Any home remodeling project is a big investment. Because of this, the last thing you want is to waste your money.
Budgeting for a remodeling project leads you to have dozens of questions circling your mind.
What is the right budget for my project? Can I afford this project? How do I know if I’m getting ripped off? What’s the best way to pay for my project?
These questions center around one common theme: fear, and understandably so. No one wants to throw thousands of dollars at a project they aren’t happy with.
As a San Antonio exterior remodeling contractor since 1989, Southwest Exteriors prioritizes the power of integrity and education.
No matter your location, project type, or whether you work with us, we want to provide you with the information you need to feel comfortable and make the best-educated decisions for your project.
Let’s address some of the most common fear questions surrounding cost, budgeting, and paying for your home remodeling project.
Top 5 Questions Answered About Budgeting For Your Project
To help ease your anxieties and best educate you on how to understand home remodeling costs and budgeting, let’s answer the top five questions on budgeting for your project.
#1: What’s the right budget and average cost of my project?
The first step in creating your project’s budget is understanding the average cost of your remodeling project. By knowing this first, you can easily answer the following questions below.
What’s the easiest way to understand the average cost of your project? Using Remodeling Magazine’sCost vs. Value Report.
This report takes national data for common remodeling projects, like garage door replacements, window replacements, and siding replacements, and calculates the average job cost, resale value, and cost recouped (or return on investment).
Within this report, you can look at a project's national, regional, and city average costs.
Once you download this report, you can understand how the average cost was calculated and what specific parameters are included in the project defined.
For example, the report calculates the cost of a vinyl window replacement to be $20,482 at the national level. This cost is calculated under these parameters:
“Replace 10 existing 3x5-foot double-hung windows with insulated, low-E, simulated-divided-light vinyl windows with a custom-color exterior finish. Trim exterior to match existing; do not disturb existing interior trim.”
It is important to look at what defines the cost of a project to accurately understand how much your project will cost. While the national average cost of a vinyl window replacement only calculates for 10 windows, your project may have more or fewer windows. Or, you may choose something other than a custom color for exterior trim.
Many factors influence the cost of your remodeling project, such as the quality of the product, installation, customizations, and more.
However, using the Cost vs. Value Report to know what the average cost for your project is helps you to have an idea of what you should pay, avoid getting taken advantage of, and understand what the right budget for your project is.
Check out the video walk-though below to understand how to properly navigate the Cost vs. Value Report.
#2: How do I create the right budget for me?
Once you understand the average cost for your project, you have a realistic basis of what your project’s budget should be.
But everyone’s goals for their project are different. Your style may be more custom and high-end, or maybe you’re more practical and just want a product that does the job.
Research products and services you are interested in
Research local contractors in your area
Consider how you want to pay for your project
Carefully vet multiple companies and choose the right one that meets all your needs
After outlining your goals, researching, and consulting companies in your area, you won’t only have realistic expectations for how much your project will cost, but you can find the right company that will make your dreams into a reality.
#3: How do I know if I’m getting ripped off?
For most making any big purchase, one of the biggest fears we have is getting ripped off or taken advantage of. So, how do you know if you’re getting ripped off, and how can you avoid it?
The first part of knowing whether you’re being ripped off is understanding the average cost of your project and what should be included in it.
By understanding how much your project will cost and the parts of your project, you can identify when a company is trying to upsell your or take advantage of you with a “too good to be true” deal.
If a contractor says anything like, “If you’re paying any more than this for your project, you’re getting ripped off,” this is a red flag. Chances are, they are trying to win you over with a lower price and convince you their pricing is right. The truth is, they just want your money and don’t want you to consult any other companies.
A contractor that only talks about themselves and how great they are and can’t say any nice things about their competitors doesn’t want what’s best for you. They want what’s best for them.
If you’re asking yourself this question, know you are not alone. Almost every home remodeling project costs thousands of dollars, and the average homeowner doesn’t have that kind of cash lying around waiting to be used.
Depending on your financial situation, consider the degree of need for your project. If you’d rather wait to start your project in a few years after saving up and your home is not in immediate danger, then that may be better for your finances.
But, with this, you must remember that prices continue to increase as time goes on, so the cost of your project will be more in the future than it is now.
On the other hand, if your roofing or siding is falling off your home, for example, this is a more urgent need.
No matter the reasoning behind starting your project, affordability is crucial. You never want to feel uncomfortable when paying for your project.
If you fear affording your remodeling project may be difficult, consider the company you work with and your options. Many contractors offer private financing and monthly payment options to make paying for your project as easy as possible.
Know that if you feel this way, you are in the 80% majority of homeowners that use payment plans to afford their projects. It is normal, and you have options.
#5: How can I pay for my project?
Now that you understand how to accurately estimate how much your project will cost and what budget is right for you, another concern you may have is how you can pay for your project.
Depending on the company you work with, there are numerous ways you can pay for your project, whether it be all at once, some now and some later, or with a payment plan option.
Some of the most common ways you can pay for your home remodeling project are:
Monthly payment plans (through contractor’s financing options or bank financing)
Home equity loans or lines of credit
If you have hesitations about affording your remodeling project or know you may need a financing plan, do not fear. There are plenty of options out there for you.
Working with the right contractor that truly puts your needs first is crucial to finding the right payment plans and financing for you so you can afford your project comfortably.
Starting Your Next Project With The Right Budget
Now that you have the right answers to five common questions about budgeting and paying for your project, you are ready to outline your budget and get started on your next project.
Starting any home remodeling project should be fun, not stressful. Any quality and considerate company will make that true.
Before starting your project, remember these five crucial things:
Know the signs of a faulty contractor to avoid getting ripped off
If you’re afraid you can’t afford your project, you are not alone
There are many payment options available to make your project comfortable to afford
With these key five points, you’ll be prepared to find the right products and services for you and be on your way to your dream renovation.
At Southwest Exteriors, we offer numerous monthly payment plans, including private financing with rates as low as 0%, to make your project as easy and affordable as possible.
Our goal is to make remodeling your home as easy as possible, and we want to turn your vision into a reality. We also want to educate you on all your options, so you have all the information needed to make the best decisions for your project.
So, if you’re curious about how much different projects cost, how to budget for your project, or have any other questions regarding cost, check out all our cost content on the Learning Center and Home Solutions Channel.
Have a question we haven’t answered? Send us a message to let us know!