The Fiscal Fitness Podcast

Episode 101:

Financially preparing for home projects and renovations

Host name: Jill Emanuel

Listen to the episode and read the companion blog post here.

Download the PDF version of the transcript here.

Hello, Fiscal Fitness family. How are you guys? This is coach Jill, lead financial coach with Fiscal Fitness Phoenix. Welcome guys. How are you all? I am going to hop on here and I want to talk a little bit about home renovations and home improvement projects. I actually just got off of a call with Tiffany. Who’s a member of our group. So hi, Tiffany, if you’re here. We just got done with the call. She was interviewing me for an article for the Penny Hoarder, and they’re putting together this great article to help people who are thinking about home projects and home renovations. And I think this is something that a lot of people are thinking about right now. I know for sure that in our house, this has definitely been the year of home projects. And so I thought I would share some of the things that we talked about during the interview with all of you, because I do think this is really good, important information. Good things for you guys to consider. If you’re thinking about doing a home project, maybe even if it’s not right now, but somewhere down the line that you can kind of keep some of these things in mind to help you with making really great financial decisions while you are going into this process. So the first thing that I wanted to talk about is, you know, how can you assess whether or not a home improvement project is really worth the investment? So,

Doing something in your home, a lot of times we do it because we see something somewhere else that looks really beautiful. And we want to have the same thing, or because we’ve been sitting in our own home, staring at these walls now for five months of quarantine. And we’re just starting to notice all of the things that we don’t really love. And so we’re feeling very emotionally pulled to make some renovations. There’s also, of course, those sort of like emergent or immediate sort of renovations or home projects that you kind of have to do. So if your air conditioning goes out, for instance, which I’m going to use as an example, because we recently replaced both of our air conditioning units and got all new ducting. And it was one of those things where it wasn’t emerging yet, but we had had several people come out to do inspections and things were not looking good.

It wasn’t looking like our units were going to survive the summer. It was something that had been a burden on our for several years now, where we were like waiting to see if they were going to survive the hot Arizona summers. And so that is definitely something that also can come up where you have this emergent need to repair something. And so we want to talk about some of the financial implications with that as well. So when you’re looking at doing a home improvement project, I think there’s a few things to consider is that one, are you going into this decision thinking I’m making this improvement, but I’m doing so with this idea that by investing this money in my house, my home will now be worth that much more. So if I’m selling the home, I’m going to get my money back, right? That’s the ROI, the return on investment that we sometimes try to rationalize or try to determine, is this a good investment in my home?

Or is it not? The other side of the coin is just thinking about like, what is my happiness factor in my home? Am I living in a place that I don’t feel happier? It doesn’t feel like my own home or there’s things that make me feel really down because it’s like all worn out and credit and I want to upgrade that. So there’s definitely the emotional side. And then also the financial side of making decisions when it comes to home repairs or home improvements. Now an investment in your home may not always have a return on investment. So for example, if you have a home that just the flow of the house maybe is not what you want. So you’re considering removing a wall, right? I have a client right now that that is one of the things that they are considering is that they’re saying the flow, isn’t really great.

We’re working from home. Now we need more space. And so the consideration is removing a wall, opening things up a little bit to give them like more usable space and area, or do we move to another home that can kind of accommodate this new working from home since it looks like it’s going to be a longterm sort of thing. Now between those two, removing the wall likely is not going to significantly increase the value of the home. It may not increase the value of the home whatsoever. It’s just nicer. Maybe, I don’t know, maybe it’ll sell easier someday, but it’s certainly much more affordable than buying a whole new house. So there’s definitely those things to consider also is like, you might not get the ROI on it, but financially it’s certainly more savvy to remove a wall than to move into an entirely new house just to achieve the exact same thing.

Right? So you want to definitely think about some of those things. Now I did reach out to a couple of friends of mine who are realtors. So Micah and Erica they’re in this group also in here in the Phoenix Valley, amazing for anyone who is looking to move, I highly recommend them. But I asked them, you know, since they see a lot of people who are moving or those who are doing maybe some renovations or repairs before they get ready to sell their house, or the things that they’re thinking about doing when they’re buying a new house, like what are the things that actually have some ROI and what things do not at all, but people sometimes do because they think that it does. And here’s some of the insights that they gave me, which I thought were really great.

