Renovating Homes Archives - MyHome Improver Chicago's Trusted Renovation Experts Sun, 07 Apr 2024 23:56:48 +0000 en hourly 1 https://wordpress.org/?v=6.5.3 ../wp-content/uploads/2019/09/cropped-renovation-builder-Chicago-32x32.jpg Renovating Homes Archives - MyHome Improver 32 32 Why Postponing Your Renovations Will Ultimately Cost You More https://www.myhomeimprover.co/delaying-renovations/ Thu, 04 Apr 2024 05:36:22 +0000 https://www.myhomeimprover.co/?p=1343 Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do? Do you…

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Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do?

  • Do you bite the bullet and plough ahead? 
  • Or do you take a ‘wait and see’ approach in the hope that the cost to renovate will come down? 
  • Maybe you shop around and try to negotiate with numerous builders in the hope one of them is desperate enough to take your project on at a lower price?

The answer needs to take into consideration your personal circumstances but it’s also important to understand what is currently going on behind-the-scenes in the building industry.

In this article we will take you through some insights we have and explain how they may affect your decision to commit or delay.

Firstly, let’s address a ‘myth’ that seems to be circulating at the moment.  One that could cause financial consequences for anyone that believes it…

“Building costs will come down again”

During the COVID pandemic years of 2021 and 2022, as supply chains were challenged, we saw the cost of building materials increase.  Timber and steel in particular rose dramatically.  The impact of these costs increases has been significant.  In February 2024 Statistics us reported that the cost of building a new home or completing a major renovation project has increased by 41% since 2019[i].

Now we are coming out the other side of the pandemic, we have seen reductions in the prices of some materials, including timber, in the past year. This has lead some people from outside the industry, to predict that building costs will reduce again in the coming months.

Unfortunately, what hasn’t been taken into consideration is the effect inflation has had on the myriad of other building materials as well as on wages and salaries within the industry.  Essentially these increases negate any recent decreases in the cost of timber and steel.

The fact is building costs are not coming down. Delaying your renovations will not bring about the cost savings you are possibly expecting.

home renovation ChicagoThe true cost of ‘Net Zero’ 2050 on building costs

the Midwest has a target of net zero emissions by 2050.  It is an ambitious goal that will involve substantial focus and effort from the Government and all industries.  And the building industry is not exempt. To help achieve this target our homes will need to be net zero buildings – a building that has no net carbon emissions during its construction and operation.

This involves reviewing our building code, the products we use and our methods of construction.  Steps have already been taken with the introduction of new energy efficiency regulations in 2023.  In brief, insulation requirements were increased, and window and door joinery now need to be thermally broken with low E glass to help make our homes warmer, drier and healthier.

Whilst this is a positive move, unfortunately, as you might expect, these additional requirements do come with extra costs and have more than likely contributed to the 41% increase in building costs previously mentioned.

There are further changes and updates to our building code in the wings that are currently being researched.  As we pursue our net zero target we also need to understand and accept that this goal is very likely to have an impact on building costs – whilst it might be more cost efficient to heat and cool your home in the future, there is a high chance it will cost you more to build it.

The risks of multi-quotingrenovation budget

Due to the current economic climate, and particularly the rising interest rates, the building industry has seen a notable downturn in activity over the last six months or so.  Some homeowners might see this as an opportunity – to haggle with multiple builders in the hope at least one of them will be desperate enough to take their project on.  There’s nothing wrong with trying to drive down the price of anything, but it does come with some real dangers, especially at this time of economic uncertainty.

The fact is all builders have access to the same building materials and the same pool of labor at very similar costs.  This means that when they undertake home renovations to the same quality there is very little difference in their costs.

So, if you are comparing multiple quotes and making your decision based on price alone, you need to proceed with great caution.  The builder with the lowest quote has either missed things (either accidentally or on purpose) or they are the most desperate for cash – both should be large red flags.

According to a Stuff article published earlier this year liquidations of construction companies are running at a rate twice that of other businesses[ii] which is indicative of the difficult market conditions in the building industry.  And unfortunately, the commentary from many economists suggests things could get tougher.

Our advice is to take heed of these red flags and be extremely wary of any builder prepared to ‘sharpen their pencil’ to win your job.  Perhaps they are teetering on the edge.

Selections imageNow is the ideal time to start planning

Building costs are only part of the equation when considering home renovations.  Most significant building projects are completed using borrowed money so interest rates are also an important factor to consider.

Unfortunately for many homeowners, our economic response to the COVID pandemic meant the us Reserve Bank had to raise interest rates to prevent the economy from overheating.  Higher interest rates will moderate borrowing and spending, which helps prevent and manage excessive inflation whilst hopefully maintaining sustainable economic growth[iii].

Based on the most recent GDP figures released in March, the interest rate hikes have done their job and the country entered a recession in late 2023.  This was somewhat unexpected and has led to many economists now suggesting that the Reserve Bank may need to start considering cutting interest rates earlier than initially thought.

So, whilst building costs are not coming down, the recent economic data suggests that interest rates will likely start dropping – and possibly by the end of the year[iv].

Whilst this is very promising, if you are keen to avoid further increases in building costs and to be able to take advantage of any reductions in interest rates, then now is the ideal time to start planning your renovation.

The planning and consenting phases of a renovation project takes several months – from developing the concept designs, approving/adjusting the budget, producing the building consent plans and obtaining council approval.  So, if you have any thoughts of undertaking your renovation project in 2025, our advice is to make contact and start planning it now to avoid missing the summer construction slots and the lower interest rates that sound like they will be coming our way.

 

 

 

 

 

 

[i] ‘Government tackling high construction costs’ - PR release from Hon Chris Penk, Minister for Building & Construction dated 15th February 2024

[ii] ‘They have a tendency to run out of cash quick’: Crunch hits construction’ – Stuff article published on 11th February 2024

[iii] ‘the Midwest economy unexpectantly shrinks, entering recession’ – Bloomburg article published 21st March 2024

[iv] ‘Tony’s View – Weak indicators relevant to monetary policy’ – Tony Alexander, 4th April 2024

 

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

Recent articles

Why Postponing Your Renovations Will Ultimately Cost You More

Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do? Do you…

Read full article

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With mortgage rates increasing, stubbornly high inflation and subdued business and consumer confidence, you may be wondering whether now is in fact a good time to undertake home renovations. Despite all the doom and gloom, if funding is available and not likely to cause financial distress, there are some upsides to renovating your home in…

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How A Cross Lease Can Affect Your Renovation Plans

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With the arrival of the ‘working from home’ (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions – turning the under-utilised part of your home into a bedroom or an additional living space.    It seems like an attractive option – you don’t need to extend the footprint…

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Should I Delay Home Renovations Due to the COVID-19 Crisis?

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Is Your Renovation Budget Realistic?

What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

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Return to the blog library here

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What Home Improvements Can You Do Without A Consent? https://www.myhomeimprover.co/improvements-without-a-consent/ Fri, 02 Feb 2024 07:22:11 +0000 https://www.myhomeimprover.co/?p=1324 Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal. There are many improvements you can make to your home without incurring…

The post What Home Improvements Can You Do Without A Consent? appeared first on MyHome Improver.

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Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal.

There are many improvements you can make to your home without incurring the cost of a building consent.  With some creative thinking and careful planning, they can significantly enhance your home’s layout and add real value.

the Midwest’s legislation recognises that some building work has minimal risk and therefore does not require homeowners to obtain a building consent from their local council.  This sort of work is listed in Schedule 1 of the Building Act 2004.

