Photo: shutterstock.com

Interior designer Patricia Brown has counseled hundreds of clients through renovation projects large and small. She even offers an online workshop that helps homeowners sidestep the biggest pitfalls in renovation. Here are Brown’s tips for avoiding three common budget busters.

Budget Buster 1: Contracting for a design-build package
Some contractors regularly work with a specific designer, wile others keep one or more designers on staff. But Brown says it’s best to hire these parties separately. She recommends shelling out $2,000 to $5,000 for a full-fledged design plan, one that you can shop around to several competing contractors.

The design plan should be detailed and comprehensive. ”If you hand [contractors] a plan with all the specifications—from the quality of cabinetry to lighting—when you get back qualified bids, you’ll see where there’s a difference for the same work,” says Brown. “If it’s over budget, you can see where you can save on materials. Either way, you are setting the parameters and choosing. Without that design first, you are vulnerable to the unexpected.”

Slideshow: 10 Renovation Steps You Don’t Want to Skip

Photo: dreambookdesign.com

Budget Buster 2: Choosing overrich materials
The next time you walk into your kitchen, what does your eye gravitate toward: the countertops or the backsplash? Brown would bet on the latter, since vertical surfaces tend to dominate the look of a room. She counsels clients to decide on the backsplash first, before choosing a counter material that is complementary.

High-impact, moderate-cost backsplashes include:

• White subway tile punctuated with the occasional colored art tile
• Glass tile for a modern look with low maintenance requirements
• Wood or bamboo; either can be finished so as to ensure easy care

Budget Buster 3: Procrastinating your way into expensive change orders
For incidental costs and overruns, wise remodelers pad their project budgets with an extra ten percent of the total amount allotted. Don’t waste that cricital cushion on change orders!

Brown attests that last-minute changes are the enemy of clients’ purse strings. Even a seemingly simple swap (e.g., substituting a different light fixture) can touch off a cascade of delays and adjustments.

Another downside of change orders, Brown cautions, is that they pave the way for contractors to use “equivalent materials.” If you allow a contractor that wiggle room, you will have to perform on-the-spot quality checks. After choosing materials with a designer’s aid, it is of course preferable to stick with the original plan.

3 Budget Busters and How to Sidestep Them Home Improvement, Home Remodeling & Home Repair - BobVila.com

Recognize these? Old kitchen cabinet doors are arranged to form a large screen. Photo: Flickr / hake

Home renovation is big business. And if you think renovation generates a ton of construction work, just think of the construction waste. According to the National Institute of Building Sciences’ Whole Building Design Guide, Americans throw out millions of tons of building-related waste each year. Instead of adding to your neighborhood landfill, consider reusing, repurposing, donating, or selling your renovation waste to help make a difference.

1. REPURPOSE (in unexpected and unusual ways)
Did your recent home renovation result in some leftover scrap metal or a few broken tools? Before you toss them in the trash, think about repurposing your old materials into something completely different. A welding torch, some spray paint, and a good dose of creativity can generate a unique garden ornament or dramatic piece of art and save a trip to the dump.

The Rebuilding Center in Portland, Oregon, repurposed shovels, spades, auger drill bits, and other scrap metal to make this distinctive fence. Photo: Flickr/ wanderingone

2. REUSE (in other rooms or locations)
Renovation sometimes requires removing dated yet still functional pieces like kitchen cabinets, countertops, sinks, and flooring. If a piece is in good shape, consider reusing it as-is elsewhere in your home.

Photo: Flickr / xboxmx

For example, once they’ve been cleaned and painted, some or all of your old kitchen cabinets can add storage and help organize the following areas of your home or property:

•  laundry room
•  garage
•  workshop
•  garden shed
•  barn
•  basement bar

Removed vinyl flooring may also merit a second life. If you can live with the pattern and the flooring’s still in good shape, cut it down to use in a small space, such as a powder room, mudroom, or workshop.

Tip: If you’re planning on pulling up the vinyl flooring in your kitchen, take a good look at it first. Examine places that receive little foot traffic, such as under the fridge, stove, or kitchen table. Chances are that the flooring in these areas is the least worn, and suitable to reuse elsewhere in your home.

3. DONATE (to worthwhile causes and organizations)
Secondhand, gently used, and leftover construction and renovation material may be donated to drop-off centers in most major cities and towns across the country.