So I wanted to share with you, so one of the things that they said that likely has very little return on investment are energy efficient improvements.

So if you’re thinking of putting some sort of investment into the house and believing that it’s going to increase your home value, it likely will not increase it very much. And that is things like putting in new windows, adding insulation, those energy efficient improvements. Now, will they save you money on your electric bill every single month or make your home feel more comfortable and more livable? Absolutely. So I think the question when it comes to doing those sorts of repairs, oftentimes is linked to how long do you believe that you’re going to stay in this home? Because your return on investment is purely going to be from a comfort standpoint and from seeing over a long course of time that your electric bill goes down a little bit, but you likely aren’t going to get, you know, the $20,000 that you put into windows added onto the price of your home. If you’re going to sell it two years later. So that’s definitely one thing to consider.

And then conversely, there are some home improvements that really do have a direct impact on the value of your home. And so these are some of the things that they had kind of mentioned looking into. So one is things like landscaping. So putting in some landscaping, to some extent, there’s a point at which it’s not going to greatly improve the value of the home, but some making, you know, better curb appeal, get adding a patio, making the home more presentable and more usable that sort of landscaping can improve the value of the home. Also doing some renovations to kitchens and bathrooms can also improve the value of the home. And they did give me the insight, which I’ve also heard this before that they improve the value of the home, but only to some extent.

So they also cautioned don’t overdo it here, which means there are so many possibilities when you’re looking at doing renovations on a kitchen or bathroom, you can get all the bells and whistles all of the upgrades, but there is a point at which when you’re investing into that project, you’re not going to always get 100% return on investment. If you put too much into it, if you make your home too, too nice, and it’s way nicer than any other homes in the neighborhood that will be comps that they’re comparing on, you will never get that value back when you try to sell the home. So if you’re doing those really high end, very nice upgrades, know that you’re doing it for your yourself and for your own enjoyment and fulfillment, but not necessarily because you’re going to get a return on it.

When you go to sell the home somewhere down the road, and maybe you’re thinking I’m never going to sell the home.

This is my forever home. I’m going to live here the rest of my life. I want it to be everything that I want it to be, if that is the case, go for it. But if it’s, we’re going to be here for three more years and we’re thinking we want a nicer kitchen. So we’re going to make this investment to do this renovation thinking well, in three years, we’re going to get the money back when we sell the house anyway, that may or may not be true. So just have that sort of awareness. Okay. One of the other things that they said, or a few of the other things they said can really improve the ROI or improve the value of the home is flooring. So putting in some new flooring, nice, nice looking tiles, more modern. If you’ve got something that’s older, replacing carpet, if you’re in a place that has old carpet putting in new AC units, which is the one that we did here that’s a big one, because it is hot.

And our AC units get burnt up. And so new air conditioning units make your home worth more. And then also things like painting your home, just giving it a fresh uplift, painting the kitchen cabinets, or painting the exterior of the home so that it looks nice and fresh. That actually can improve the value of your home, improve how much you can get for it if you are going to be selling it. So those are things to consider. One of the other things that Erica and Micah gave me a note on it. They said that if you’re putting in a pool, you’re likely never going to get the return on investment when you go to sell it down the road. So if you really want to pool buy the home that already has a pool in, even if it needs to be refinished or needs to have some work done, it’s much less expensive than digging that big hole, the $30000 or $40,000 investment that goes into adding the pool where they said imp appraisers will oftentimes only give you maybe about $10,000 extra in home value for a home that has a pool, whereas you might have to pay $40,000 or more to put the pool in yourself.

So these are a few things to consider. If you’re thinking about doing some sort of home renovation to really consider like where that decision is coming from, is it a decision that you’re making with the caveat of, well, we can do it now and we’re going to get our money back later and really knowing, is that true? Or is that not true? Or if you’re purely making this decision saying this is the home that we’re planning to stay in, we’re not planning to leave anytime soon, we’re making it our own. We’re making it everything we want it to be. And it’s totally okay if someday when we go to sell it, we may not get 100% of that money back, but we enjoyed it over the course of the years that we lived here. And so it felt worthwhile. So definitely some things for you guys to consider.