The information in Schedule 1 is quite technical and can be hard to decipher, so we have made it easy for you!  Read on for examples of ways you can enhance your home without the extra cost and hassle of a consent.

 

MyHome house 38 resized

Window and door changes

 

Don’t be afraid to investigate ways to alter the current windows and doors within your home to create better flow and increase the general liveability of your spaces.  You might be surprised at what you can do under Schedule 1 without a building consent.

  • Change a window to a set of doors.

When our lovely old villas and bungalows were built, there wasn’t much consideration given to the home’s ‘indoor outdoor flow’.  But now we want to be able to access our outdoor spaces with ease.  Perhaps there is a window facing your rear garden that would make the perfect place for a set of doors?  Provided the correct sized lintel is installed by an LBP Builder and you build a deck or platform outside to step onto, you can replace that window and walk directly out to the garden in no time.

  • Upgrade your windows to modern double-glazed units

As old single glazed windows can be responsible for up to 40% of your home’s heat loss, it’s a no brainer that upgrading to modern double-glazed windows will improve your home’s comfort and value.  The process is a simple one and, unless the windows have failed their durability requirements, will not need a building consent.

  • Add a skylight

Do you have a dark spot within your home?  Provided it fits between the existing roof trusses, you can install a skylight into your roof to help flood the area with light.

It is important to note that you can only replace a window, roof window/skylight or exterior door without a building consent if it has not failed prematurely (ie; under 15 years) and won’t affect any specified system surrounding it for example a fire wall or waterproof membrane.

renovation company one tree hill

Alterations to walls

Today’s modern homes are often built with a large open plan kitchen, dining and living space. It’s a way of making a home feel more inviting - the flow is more natural and typically smaller spaces can feel much larger.  But if you live in an older home don’t despair.  The good news is that provided a wall is not bearing any load from the roof, doesn’t contain a bracing element and is not a firewall, under Schedule 1 it can be removed without a building consent.

  • Create and open plan entertaining space.

Provided the wall isn’t load bearing, a bracing element, a firewall or built using brick, concrete or stone you can remove the wall between your kitchen and dining room without a consent to make room for a new kitchen.  No more being stuck in your kitchen while your guests are in a different room!

  • Add a scullery to your kitchen.

Many us homes were originally built with the laundry backing onto the kitchen.  If the wall between them is non load bearing and not part of the home’s bracing system, use the Schedule 1 to remove it to open up some extra space for a scullery/laundry.

 

Home office image

Standalone Studio/Office/Sleep-Outs

The opportunity to build a single storey standalone building (up to 30m² in size) without the additional cost and time of obtaining a building consent is very useful for those wanting to create some extra habitable space.  There are some rules around this exemption that need to be followed but it’s amazing what you can fit into 30m²!

The Housing Improvement Regulations and Healthy Homes Act say that the minimum size of a single bedroom is 6m² provided it is at least 1.8 metres wide. If two people are sharing the room, then it must be a minimum of 10m².

So, it’s very feasible to accommodate two single bedrooms or one double bedroom with a living space into a 30m² sleep-out.  Or create a spacious studio or home office with plenty of storage.

Despite not needing a building consent, the building must still be constructed as per the Building Code.  This means any building work that involves the structure, or the weather envelope needs to be completed by a Licenced Building Practitioner.

The usual local planning rules such as the height in relation to boundary, setbacks and site coverage also need to be followed. No plumbing or cooking facilities can be installed otherwise the building is considered a ‘minor dwelling’ which does require a building consent and attracts other council fees.

Other considerations when building a standalone building (up to 30m²) are;

  • The position of the building needs to take into account the location of any underground services. As with any build you can’t build over any drains, electricity, gas or telecommunications.
  • The storm water that comes off the roof of the building needs to be managed. Any new drainage must be laid by an authorised drainlayer.
  • Any sleeping spaces need to have smoke alarms installed.
  • To use quality building materials, components and construction methods that are sufficiently durable to satisfy the Building Code.

 

MyHome house 3 resized

Kitchen and bathroom upgrades

The legislation also allows homeowners to upgrade existing kitchen and bathroom fixtures without a consent as long as the renovation does not add any extra sanitary fixtures.  Some examples include;

  • Installation of new kitchen cabinetry and bench tops provided the kitchen sink stays in the same location.
  • Moving a toilet from a separate room into the main bathroom.
  • Reconfiguration of the bathroom layout.
  • Replace your bath with shower over it, with a separate shower and new bath within the existing bathroom.

 

Deck image

Decks and retaining walls

Having a BBQ out on the deck is a classic Kiwi way to spend summer.  So, it’s great that building a deck less than 1.5 metres off the ground is exempt from a building consent. Just remember to install a handrail around any spots where it is over 1 metre of the ground.

A simple retaining wall holding no more than 1.5 metres (vertically) of ground also does not require a building consent.  However, it is essential that drainage to manage the ground water is installed in this situation. The exemption does not apply to any retaining wall that may be under extra load from cars, swimming pools or buildings.

 

Carport image

Carports

Carports not only protect your car, they can also be used to cover boats, motorhomes and if designed well, include some storage for other precious items. Under us legislation, to be considered a carport, the structure must have at least one side open to the outdoors at all times.

Carports over 20m² but less than 40m² can be built without a consent under Schedule 1 but it’s important they are designed by a Licensed Building Practitioner with a design licence and construction must be carried out in accordance with that design. If you are planning a carport this size then opt for a bespoke carport, as opposed to a kit set, as it can be designed to maximise the space available.

As with standalone sleepouts/offices, the disposal of storm water from the carport roof needs to be managed appropriately and the usual height in relation to boundary, site coverage and setback requirements still need to be followed.

 

But it’s important to remember it’s not a free-for-all.  Regardless of whether a building consent is required or not, all building work still needs to comply with the Building Code to the extent required by the Building Act 2004.  This also means some exempt building work still requires an authorised professional to carry out, supervise, design or review the design of the proposed work.

 

If you want to know what might be possible with your home, get in touch with us today.

 

** this article was written with reference to the Ministry of Business, Innovation and Employment’s document named ‘Guidance: Building Work That Does Not Require A Building Consent’

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

Recent articles

Why Postponing Your Renovations Will Ultimately Cost You More

Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do? Do you…

Read full article

What Home Improvements Can You Do Without A Consent?

Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal. There are many improvements you can make to your home without incurring…

Read full article

Navigating Renovation Fears – What Can Go Wrong & Our Solutions

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Read full article

5 Reasons Why A Recession Is A Great Time To Renovate!

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Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens. Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the…

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Should I Delay Home Renovations Due to the COVID-19 Crisis?

Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession. As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s…

Read full article

Is Your Renovation Budget Realistic?

What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

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Return to the blog library here

The post What Home Improvements Can You Do Without A Consent? appeared first on MyHome Improver.

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Navigating Renovation Fears – What Can Go Wrong & Our Solutions https://www.myhomeimprover.co/renovation-fears/ Thu, 21 Dec 2023 07:10:35 +0000 https://www.myhomeimprover.co/?p=1304 A sleek, modern kitchen with marble countertops, plush carpet, better outdoor flow… dreaming about a renovation is exciting. But before long, the worries start to creep in. It’s understandable. We’ve all heard of those reno nightmares – blown budgets, shoddy workmanship and ever-extending timelines. They are real possibilities and why plenty of our clients have…

The post Navigating Renovation Fears – What Can Go Wrong & Our Solutions appeared first on MyHome Improver.