Volunteers at Habitat for Humanity ReStore, Burlington County, New Jersey. Flickr / amandamarie

One of the most well-known places to donate—and purchase—building supplies is at your local ReStore. Run by the nonprofit group Habitat for Humanity, ReStore is a great way to divert your reno waste from the landfill and support homebuilding in your local area. There are currently 825 Habitat for Humanity ReStores across Canada and the United States, and many of them offer a free pickup option for homeowners and contractors with large items to donate.

4. SELL (through print classifieds or online) 
Looking to offset the cost of your remodel or renovation? Earn some cash while reducing your construction waste by selling your leftover or used building materials in your local newspaper classifieds or through an online classifieds site.

Photo: eBay.com

Items that typically sell quickly include architecturally unusual or vintage items, windows, sinks, kitchen cabinets with or without countertops, and bathroom vanities. Do a quick Internet search of your location and “free online classifieds” to find a suitable site. Remember, your remodeling trash could be just the thing another renovator is searching for!

If you’re looking for more on waste removal, consider:

How To: Dispose of Household Hazardous Waste
Quick Tip: Recycle Building Materials
Sorting Waste after Remodeling

4 Ways to Reduce Your Renovation Waste Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: jbroofingcompany.com

Re-roofing our 1908 American Foursquare-style house reminded me of a Frank Capra movie. For once, things actually went as planned.

35 years ago, I installed a new roof on a different house, a modest ranch with a low-pitched roof. But at that point, I had the support of two helpers, and the work was hard enough. Now I’m a lot older, and the Foursqure roof is steeper and higher. So doing the job myself was out of the question.

Related: Should You Replace or Repair Your Roof?

In other words, I needed to find a qualified roofing contractor. Impressed by the performance of some roofers I’d observed in my neighborhood—these guys were like a choreographed dance troupe—I searched around on the internet and before long, found the right company.

I called and talked to the owner. He said he’d get back to me with a proposal after sending his foreman over for a look. After making several additional calls, I had two other companies to consider.

Now the challenge was to choose the best one of the bunch. How did I do it? By following three golden rules of hiring contractors:

1. Look for longevity and professionalism
Surfing a contractor’s website, I like to see signs of professionalism, such as Better Business Bureau accreditation, trade magazine rankings, or industry awards. Likewise, elite or master certification from a leading manufacturer demonstrates a commitment to training. If you really want to avoid all surprises, then pay close attention to those companies whose work has been officially recognized by the institutions that matter in the construction field.

2. Get references (and check them)
Go with a well-established company that can support its claims to quality with checkable references. Online testimonials are nice, but they’re not as trustworthy as speaking directly to another human being. Positive reports on a site like Angie’s List should not be ignored; simply remember that not every contractor worth considering has been reviewed online. When possible, go out and visit roofing jobs completed by the companies on your short list.

GAF's Timberline HD Asphalt Shingles in Shakewood

3. All quotes are not created equal
A contractor must see the roof in question before he can submit a bid. Expect each candidate in the running for your business to offer insights on the work involved, including your best options and the estimated time required. Should you meet a contractor who is not willing to explain his estimate in depth, move on to the next candidate.

Here’s how the meeting went with the company that my wife and I ultimately chose to hire: The contractor showed us several samples of the shingle product we were interested in. Then he told us about his company, started by his father-in-law, and about the eight-man crew, which had been together for eight years. And he went through his typed proposal with us, line by line. The proposal included everything from ice-and-water shield to site cleanup and warranty details. I knew he was the right contractor for the job.

A week later, a crew and dumpster showed up at the house. In a few hours, the old roofing had been removed, and new plywood sheathing had gone up. By the end of that first day, in fact, half the installation was complete. Within another 24 hours, the job was completely done. And when I inspected under shrubs in the garden, I did not find a single nail.

As I looked up at the new roof, sunlight danced on the shingles, birds chirped, and the sky filled with music. Frank Capra came to mind, and I thought: It’s a Wonderful Roof!

For more on managing construction, consider:

Bob Vila Radio: Hire a Pro
What Your Contractor Won’t Tell You
Quick Tip: Hiring a General Contractor

In Quest of the Best Roofing Contractor Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: landsourcecontainers.com

Labor. Materials. Pizza?

