Things to Avoid When Rehabbing a House

Underestimating the Budget

• Never walk into a home remodel underestimating the cost of each project. Sit down with a seasoned veteran or contractor to write out a realistic budget that overestimates the price and makes allowances for unexpected costs. Set money aside, depending on the size of the project, and make this a “disaster” fund to throw at budget overages. A smaller project might require a disaster fund of $1,000 to $5,000 dollars, while $10,000 to $50,000 is more realistic for a complete rehabilitation.

Following Designs Fads

• As with clothing, housewares, paint colors, fixtures and other home style elements follow fads and trends. Unless you are planning to rehab your home every two to three years, stay away from these temporary style trends when designing your home. For instance, if pink is the hot color for a season, consider a classic hue for a girl’s room and stay away from covering the walls of a main area with the momentarily fashionable color. Opt for classical styles and colors throughout your home if you are spending a large amount of money rehabbing the space.

Not Getting a Second Opinion

• For all the fair and honest contractors, plumbers and other laborers, there are also unscrupulous thieves that prey on both experienced and ignorant homeowners. Before committing to anything on paper, get several estimates from reputable establishments. If you are unsure about the workforce in your area, contact the Better Business Bureau or ask friends and family members for referrals. Educate yourself about basic construction, your city’s permit and building codes and home design costs before signing your name on any contracts.

Personalized Upgrades

• Selecting personalized upgrades, such as painting monograms or decorating with unusual colors or design choices, is acceptable if you plan to spend several decades in your home. However, it is not a good idea if you are “flipping” the home or it’s a temporary residence. Instead, opt for neutral colors and simple, inexpensive design choices that keep the overall costs down and appeal to the masses.

Concentrating on One Space

• Avoid concentrating your efforts, and money, on a single space in the home. Kitchens and bathrooms tend to require the most capital and will consume the majority of almost every home rehabber’s budget. Spend money on these areas, but not at the expense of other rooms in the home. Avoid unnecessary, costly upgrades in a lower-to-middle class neighborhood as well. These won’t always translate into a larger price tag or return on your investment.