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A sleek, modern kitchen with marble countertops, plush carpet, better outdoor flow… dreaming about a renovation is exciting. But before long, the worries start to creep in. It’s understandable. We’ve all heard of those reno nightmares – blown budgets, shoddy workmanship and ever-extending timelines. They are real possibilities and why plenty of our clients have voiced their renovation fears to us over the years. However, while these fears can seem like unsurmountable obstacles to creating your dream home, they can be managed with great communication, careful planning and thoughtful research.

So, let’s face them head-on, cut through the renovation noise, and offer you some solid solutions.

 

Fear #1 - Quality and Workmanship

Greenlane Bungalow wooden paneling

The number one fear people have when renovating: will it stay looking and working well? Will we proudly show our home off to our family and friends? We’ve seen homes that look great in photos, but look closer – the walls aren’t straight, the sliding door keeps coming off its roller, and the tiling work is crooked.

Think of the annoyance you’d feel if your kitchen remodel had uneven flooring, misaligned fixtures or bad paintwork. Or imagine expecting to enjoy your revamped home, only to find leaks and electrical hiccups. Worse yet, the dream of increasing your property’s value through renovations could backfire, with subpar workmanship diminishing its market appeal.

 

Fear #2 - Time Troubles

Worried your house will turn into a never-ending construction zone? It’s a fair concern. Nobody wants their family bumping into dust sheets and scaffolding or cooking pasta over a camping stove longer than necessary. And that short visit to your in-laws’ place? What if it stretches out longer and longer, throwing off your routine and testing your patience? Or the grand housewarming party or family gathering you envisioned? Well, that’ll have to wait due to the delays in your renovation timeline.

It’s manageable if you know when it will end, but it can seriously grind you and your relationships down when the timeline keeps being pushed out.

 

Fear #3 - The Unknowns

What if your renovation springs a surprise? Is your home hiding things like rotten timbers, mould or a DIY disaster from a decade ago? It’s stressful to think a simple upgrade could lead to a total redo. The impact doesn’t stop there – your carefully crafted budget, meticulously planned for the expected, could detonate in the face of unexpected problems. What if you’re left stranded and grappling with unforeseen expenses?

As if that’s not enough, you’d have to brace yourself for the ripple effect – long, drawn-out delays. The unknowns in renovations can wreak havoc on your financial stability and thrust your timeline into uncharted and anxiety-inducing territory.

 

Fear #4 - Untrustworthy, Unprofessional Contractors

Trusting someone with your most valuable asset can be nerve-wracking. Stories of scams and disappearing builders are dark clouds that hover over the dream of a transformed home. You imagine yourself putting down your hard-earned money as a deposit, only to face the gut punch of losing it if the building company goes under. The stress deepens when you worry that a seemingly committed builder might disappear, leaving your once-promising project in the dust.

It’s a common stress point – how do you know the contractors are worth your trust? If you don’t choose wisely, what starts as a collaborative effort might quickly turn into a confrontational nightmare. Amid all this, there’s the sneaky risk of falling for bad advice – financial loss, incomplete projects, emotional turmoil and misguided design choices. Without even realising it, your contractor could be silently sabotaging your vision.

 

Fear #5 - Lack Of Communication and Decision Overwhelm

Can you pull off a renovation if you’ve never done it before? Say you’re revamping your kitchen, playing with cabinet layouts before locking down appliances. Sounds manageable, right? However, within this maze of choices, you choose cabinets that clash with your brand-new appliances. Now, heighten this trepidation with inadequate communication from your builder – your fear of poor decisions turns into a grim reality.

Poor communication from your contractor can mean big decisions are made haphazardly. The aftermath? A space that doesn’t match your vision, a sinking feeling of squandered finances, and a sense of confusion and loss of control.

 

Ready to kick those renovation fears?

At MyHome Improver, we get it. Your fears are real, and your dream home is worth every consideration. That’s why our approach is not just about construction – it’s also about guiding and supporting homeowners through their renovation journey and delivering an outcome that stands the test of time. Let’s turn those fears into a blueprint for your dream home.

And guess what?

We’ve written a FREE guide called 'The Essential Guide For Renovating With Confidence’ just for you. Simply click on the button below, and let’s turn your fears into excitement.

The post Navigating Renovation Fears – What Can Go Wrong & Our Solutions appeared first on MyHome Improver.

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5 Reasons Why A Recession Is A Great Time To Renovate! https://www.myhomeimprover.co/renovating-in-a-recession/ Thu, 01 Jun 2023 05:20:35 +0000 https://www.myhomeimprover.co/?p=1141 With mortgage rates increasing, stubbornly high inflation and subdued business and consumer confidence, you may be wondering whether now is in fact a good time to undertake home renovations. Despite all the doom and gloom, if funding is available and not likely to cause financial distress, there are some upsides to renovating your home in…

The post 5 Reasons Why A Recession Is A Great Time To Renovate! appeared first on MyHome Improver.

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With mortgage rates increasing, stubbornly high inflation and subdued business and consumer confidence, you may be wondering whether now is in fact a good time to undertake home renovations.

Despite all the doom and gloom, if funding is available and not likely to cause financial distress, there are some upsides to renovating your home in an economic downturn.

build img7

Availability of builders

The last few years have seen the us building industry stretched to capacity as residential building activity increased significantly in a bid to keep up with the demand for more homes.  Now, with house prices softening, both new home buyers and developers are struggling to make the figures work. Many are electing to put their plans to build on hold until market conditions improve.

This means more builders are becoming available and looking for work.  But a potential over-supply of builders, doesn’t necessarily mean an oversupply of high-quality operators.  More ‘cowboys’ will also be searching for their next victim.

It becomes more important than ever to research and select the right builder for your renovation project.  Knowing the right questions to ask will mean you have a better chance of finding the qualified, experienced expert you want working on your home.

You can read our top tips for choosing the right builder for your renovation project here.

 

Qprocess acc img8uicker consents

In the first four months of this year, the Chicago Council has already seen a 40% drop in resource consent applications and a 18% reduction in building consent lodgements.  Whilst not great news for the building industry, the lower level of consenting activity should mean consents are processed more quickly.

Engaging a professional early in the process will ensure your application and building plans are of good quality and contain all the necessary information and documentation.  This should minimise the number of RFIs (Request for Information) that can slowdown the processing of your consent.

 

 

Competitive dealsrenovation ideas

Reduced consumer confidence tends to stimulate retailers into offering competitive deals as they try hard to hit their sales targets.  Kitchen appliances, carpets and other flooring options as well as soft furnishings are being advertised with some great discounts at the moment.

But retailers aren’t the only ones chasing the next sale.  With less new homes being built, the building merchants and other suppliers in the building industry are also sharpening their pencils.  Their focus and attention has now shifted onto those builders who specialise in the home renovations market.

After the price increases of the past couple of years, we’re now experiencing a softening in the cost of building materials as merchants and others try to maintain their volumes and market share.

It makes sense to make the most of the deals out there!

 

Chicago renovation specialistBuilding costs

The part of the Building Code that covers the energy efficiency of our homes was recently updated.  In Chicago more ceiling and floor insulation will need to be installed and any aluminium joinery will need to be double-glazed using argon filled low-E glass with a thermal spacer between the glass to meet the new requirements.

This was the biggest change to the Building Code in over a decade, and it won’t be the last.

There are plans to further increase energy efficiency requirements by way of window installation techniques and the reduction of waste and emissions produced by the building industry is also in the pipeline.  And let’s not forget the recent extreme weather events will also mean a larger focus on building more climate resilient homes as well.