Some costs do not fit neatly into a renovation project’s line-item budget, but if you ignore hidden costs, you will be left wondering why your wallet has sprung a leak. Prepare for these often unanticipated expenses:

1. Waste disposal. Dumping isn’t free. If you wish to have a dumpster parked on a public street, most municipalities will charge you about $50. Some local governments even require a homeowners’ insurance rider to cover dumpster-related injuries. No proof of insurance, no permit. No permit, no demolition work.

2. Child and pet care. Keep your children at a safe remove from the work zone. If necessary, hire a babysitter. Pets, too, can react badly to construction noise or to the sudden parade of unfamiliar men stomping around in steel-toe boots. Depending on the nature and duration of your project, you may choose to board your pets with a kennel (local rates vary).

Related: 7 Renovation Tips to Boost Resale Value

3. Meals of convenience. Delivery pizza and takeout Chinese food quickly lose their appeal, but if your kitchen is being renovated, your options at mealtime will be limited—and pricey. Not to mention that if you throw out all of your pantry staples that have passed their expiration date, you might spend $100 or more on restocking spices, baking supplies, and so on.

4. Landscaping. Extensive remodeling almost inevitably results in damage to landscaping: Flying shingles crush shrubs; stacks of lumber kill grass; and toxic spills destroy perennial flowers. Keep a list of the plants you must replace, so you can shop autumn sales at local nurseries.

5. Cleaning. Once work is complete, an industrial-strength deep-clean will be in order, especially if you are upgrading the home in order to sell it. According to Homeadvisor, you should expect to pay about $180 for a maid service, plus another $195 to have your carpets professionally cleaned.

For more on managing construction, consider:

Home Building Projects Estimating Checklist
2 Professionals Who Can Save You Thousands
Construction Site Living: Surviving Days (and Days) of DIY

5 Hidden Costs of Remodeling Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: Kim Piper Werker

Homeowners begin every renovation with the best of intentions. The budget is fixed, the schedule is firm, and the results—well, the results are sure to be spectacular.

Unfortunately, life gets in the way, and that week of organized chaos for which you had bargained soon becomes a month (or more) of construction site living. If your home improvement is taking longer than expected, don’t panic—plan!

Demolition is only the beginning
First things first, set aside sufficient time for deconstruction. A good way to kill your drive from the get-go is attempting too much on day one. Come up with a conservative plan, then stick to your set schedule. Remove debris as it accumulates; don’t wait until you’re knee-deep in rubble. Also, consider getting the demolition done a week prior to your official project start date. This strategy helps remodelers move through the “What did I get myself into?” phase.

Put safety (and sanity) first
Do everything possible to protect your children or pets. Unplug and store power tools, tighten the lids on paint cans, and vacuum all dust. Clean up loose nails, gather stray wires, and remove toxic liquids or putties (e.g., joint compound). Here’s a neat trick for dealing with dirty paintbrushes: Between uses, wrap them in plastic and place them in the refrigerator. They’ll be ready for action when you next need them, and your dog will stay its original color.

Photo: retrorenovation.com

Keep things moving
You may discover after a few days that your seemingly simple project is more involved than expected. At this point, it’s natural to feel overwhelmed. Resist the temptation to back away from the task altogether. Even if you can only bear to commit one or two hours per day, continue to chip away at making progress. Sooner than you think, the end will be in sight.

Encase your project in plastic
Plastic sheeting serves at least valuable roles: It prevents construction dust and debris from spreading throughout your home, and it enables you to hear when a child or animal has entered the work zone. Buy this product by the roll at your local home improvement center, and attach it to wall studs using a staple gun.

Create an oasis of calm, or escape
Give yourself a place to retreat. Maintain at least one room that is renovation-free. Here, you do not have to deal with, let alone see, the work underway. Being able to forget about the project, even for a short time, helps remodelers relax and rejuvenate. If the nature of your renovation is such that you cannot carve out a calming oasis, think about temporarily residing somewhere else—a relative’s house, a hotel, or even a rented RV.

For more on managing construction, consider:

Cookies, and Other Tips for Coping with Remodeling
Live In or Move Out: The Remodeling Dilemma
The 12-Year Kitchen

Construction Site Living: Surviving Days (and Days) of DIY Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: shutterstock.com

According to the S&P Case Shiller index, sale prices are up 8.1% for the 20 metro areas the company tracks (for the 12 months ended in January). That means it may be an advantageous time to pursue a home equity line of credit for that bigger-scale project you’ve been eyeing.

