realistically spend for your remodel project. It is always wise to add another 10-20% to cover hidden costs or unforeseen expenses. Remember older homes have hidden challenges such as mold behind walls that may be getting torn down. At this point if you are purchasing or refinancing it is important to meet with a mortgage expert to determine what you qualify for.
Step 2: Prioritize Detailed List
If you are like most homeowners, you are going to have a dream renovation list that includes multiple big-ticket rooms, such as kitchens and bathrooms. These rooms are a larger financial expenses but also add value to your home. Throughout our time renovating homes we have found the best process to stay on track and on budget is to have homeowners make a prioritized detailed list of the renovations they wish to complete. The reason for this is setting realistic expectations for work within a given budget.
A quote we once heard “opening walls equals opening wallets”, the play on words was cute, but the value behind the statement held value. What many homeowners do not realize is the cost associated with opening up walls in a home. Hidden issues such as relocating of plumbing and wiring or locating load baring walls indicates additional financial obligations to complete. We suggest homeowners determine their top list of renovation items. This way we can walk through the realistic expectations of your renovation project.
Step 3: Meet with General Contractors
Once you have found a home that needs either small renovations or a major gut rehab, don’t try and go it alone. All South Restoration, Inc. is a preferred General Contractor for most lenders throughout North Metro Atlanta. Discuss with us your home renovation desires, mandatory repairs, and overall budget.
All South Restoration looks forward to discussing your renovation project with you today. Call our renovation experts at (770) 409-0999!