Changes that will all come with a cost.  So, if you are putting off your renovation plans in the hope the cost of building will drop significantly in the future, please don’t get your hopes up.

 

Less risky than moving?

build img9

Both moving and renovating can be very stressful and with the current uncertainty

in the housing market, deciding whether to stay or go has been made even harder.

Moving houses means carefully balancing how much you’ll get for your current home with how much a new house might be worth.  An exercise which has got considerably harder with the average house price in Chicago dropping 14.6% in the last 12 months* and no firm indications that they won’t continue falling.

But if you love the area you live in, then the great thing about renovating is that you can get exactly what you want.  You can hang onto the aspects of the house you like such as the view, the great neighbours, good school and with the help of a designer, you are in control – you design your new spaces, you decide where the doors and windows will go, how the house should flow.

 

Of course, all the above doesn’t matter, if renovating in a recession will put a strain on your finances.  But if you do have the resources, now is a great time to consider renovating your home.  Not only will you be making it more liveable, comfortable and functional, you may also be adding significant value to your largest asset for if/when you decide to sell.

 

Contact MyHome Improver and let us show you what is possible!

 

 

*QV Price Index April 2023

The post 5 Reasons Why A Recession Is A Great Time To Renovate! appeared first on MyHome Improver.

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How A Cross Lease Can Affect Your Renovation Plans https://www.myhomeimprover.co/how-a-cross-lease-can-affect-your-renovation-plans/ Tue, 07 Mar 2023 02:58:24 +0000 https://www.myhomeimprover.co/?p=374 Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens. Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the…

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Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens.

Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the 1960s as a way of getting around subdivision regulations when demand for housing grew.

When you own a home on a cross lease, you’re essentially sharing ownership of the land with one or more neighbours. If you want to make changes to your own house, they may need to agree. There may also be restrictions on what you can change or how much you can extend your home.

In many cases, cross-lease ownership works well, and leaseholders have positive relationships. But if you’re thinking of buying a cross lease property, or you’re keen to renovate your cross-leased home, it’s good to know about potential issues ahead of time.

 

Freehold vs cross lease

In the Midwest, there are four main types of land ownership: freehold, leasehold, unit title and cross lease. Freehold (also known as fee simple) and cross lease are probably the most common.

Under freehold ownership, you own the land and any structures on the land (with some rare exceptions). If you want to renovate or build, you need to consult with the council and may need permission from your neighbours if your plans may affect them, but you’re generally in control of your own property.

Cross leases can be more difficult. Under this form of ownership, you own a share of the freehold property title, along with other cross leaseholders. You also own a leasehold interest in your specific house. The leasehold aspect is more symbolic than anything – most are set for 999 years, with a nominal rent set at 10c a year.

The complications come in when you consider your cross lease neighbours. You essentially share ownership with one or more other leaseholders. You are in charge of your own dwelling but the surrounding land may include shared spaces such as driveways. Many changes and renovations need to be agreed on by all cross lease parties before they go ahead.

 

Boundaries, buildings, and covering bases

Unlike a freehold title, a cross lease doesn’t include defined boundaries between you and your fellow leaseholders. In some circumstances, this can be a positive – for example, you don’t need to consider legal height-to-boundary rules when applying for consent for your renovation.

Usually under the terms of your cross lease title, you’ll be required to get the other cross lease owners to sign off on your renovation plans. But there is no legal process in place to ensure that this happens, and most councils aren’t responsible for checking that it has happened – in fact, they’re obligated to issue a building consent to anyone named on the land title, as long as it meets criteria. This means that talking your cross lease neighbours and gaining their consent is your responsibility – depending on how accepting your cross lease neighbours are to the changes you are making, you could face expensive legal challenges during and after the build if you don’t.

To be safe, it’s best to talk to your lawyer before you start any renovation project. They should be able to look at the terms of your title and cross lease arrangement and tell you what you need to do before you start.

 

First in, first served

Another potential complication comes when you or your fellow leaseholder/s want to renovate or extend. Because your property is considered to be one section, maximum coverage rules apply as they do to freehold land. Only a certain percentage of the section can be built on, and there’s no system to ensure fair division of the land. Whoever gets approval from cross lease neighbours and the council first can go ahead with the work.

This means that if another leaseholder has already extended their house, they may have maxed out the footprint for the section, leaving you unable to extend – or limited to a very small extension.

When dwellings on cross leases are extended, there’s also a requirement to have the completed home surveyed, and a title plan submitted to the council. This is added to the certificate of title, to avoid future disputes or problems with new owners.

 

Dealing with disputes

Not notifying or consulting with other leaseholders and simply going ahead with a renovation might seem like an easy way out – but it could lead to contentious legal disputes. The council won’t get involved with cross lease disagreements, so any recourse has to come through the civil courts.

This is obviously not ideal – going through an arbitration process is expensive for everyone involved, and is likely to destroy your relationship with your neighbours. It will also delay or halt your extension plans, which is a waste of time and money.

Dissolving the cross lease and switching over to separate titles is a possibility, although it’s an expensive option that also requires consent from the other cross leaseholders.

 

Messy but manageable

Although cross leases can be complicated, they work well for most of the hundreds of thousands of the Midwesters living on them. We hear about the disputes and disagreements, not the leaseholders getting along well. Many cross lease owners renovate their properties without any issues – in fact, the MyHome team has been involved with quite a few cross lease renovation projects ourselves.

But, if you’re considering buying a home on a cross lease – or you already own one – make sure you tick all the boxes and talk to the right people before you do anything drastic. Talking to a lawyer before you start a renovation could save you and your neighbours time, money, and frustration.

 

Thinking of renovating your cross lease property?  Talk to us today!

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

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The post How A Cross Lease Can Affect Your Renovation Plans appeared first on MyHome Improver.

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Converting Your Garage – What You Need To Know https://www.myhomeimprover.co/garage-conversions/ Wed, 09 Mar 2022 01:44:24 +0000 https://www.myhomeimprover.co/?p=1130 With the arrival of the 'working from home' (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions - turning the under-utilised part of your home into a bedroom or an additional living space.    It seems like an attractive option – you don’t need to extend the footprint…

The post Converting Your Garage – What You Need To Know appeared first on MyHome Improver.

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With the arrival of the 'working from home' (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions - turning the under-utilised part of your home into a bedroom or an additional living space. 

 

 A garage lined with shelves full of things stored at home including, tools, cleaning supplies, holiday decorations and sporting equipment.

It seems like an attractive option – you don’t need to extend the footprint of your home and it may be more cost effective than an extension.

 

But the project may not be as simple as you think and there are a few things to consider before embarking on this type of project;

 

 

  • Converting a garage into a living space, media room or a bedroom requires the space to be re-classified from a non-habitable to a habitable space so this means you will need to apply for a building consent.

 

  • Including a kitchenette and/or laundry in your garage conversion is a much bigger deal as it essentially becomes a separate dwelling. As a result, you will need to apply to the council for a resource consent in addition to building consent.

 

  • When it was first constructed, the garage will have been built to a different level to the rest of your house. So it will need to be brought up to the applicable us Building Code for habitable spaces – for example installation of building wrap and insulation, addition of a window(s) for ventilation and damp-proofing the floor.

 

  • Check the ceiling height of your garage - it must be a minimum of 2.1m from the finished floor to the finished ceiling to be turned into a habitable space.