Appraisers rely on recent sales to put a value on your house, so after about a year of steady-to-increasing values, chances are that an optimistic valuation will be accepted by lenders.

Still, homeowners and lenders alike are operating with caution, says Brad Blackwell, executive vice president and portfolio business manager for Wells Fargo Home Mortgage. As in the past, two questions are of key importance today: how much can you borrow, and how should you spend your equity?

The prevailing rule of thumb is that an individual’s total home debt—original mortgage plus home equity line—should not exceed 85% of the property’s value. For a house worth $200,000 with an outstanding first mortgage of $100,000, the cap for the home equity loan will likely be $60,000.

Blackwell cautions, “don’t take out more than you can afford.” You will be paying off the equity loan with earnings, so consider current and expected financial obligations before accepting the maximum amount offered. Plot the financial parameters of the project first, then adjust its scope accordingly.

Now more than ever, traditional wisdom applies: Keep your home improvements in sync with neighborhood norms. “If you over-improve,” Blackwell says, “you won’t necessarily get it back. Typically the money you spend on home improvement will not give you a dollar-for-dollar increase. Different projects will provide different values, with kitchen and bathroom renovations and energy efficiency returning the greatest value.”

See the latest Cost vs. Value report, compiled by Remodeling magazine, for estimates on the return for various types of remodeling projects.

If you limit the amount you borrow and reign in the scope of your remodeling work, you’ll find the sweet spot where investment intersects with higher value.

For more on financing, consider:

Footing the Bills
HELOC? HEL, Yes!
FHA Financing for Renovations? Yes, But…

Measure Twice, Borrow Once: Home Equity Loan Success Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: mint.com

Unhappy with the job your contractor did? Peeved at your local hardware store’s churlish service? Annoyed with the runaround you got from a real estate agent? Just use an online review site to gain a small measure of revenge and to satisfy yourself by warning others. Right?

Wrong! Businesses are biting back—even to the point of suing—when they judge a customer’s complaints to be unwarranted. And without missing a beat, some online review sites have added a ‘reputation management’ feature enabling businesses to veto undesirable customer reviews.

If you’re browsing customer review sites for info on contractors and other home improvement professionals, here’s how to read between the lines:

• Read the oldest comments first. Are negative comments immediately followed by an onslaught of glowing recommendations? It’s possible the business owner has tried to bury the negative comment by asking friends to post a flurry of positive feedback.

• Determine how a business owner has addressed complaints in the past. Did he or she apologize, correct the issue, or post an explanation? Savvy business owners see reviews as a conversation, not a contest.

• If you regularly rely on a particular review site, take the time to understand the business model and examine how the site markets to businesses. If you find that the site caters to businesses behind the scenes while positioning itself as a consumer advocate, you’ll be able to sharpen your dung detector.

Want to be sure that your review survives to be read by others? Be accurate and specific. Detail the amount of a cost overrun, for example, or cite the number of messages you had to leave in order to get that contractor’s attention. The more concrete your examples the less likely you are to slide into slanderous territory—and the more likely it is that others will take your comments seriously.

For more on managing construction, consider:

Working with an Architect
How To: Hire a General Contractor
2 Professionals Who Can Save You Thousands

Reading Between the Lines on Customer Review Sites Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: homedesignsdecorated.com

“Satisfaction goes up when you have concrete expectations,” says CA-based contractor Dan Fritschen. The unglamorous truth is that planning ahead saves money. In order to plan effectively, Fritschen recommends that homeowners seek assistance from two types of renovation consultants. Early in your project, each of these pros will ask different, equally important questions to help you translate a design vision into a built reality.

1. Interior Designer

Photo: thservicesblog.com

Is renovating truly necessary? An interior designer can outline options that require little construction—or none whatsoever. Such designers typically charge about $50 to $80 an hour for a consultation and plan.

“Unlike contractors and real estate agents whose ‘consulting’ is a sales tool to get you to buy additional services, a designer familiar with contracting and remodeling will listen to your lifestyle goals and help you see all the options,” says Fritschen. If, for example, you’d like more entertaining space, the designer might say, “If you move your dining table over there and your sofa over here, you’ll have the space,” says Fritschen. “A contractor will never tell you that.” Designers can also recommend low-cost solutions to lighting, traffic flow, and functional problems.