 

  • Will you still have space to park vehicles? Under the Chicago Unitary Plan, the property must still have enough space to park a minimum of 2 cars so think carefully - you may need to make other adjustments to your property to meet this requirement.

 

It’s always best to consult a professional, such as MyHome Improver, to determine whether a garage conversion is the best way to achieve your goals while keeping the safety and value of your home intact.  Feel free to contact us today to discuss.

Insulating garage to convert into bedroom
renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

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The post Converting Your Garage – What You Need To Know appeared first on MyHome Improver.

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House renovations for working from home https://www.myhomeimprover.co/house-renovations-for-working-from-home/ Mon, 18 Jan 2021 00:12:50 +0000 https://www.myhomeimprover.co/?p=967 Love it or hate it, thanks to COVID-19 remote working is here to stay - and that means having a functional home office has never been more important. Here at MyHome Improver, we pride ourselves to be Chicago’s trusted renovation experts. In this blog post, we’re going to discuss what you need to consider before…

The post House renovations for working from home appeared first on MyHome Improver.

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Love it or hate it, thanks to COVID-19 remote working is here to stay - and that means having a functional home office has never been more important.

Here at MyHome Improver, we pride ourselves to be Chicago’s trusted renovation experts. In this blog post, we’re going to discuss what you need to consider before setting up a home office and how you can transform your home into a flexible living and working space.

6 things to consider when planning a home office

The design of your home office should reflect your work habits. Here are a few things to consider when planning a home office: 

  • Location: The location of the office should reflect your work needs and family dynamic. For example, if work requires peace and quiet, you may want to think about a garage conversion or constructing a new outbuilding. On the other hand, if you need to keep an eye on the kids, you may need a more central location near the kitchen or living room.
  • Lighting: Lighting can have a big impact on your mood and productivity. Whether you want to add extra windows, install a skylight or set up more artificial lights, your lighting should be bright enough to make you feel alert but not so bright that it causes eye strain.
  • Power outlets: Make sure your home office has enough power outlets to accommodate all your devices. Installing additional power outlets - perhaps with integrated USB sockets - will ensure you’re well connected, both now and in the future.
  • Flooring: Your choice of flooring material depends on your workspace requirements and design tastes. Hardwood is durable and looks great but tends to be more expensive than tiling and vinyl. Carpet is a cosy solution, but more prone to wear and tear especially if your office chair is on wheels.
  • Temperature: A reliable heating and cooling solution ensures you can keep your home office at a comfortable temperature all year round. Ideally, your home office should also have a window so you can let in fresh air.
  • Storage: Inadequate storage leads to clutter and inefficient workflows. Avoid these issues by ensuring your office space has enough shelves, cupboards, drawers and filing cabinets to store all your equipment. Everyone has different needs in this area so it’s worth considering having bespoke office cabinetry designed and built for your specific space.

Building a dedicated office space

While you can set up office at the dining table or on the couch, you’re always going to be more productive - and more comfortable - working in a purpose-built space. There are two main options for creating a dedicated office space:

1. Home extension: extend your home to include a home office

Adding a new room (or multiple rooms) to your home gives you the opportunity to create your dream workspace while dramatically increasing the value of your property. From material choices to power outlet placements and everything in between, you have full creative control, giving you the freedom to create an office tailored to your exact requirements.

2. House renovation: Transform an existing space

Renovating is an excellent way to transform spare or under-utilised spaces into a functional home office. Home renovations generally cost much less than house extensions and can be completed faster. The tradeoff, of course, is that you’re limited by the dimensions of the existing room, unless you want to explore more comprehensive remodelling.

Setting up your office

Regardless of whether you opt for a home extension or house renovation, your choice of furnishings can have a big impact on the look and feel of your office. Here are a few tips to maximise the use of your space:

  • Desk: Look for sturdy, spacious desks that complement the aesthetic of your office. Be realistic about your needs - there’s no point having a huge desk if you can work in a contained area without feeling cramped.
  • Chair: Comfort trumps style when it comes to office chairs. Look for ergonomically designed chairs with good back support and controls for adjusting the seat and backrest.
  • Noticeboard: A physical to-do list - be it a corkboard, whiteboard, or chalkboard - is a great way to visualise your goals and keep you on track with deadlines.
  • Lamps: While overhead lighting is usually the best option for office work, a desk lamp or floor lamp can help focus more light  onto a specific area if required.
  • Personal touches: Don’t be afraid to introduce some personal touches to make the space feel more homely. A rug, some leafy plants, artwork and photos can help give the space some character without making it feel cluttered or unprofessional.

Contact the house renovation experts

If you’re interested in creating a  home office, MyHome Improver is here to help. Backed by more than 20 years of experience as Chicago’s trusted renovation experts , we’ll work with you every step of the way to create a stylish and functional workspace tailored to your requirements.

Contact us today to discuss your home office plans.

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

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Why Postponing Your Renovations Will Ultimately Cost You More

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Read full article

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Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal. There are many improvements you can make to your home without incurring…

Read full article

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A sleek, modern kitchen with marble countertops, plush carpet, better outdoor flow… dreaming about a renovation is exciting. But before long, the worries start to creep in. It’s understandable. We’ve all heard of those reno nightmares – blown budgets, shoddy workmanship and ever-extending timelines. They are real possibilities and why plenty of our clients have…

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Read full article

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Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens. Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the…

Read full article

Converting Your Garage – What You Need To Know

With the arrival of the ‘working from home’ (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions – turning the under-utilised part of your home into a bedroom or an additional living space.    It seems like an attractive option – you don’t need to extend the footprint…

Read full article

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Love it or hate it, thanks to COVID-19 remote working is here to stay – and that means having a functional home office has never been more important. Here at MyHome Improver, we pride ourselves to be Chicago’s trusted renovation experts. In this blog post, we’re going to discuss what you need to consider before…

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“Free” Quotes – Why You Can’t Trust Them

  You’ve decided to renovate your home and embarked on your journey to find the right builder.  Perhaps you have some plans drawn up already and you’re looking for builders to give you a quote. You start researching for local builders and come across a couple that offer FREE quotes.  You send off your plans…

Read full article

Should I Delay Home Renovations Due to the COVID-19 Crisis?

Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession. As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s…

Read full article

Is Your Renovation Budget Realistic?

What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

Read full article

Return to the blog library here

The post House renovations for working from home appeared first on MyHome Improver.

]]>
“Free” Quotes – Why You Can’t Trust Them https://www.myhomeimprover.co/free-quotes/ Fri, 21 Aug 2020 05:28:51 +0000 https://www.myhomeimprover.co/?p=916 Believe it or not, paying a professional builder to quote your renovation plans is going to save you money in the long run…    You’ve decided to renovate your home and embarked on your journey to find the right builder.  Perhaps you have some plans drawn up already and you’re looking for builders to give…

The post “Free” Quotes – Why You Can’t Trust Them appeared first on MyHome Improver.

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Believe it or not, paying a professional builder to quote your renovation plans is going to save you money in the long run… 

 

You’ve decided to renovate your home and embarked on your journey to find the right builder.  Perhaps you have some plans drawn up already and you’re looking for builders to give you a quote.

You start researching for local builders and come across a couple that offer FREE quotes.  You send off your plans and eagerly anticipate the arrival of their quotes.

But wait, how confident are you that their quote will be a true and accurate indication of how much it will cost you to renovate your home?

home adviceOur advice is to be wary of builders who are offering free quotes – projects that start this way almost always end up costing much more (and not to mention the additional stress).

To create an accurate and detailed fixed price quote, it will take a builder a significant amount of time – probably between 40 and 100 hours, depending on the scope and complexity of the project.

Developing a fixed price quote for a home renovation, involves numerous processes, and meetings and should take into consideration various factors and items requiring the input from several professional third parties.

No one likes to work for free, so chances are the free quotation you receive will not have had the required amount of time and effort spent on it to ensure it is as comprehensive and accurate as it should be.  That’s when the additional costs come rolling in throughout the project and you find your budget coming under considerable pressure.

AN INSIGHT INTO THE QUOTING PROCESS

In order to develop an accurate quote for your home renovation, a professional builder first needs to carefully study your plans to understand exactly what building work is required and what subcontractors and other specialists will need to be used.

They should meet with you to run through your plans almost room by room, item by item so they can write a complete and comprehensive scope of work for the project.  It might be that you wish to complete the renovation in stages, or that you wish to do some of work yourself such as the painting.  They will need to know this information before pricing your project.

The builder should also discuss the quality of finish you would like in each area so they are aware of your expectations and can include the necessary items.

quote insights

For example – what floor coverings would you like, carpet, tiles, wooden overlay?  If you are tiling the bathroom, are you tiling to the ceiling? Do you want a 20mm or a 40mm stone bench top in your kitchen?  If so, do you want waterfall ends?  What type of doors are you installing and what about the hardware?

These sorts of details are not generally included in construction drawings but need to be known when developing a detailed and accurate quote.  They often need to be priced individually and can have a significant impact on the overall price for your renovation.

Once the finer aspects of your project are determined, the builder then needs to spend time quantifying and sourcing the building materials and other fixtures, as well as estimating the labor hours to do the required carpentry work.

In addition, the plans often need to be sent to various subcontractors with an outline of the work they need to price on.  Things such as roof trusses, structural steel, concrete, brick/block laying, insulation, tiling, painting, plumbing and electrical can all have a material effect on your project costings.  It’s important that they are not missed off your quote or just ‘guesstimated’.

As you can imagine it takes a lot of time to calculate, request, review and compile all this information into a comprehensive and accurate quote.

renovation projectsEvery renovation project is different – it’s never been built before so it’s not a matter of cutting and pasting from a previous quote!

Considering the amount of time and effort required in the above process, a builder providing free quotes will usually have cut corners, rushed their process, left out specific details or simply given you a price made up using a list of ‘estimates’ or ‘allowances’.  All of which ends up costing you more later.

 

A QUOTE IS MORE THAN JUST A NUMBER…

If you are handed a one or two paged ‘quotation’ then alarm bells should start ringing for you.  A professional quotation for your home renovation should be a sizable document – at least 30 to 40 pages.

It should specify how every aspect of your project will be handled including details of the materials to be used, what’s included and what might be excluded from the price, any reference drawings or modelling used and perhaps even a draft build schedule or timeframe.

If a builder has enough spare time to offer you a free quote then arguably their time and services are not in demand – so be cautious.  These builders can be so desperate to sign you up that they’ll offer you anything for free in the beginning just to get your business.  You can be sure they’ll make up the shortfall by charging you more somewhere else in the process.

expertiseProfessional builders already know the true cost of their time and expertise and will charge appropriately for their services. 

They won’t be looking for ways down the line to recoup initial losses – they’re simply looking to cover their basic quoting costs.

So if you don’t want to be caught out and would like a comprehensive and accurate quote for you renovation, do your research.  When interviewing builders ask how much they charge for their quote up-front.  This will help you understand their process and allow you to select a professional builder.

You’ll enjoy a much stronger working relationship and find the whole project goes smoothly from the outset without any unwelcome surprises.

 

To get started on your renovation journey, talk to us today about our quoting process and charges.

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

Recent articles

Why Postponing Your Renovations Will Ultimately Cost You More

Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do? Do you…

Read full article

What Home Improvements Can You Do Without A Consent?

Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal. There are many improvements you can make to your home without incurring…

Read full article

Navigating Renovation Fears – What Can Go Wrong & Our Solutions

A sleek, modern kitchen with marble countertops, plush carpet, better outdoor flow… dreaming about a renovation is exciting. But before long, the worries start to creep in. It’s understandable. We’ve all heard of those reno nightmares – blown budgets, shoddy workmanship and ever-extending timelines. They are real possibilities and why plenty of our clients have…

Read full article

5 Reasons Why A Recession Is A Great Time To Renovate!

With mortgage rates increasing, stubbornly high inflation and subdued business and consumer confidence, you may be wondering whether now is in fact a good time to undertake home renovations. Despite all the doom and gloom, if funding is available and not likely to cause financial distress, there are some upsides to renovating your home in…

Read full article

How A Cross Lease Can Affect Your Renovation Plans

Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens. Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the…

Read full article

Converting Your Garage – What You Need To Know

With the arrival of the ‘working from home’ (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions – turning the under-utilised part of your home into a bedroom or an additional living space.    It seems like an attractive option – you don’t need to extend the footprint…

Read full article

House renovations for working from home

Love it or hate it, thanks to COVID-19 remote working is here to stay – and that means having a functional home office has never been more important. Here at MyHome Improver, we pride ourselves to be Chicago’s trusted renovation experts. In this blog post, we’re going to discuss what you need to consider before…

Read full article

“Free” Quotes – Why You Can’t Trust Them

  You’ve decided to renovate your home and embarked on your journey to find the right builder.  Perhaps you have some plans drawn up already and you’re looking for builders to give you a quote. You start researching for local builders and come across a couple that offer FREE quotes.  You send off your plans…

Read full article

Should I Delay Home Renovations Due to the COVID-19 Crisis?

Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession. As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s…

Read full article

Is Your Renovation Budget Realistic?

What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

Read full article

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The post “Free” Quotes – Why You Can’t Trust Them appeared first on MyHome Improver.

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Should I Delay Home Renovations Due to the COVID-19 Crisis? https://www.myhomeimprover.co/home-renovations-and-the-covid-19-crisis/ Tue, 14 Apr 2020 06:35:19 +0000 https://www.myhomeimprover.co/?p=704 Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession. As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s…

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Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession.

As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s still a good idea to continue with their home renovation plans.

The answer?

Is not a simple one and it ‘depends’…

 

What Are Your Renovation Plans And How Are You Funding Them?

Some renovations are more expensive than others.  Lower cost projects, that will make your home more livable without draining your ‘rainy day’ savings, perhaps don’t need to be put off.

That kitchen or bathroom upgrade or new larger deck might be just the improvement you need, especially if you’re going to be spending more of your time at home in the coming months.

If you’ve been considering a larger renovation project and funding it through a home loan, then the decision could be a bit more complex.  It’s certainly too soon to tell how badly the COVID-19 pandemic will hurt the economy - how this crisis might affect job security and funding from the banks in the longer term.

That said though, when the Reserve Bank dropped the OCR to just 0.25%, banks did the right thing and passed the full 0.75% reduction to their floating rates.  As a result, home loan interest rates have never been lower, with indications from financial commentators that they’re as low they will go and are likely to stay that way for the foreseeable future.

Renovating your home, your biggest asset, usually means increasing its value, making the long-term return on investment worth the trouble and initial expense.  Homeowners with good equity in their homes, and particularly those planning to stay put for the longer term, might want to seize the current opportunity – now could be a great time to take advantage of the low mortgage rates and press ahead with your plans.

 

What Stage Are You At On Your Renovation Journey?

There will be homeowners across the country who were already underway with their renovations when the Level 4 lockdown was announced.