Even if you decide to go ahead with a renovation, the designer’s input can help you envision the end result. In addition, the designer can assist you in determining the specifics of layout, lighting, storage and finishes.

2. Structural Engineer

Photo: resumeok.com

A structural engineer is the second professional you didn’t know you needed. In the early planning stages, he or she can plot the structural requirements of the construction options you are considering, and the associated $500 fee can steer you away from a plan that is impractical at best, impossible at worst.

Designers may or may not have the expertise to review the structural underpinnings of your project, and you cannot count on a contractor’s staff to think through those essentials, says Fritschen.

Finally, consulting with a structural engineer at the beginning can help you synchronize your renovations plans with the local building code, and having plans developed in collaboration with the engineer should speed the process of getting permits and of inspections.

For more on renovation, consider:

What Your Contractor Won’t Tell You
3 Top Apps to Help You Plan a Remodel
Bob Vila Radio: Home Improvement Planning

2 Professionals Who Can Save You Thousands Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: buyidahorealestate.com

If you are thinking that this is the year to tackle a bigger renovation project that you’ve been postponing, you’re not the only one. After several years of maintenance mode, homeowners are going to spend on actual improvements this year, predicts the Joint Center for Housing Studies at Harvard.

Leading the charge: baby boomers (of course) renovating their homes to accommodate changing needs as they age. Boomers are expected to account for over 45% of remodeling spending this year. Meanwhile, growing families with little equity are expected to expand rather than move, and three million foreclosed properties need some TLC before they can be rented or resold.

Demand is already driving up costs for materials by about 35%, according to a recent survey by the Associated General Contractors of America. Drywall, wood, and paint in particular are going to cost more. Last year, only 15% of contractors raised their rates. This year, twice as many will do so.

You can get ahead of these trends with some smart remodel planning:

• If your schedule is flexible, plan your project for fall, when the traditional home improvement season is winding down. Contractors are more likely to give you a price break when they know they won’t be busy.

• Ask contractors for breakouts for particular materials costs so you can negotiate for the best deal for both labor and materials.

• Consider sourcing materials on your own, shopping sales, and stockpiling your inventory in your garage.

• Closely examine the requirements of your project so you can extract maximum functionality for minimum cost. Consider, for example, using standard-sized windows instead of custom-built.

For more on remodeling costs, consider:

Quick Tip: “Budget-Smart” Bathroom Remodeling
Remodeling an Old House: What Should You Keep?
Shopping DIY Online

Cost and Competition: Remodeling Heats Up Home Improvement, Home Remodeling & Home Repair - BobVila.com

Photo: pwcconstruction.com

Licenses, bonding, and insurance: Every contractor is required by law to have these essential documents in order, but not all do. And the harsh reality is that, if your contractor flouts the law, it could end up costing you.

Adamina Fies, president of Synergy Design & Construction in Reston, VA, says that, as absurd as it may seem, homeowners need to triple-check that their contractors and subcontractors are complying with state and local laws. If your contractor doesn’t have the proper paperwork, then you, the client, could be pulled into lawsuits ranging from on-the-job injuries to unpaid subcontractors’ bills.

Here’s the checklist Fies uses when vetting contractors:

License to Drill. Is this license the right class for the job? Many states offer several classes of construction-related licenses, depending on the level of technical expertise claimed by the contractor and the typical cost of the projects they work on. Make sure your contractor not only has a license, but has the proper license for the scope of your project.

The Buck Stops Where? Understand who is responsible for subcontractors’ work. Check out open complaints against both the general contractor and subcontractors, typically filed with your state’s Department of Commerce.

Law and Order. Review court records to confirm that the contractor is not being sued for nonpayment. Cash-flow problems can prompt contractors to pay for last week’s work with the check that you hand over today. Unpaid subcontractors can sue, bringing your project to a standstill if the contractor doesn’t have enough cash or credibility to get the resources required to finish.

Take Inventory. As the job progresses, match invoices with the materials used and the work completed in order to be sure that you are being charged for what was bought for, and actually used for, your project.

Finally, be sure to check with your insurer to ascertain precisely what construction liabilities are covered by your homeowners’ policy. If needed, take out a temporary rider to cover worst-case scenarios.

For more on contractors, consider:

Contractors, Contracts, and Costs
How To: Hire a General Contractor
What to Look For in a General Contractor

What Your Contractor Won’t Tell You Home Improvement, Home Remodeling & Home Repair - BobVila.com