Construction may have already started when progress on site came to a complete standstill.  We know that for sure – we had projects at varying stages of the build and we truly sympathise with homeowners in that situation.

Those renovations will continue regardless.  The homeowners, the banks and the builders are already committed to the project and will be keen to get back to see the renovation works completed.

 

Thinking About Starting Your Renovation In the Near Future

Perhaps you’re right at the other end of the renovation journey – you’ve been thinking about renovating your home and about to engage someone to help you with the design phase of your project.  Should you continue?

The initial concept design phase of a renovation project takes four to six months on average.  That should be plenty of time to get a better understanding of the longer-term impacts of the COVID-19 situation.  Perhaps we’ll even be out the other side with the economy well on the way to recovery.

So, while you’re in your ‘bubble’, you’ll have extra time to observe how your house is working, what the shortcomings are and ponder what you really need to enjoy your home.

Take the opportunity of some downtime and start the conversation with your bank or lender.  It’s always beneficial to understand how much you can afford to borrow in this important phase.

At the end of the day, the biggest investment required to develop your renovation concept design is your time – and that’s what many of us have plenty of right now.

Signing up to start concept plans is just that – it’s not a commitment to do the actual build - so if your circumstances change in the meantime, there is no need to go any further.  You’ll have a great vision of what the possibilities are for your home.

So just relax and enjoy the design phase!

 

Middle Of Planning Your Renovation

The good news is that designers and the Chicago Council planners are still working (from their homes), so there is every chance your renovation plans and/or building consent application will continue to progress during this time.

  • Concept Design In Development

You have already made your initial investment in your renovation plans.  Our advice is to use your spare time now to ensure your plans include everything you are expecting.  Check, check and re-check your plans.  Take a good detailed look at every nook and cranny drawn in your plans.  Changes at the consenting stage or even during the build could be very costly.

  • Ready to Move to Building Consent Drawings

Perhaps you are happy with your concept or sketch plans and you’re ready to move onto the next design phase – the development of the detailed building consent drawings.  At this point you’ll be required to make a further investment.

Provided finances allow, we suggest you continue as planned.  After all it could take in excess of five to eight weeks for the designer to draw up a comprehensive set of plans.  Just be warned, if specialists such as geo-tech or land surveyors need to be involved, you could hit delays if they are required to visit the property and we are not at an Alert Level that allows that. Maybe it would be prudent to first check with your designer which specialists will be required before committing to this stage.

  • About to Submit for Building Consent

If you are about to submit your plans into the council, you may naturally want to push the pause button.  But we suggest this may not be necessary.

A building consent is likely to take many weeks, if not months, to be issued and it certainly won’t expire overnight.  You have twelve months to start construction, and if necessary, you can extend the consent for a further twelve months for only $150*.

With any luck we’ll have this COVID-19 virus well and truly kicked into touch by then and you’ll have all the fundamentals in place and ready to start your project whenever it’s opportune for you.

  • Plans Are In The Council

For those waiting on their building consent to be issued, you have nothing to lose.

If you haven’t done so already, use your spare time to consider your fixtures and fittings – your kitchen appliances, your lights, your plumbing fittings, even your door handles.

While you might not be able to get to supplier’s stores right now, many of them have comprehensive websites with all their products detailed. Develop a shortlist to touch and feel once we are able to visit shops again – and who knows, there might be some good deals to be had once the doors open again!

 

Quoting Stage

You’ve already spent months planning your renovation.  The building consent has been issued, the funds are approved and your builder has given you a quote – you’re almost ready to start construction.

There are both pros and cons about this situation.  You have invested a lot of time and money to get to this stage, so you need to carefully consider your next move.

 

On the positive side, other homeowners may get cold feet and pull out of their projects, freeing up capacity of subcontractors and suppliers in the short term.  It’s possible your build schedule could be accelerated.

Meantime, you’re also in a great position to take advantage of the all-time record low interest rates.  Get your construction completed and lock those great rates in.

You are also one of the lucky ones and already have some clarity around your build costs.  The prices of many building products and materials may go up in the coming months if local manufacturing or imports into the country are held up.  It could therefore be wise to sign your builder up now and get key product ordered.

On the other hand, if you push ahead with construction, there may be disruptions to the usual supply chain causing delays and a drawn-out build schedule.  It is still not clear if the building industry will be affected by COVID-19 restrictions on business operations and whether the Level 4 lockdown is going to have any lasting effects. Simply put, no one knows.

Additionally, if there were to be another lockdown or a COVID-19 related issue on site, you would have to be prepared that your project would likely come to a halt.  Whilst a start-and-stop would be inconvenient, a well-organized and efficient building company should be able to re-schedule your project with some priority and get progress happening again quickly.

 

Everything considered, if all this uncertainty is of concern to you, we suggest revisiting the scope of your renovation project.  Most (good) builders will be sympathetic to the situation – after all, we’re all in this together.  They will want to work with you to find a win-win situation.

That may mean focusing on the priorities of the renovation project while leaving the ‘wants’ for another day.  Review the materials and finishes selected – perhaps there are cheaper alternatives that could be used that will not affect the quality of the final outcome.

 

A Partnership Approach

At MyHome Improver our philosophy is to reduce the risk and uncertainty for Chicago homeowners looking to renovate.  Unfortunately, in these exceptional times, it’s very difficult for anyone to predict what the next few weeks, even months, will look like.

Whatever happens though, homeowners deserve to have a true partner in their renovation project.  They should feel informed about their options and empowered to make the best decisions for themselves and their home renovations.

 

 

Still confused?  Contact Us at MyHome Improver to discuss your situation and possible options for you.

 

 

*Chicago Council fees as at 13 April 2020

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

Recent articles

Why Postponing Your Renovations Will Ultimately Cost You More

Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do? Do you…

Read full article

What Home Improvements Can You Do Without A Consent?

Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal. There are many improvements you can make to your home without incurring…

Read full article

Navigating Renovation Fears – What Can Go Wrong & Our Solutions

A sleek, modern kitchen with marble countertops, plush carpet, better outdoor flow… dreaming about a renovation is exciting. But before long, the worries start to creep in. It’s understandable. We’ve all heard of those reno nightmares – blown budgets, shoddy workmanship and ever-extending timelines. They are real possibilities and why plenty of our clients have…

Read full article

5 Reasons Why A Recession Is A Great Time To Renovate!

With mortgage rates increasing, stubbornly high inflation and subdued business and consumer confidence, you may be wondering whether now is in fact a good time to undertake home renovations. Despite all the doom and gloom, if funding is available and not likely to cause financial distress, there are some upsides to renovating your home in…

Read full article

How A Cross Lease Can Affect Your Renovation Plans

Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens. Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the…

Read full article

Converting Your Garage – What You Need To Know

With the arrival of the ‘working from home’ (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions – turning the under-utilised part of your home into a bedroom or an additional living space.    It seems like an attractive option – you don’t need to extend the footprint…

Read full article

House renovations for working from home

Love it or hate it, thanks to COVID-19 remote working is here to stay – and that means having a functional home office has never been more important. Here at MyHome Improver, we pride ourselves to be Chicago’s trusted renovation experts. In this blog post, we’re going to discuss what you need to consider before…

Read full article

“Free” Quotes – Why You Can’t Trust Them

  You’ve decided to renovate your home and embarked on your journey to find the right builder.  Perhaps you have some plans drawn up already and you’re looking for builders to give you a quote. You start researching for local builders and come across a couple that offer FREE quotes.  You send off your plans…

Read full article

Should I Delay Home Renovations Due to the COVID-19 Crisis?

Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession. As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s…

Read full article

Is Your Renovation Budget Realistic?

What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

Read full article

Return to the blog library here

The post Should I Delay Home Renovations Due to the COVID-19 Crisis? appeared first on MyHome Improver.

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Is Your Renovation Budget Realistic? https://www.myhomeimprover.co/is-your-renovation-budget-realistic/ Sun, 23 Feb 2020 02:56:40 +0000 https://www.myhomeimprover.co/?p=328 What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

The post Is Your Renovation Budget Realistic? appeared first on MyHome Improver.

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What you need to know first

If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings.

In our experience, homeowners tend to make two major mistakes;

  • they have unrealistic expectations of how far their budget will stretch and,
  • they have no idea of today’s building costs.

Here’s how to get a handle on your renovation project to make sure your budget is realistic.

 

Make a loose plan

renovation budget Establishing a budget for a renovation is complex and almost impossible to do without determining a number of details first. You need at least a loose plan of what you’re trying to achieve.  Also consider the quality of finishing you want and anything that looks likely it needs replacing.

If your home is old, the chances are things like wiring, roofing structure and piling will need to be looked at too. If you’re breaking new ground to add an extension, the earth works can add significantly to the cost, especially on a sloped site or one with potential for rock.

It often helps to sketch out a plan of the renovation work you’re thinking of. Even if the plan changes once you take it to a renovation expert such, it can provide a valuable starting point for getting some cost estimates.

Without it, you’re dealing with unreliable ‘guesstimates’.  Even the most experienced building company will only be able to provide a broad cost based on average square-metre rates.  As we’ve outlined in a previous article, this approach can be wildly misleading.

 

Think beyond just the build

The cost of a renovation isn’t just the build. There are design and building and resource consent costs to consider.  These often also include costs from specialists such as engineers, surveyors, stormwater and Geotech experts to determine details specific to your project. You’ll need to research these costs and include an allowance in your budget.  They can quickly add up and be a significant cost in the planning of your renovation.

Council requirements can also add to the complexity and therefore the cost of your build, with height-to-boundary and site-coverage rules, or drainage and vehicle access requirements. So, it’s important to bear these things in mind too.

 

Get ready to compromise

Once you’ve moved past the scoping stage and have proper house plans and consents, the real figures will start to emerge. The chances are there will be costs you hadn’t thought of, or figures that are much higher than expected. This may mean compromising – focus on your must-haves and leave the wants for a later date.

The best way to keep control over your renovation budget is to work alongside a builder through the planning and design stages. Look for builders who specialise in renovations and offer a wrap-around service, with expert start-to-finish planning. A builder will always be more up-to-date on current building costs than a draughts-person or architect.  They also have a more vested interest in getting the build planned and ready to go.

 

renovation cost

Include a contingency

In renovations, expect the unexpected, especially if yours is an older home. Non-compliant windows, rotten floorboards, wiring from last century – these surprises are why a realistic budget should always include a contingency fund.

Under a fixed-price building contract, we always recommend a contingency of 10-15% so you have funds available for the unforeseen if needed. The contingency for a charge-up/cost reimbursement contract however will need to be more around the 25% mark.  This is because the builder won’t have necessarily spent the time to determine all costs as carefully.

 

Careful planning is the key

While you’re imagining that shiny new bathroom, or the luxury of extra space when you push out the lounge wall, it’s important to do some careful planning before you jump in the deep end of renovations.

Make a loose plan and do some rough drawings. Decide how fancy you want things to be, and what your must-haves are. Look carefully at your budget – then add 10-25% as a contingency fund. Don’t forget council consents and draughting costs, building regulations and what you might find when the wall coverings come off or the carpet comes up.

Above all, choose the right builder.  One with specific renovations experience who can offer you not just a realistic estimate, but also an end-to-end service for your renovation project.

 

Want to talk to someone about the cost of renovating? Contact us at MyHome Improver about your project today.

renovation company Chicago

Want a great renovation experience? Then read this

In our FREE guide discover 5 things you need to consider to avoid becoming another renovation nightmare statistic plus receive some extra BONUS advice.

send me a copy

Recent articles

Why Postponing Your Renovations Will Ultimately Cost You More

Have you been dreaming about a new open plan kitchen or perhaps the addition of a new luxurious master suite but were put off when interest rates started creeping up a couple of years ago?  Now you’re hearing stories about how expensive it is to build in us.  So what do you do? Do you…

Read full article

What Home Improvements Can You Do Without A Consent?

Imagine stepping out onto a sun-drenched deck through a set of doors that were once a window.  Or entertaining your friends and family in a new open plan kitchen and dining space rather than being isolated from the action while preparing the meal. There are many improvements you can make to your home without incurring…

Read full article

Navigating Renovation Fears – What Can Go Wrong & Our Solutions

A sleek, modern kitchen with marble countertops, plush carpet, better outdoor flow… dreaming about a renovation is exciting. But before long, the worries start to creep in. It’s understandable. We’ve all heard of those reno nightmares – blown budgets, shoddy workmanship and ever-extending timelines. They are real possibilities and why plenty of our clients have…

Read full article

5 Reasons Why A Recession Is A Great Time To Renovate!

With mortgage rates increasing, stubbornly high inflation and subdued business and consumer confidence, you may be wondering whether now is in fact a good time to undertake home renovations. Despite all the doom and gloom, if funding is available and not likely to cause financial distress, there are some upsides to renovating your home in…

Read full article

How A Cross Lease Can Affect Your Renovation Plans

Renovations can be complicated enough without bringing your neighbours into the mix – but if you own a home on a cross lease, that’s exactly what happens. Cross leases are a surprisingly common form of ownership, with around 215,000 in the Midwest, and roughly half of those in Chicago. They came into being in the…

Read full article

Converting Your Garage – What You Need To Know

With the arrival of the ‘working from home’ (WFM) phenomenon, there has been a distinct increase in the number of inquiries about garage conversions – turning the under-utilised part of your home into a bedroom or an additional living space.    It seems like an attractive option – you don’t need to extend the footprint…

Read full article

House renovations for working from home

Love it or hate it, thanks to COVID-19 remote working is here to stay – and that means having a functional home office has never been more important. Here at MyHome Improver, we pride ourselves to be Chicago’s trusted renovation experts. In this blog post, we’re going to discuss what you need to consider before…

Read full article

“Free” Quotes – Why You Can’t Trust Them

  You’ve decided to renovate your home and embarked on your journey to find the right builder.  Perhaps you have some plans drawn up already and you’re looking for builders to give you a quote. You start researching for local builders and come across a couple that offer FREE quotes.  You send off your plans…

Read full article

Should I Delay Home Renovations Due to the COVID-19 Crisis?

Life as we know it has changed.  COVID-19 has arrived on our idyllic shores stopping us in our tracks, turning our lives upside down and putting our economy at risk of diving into a deep recession. As all the Midwesters face the potential outcomes of this viral pandemic, many homeowners may be wondering whether it’s…

Read full article

Is Your Renovation Budget Realistic?

What you need to know first If you’re dreaming of a transforming your home, the renovation costs will almost certainly be on your mind. Even the planning stage of a renovation involves some costs.  So it’s worth making sure you can afford the build, before you begin investing in things like consents and drawings. In…

Read full article

Return to the blog library here

The post Is Your Renovation Budget Realistic? appeared first on MyHome Improver.

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