So if you’re doing a home project, the next thing that comes up is thinking about how the heck are you going to pay for it, right? Like how do you pay for home renovations? What are all of the possibilities? There’s a lot of different options out there. And this is where people can either get stumped and decide not to move forward with the project whatsoever because they aren’t sure what they are willing to take on or how much they can take on what the smartest way to do that is. Or they plunge forward, make a decision without really knowing what all of the options are and then wind up regretting it down the road, possibly because they made a decision that was not the best or most financially savvy decision that they could’ve made for that project. So let’s talk about some of these different options.

Okay. So when deciding how to pay for a project, obviously paying cash is probably the best case scenario. It’s the easiest, most clear cut. If you have the cash on hand or if it’s something that you can save up for, I highly recommend it. We really coach clients, this idea of having multiple different savings accounts, that every month you contribute money into to save for upcoming expenses, things that may happen eventually, but you don’t even know for sure exactly what they’re going to be or exactly how much they’re going to be. And home improvements or home renovations is absolutely one of those things. It is something that most homeowners are going to come across at some point that they’re going to want to improve something, changed something about their home. And so putting some money aside every single month into a savings account that is specifically dedicated to saving for home improvements is such an amazing thing to do such a game changer.

It helps you feel very empowered when these opportunities come up. You don’t have to think twice when it’s time to put in a new faucet or go paint the room. You’ve got some money already stashed aside for some of those smaller projects, for sure. And if you’re planning well in advance, you can save for some of the larger things too. But of course, some home renovation projects feel way, way, way too big to save all of the cash or to wait that long. Especially if it’s something that’s emergent, like your air conditioner just went out in the middle of the Arizona summer and it’s 115 degrees out. Like you don’t have a year or two years to save money in order to pay cash. So you need to be able to evaluate what some of those options for financing.

Now, anytime that I’m working with a client and we’re talking about a home renovation project or a home improvement project, you know, one of the first things that we always recommend to people is that we need to have a very clear budget.

And I mean this in two different ways, okay, it’s twofold. One, you need to have a budget for the project that you’re going to take on. So if you’re putting in new air conditioners, how much are you going to pay for it? What is the maximum amount that you’re willing to take out in financing? And you really need to be very strict with sticking to that budget. The other side of it is that before you can even start really weighing these different options for financing, you need to be able to clearly see what’s happening with all of your money and have all of your money on a budget. So it’s the first step is gaining that clarity, really knowing where your money’s going. This is something that oftentimes people will have a very clear idea of what all of their fixed bills are. So the things that happen every single month, like clockwork, they know what their mortgages, they know what their car payment is.

They know what their utility bills are. They oftentimes have a rough idea of how much is going towards gas food. And they might even include that in their budget. But I see so often that people forget to include all of the variable or random expense when thinking about a budget. This is one thing that we tackle right away. Anytime we’re working with a new client is that we want to get really, really clear on all of those upcoming possible expenses, things that are likely to happen in life, that we need to have money available for. So things like clothing or travel or gifts, car repairs, home repairs, maintenance, registration, insurance, all of these things that don’t necessarily happen every single month, but they are a very real part of life. They’re going to happen. At some point, we want to be prepared for those things and include that in your budget before you make a decision to take on some sort of financing or debt to get a home improvement project going.

So just know that that is the very first thing that you want to do is really get super clear on that before you start looking at, Oh, sure. I can take on a loan for X amount. My payment will be X and it looks like it’s something you can afford, but you didn’t take into account all of those other areas of life. And so suddenly you’re feeling really stressed and really strapped when it’s time to buy back to school clothes for the kids, because you didn’t save any money. You don’t have any wiggle room in order to pay for those things along the way. So definitely one of the very first things you want to do now, once you’ve got your budget very clearly laid out, you know, how much money is available, it makes it really clear also for you to start looking to see how much extra money is available.

If I were to save that towards the home improvement project that I wanted, how long would it really take for me to save this full amount to pay cash? Maybe it would only take one or two months and you can just put a few hundred dollars away each month. And in a couple of months you can go and pay cash for a project to get it done. Or it may be a bigger project that you’re thinking, gosh, it’s going to take me nine months or it’s going to take me two years, or it’s going to take me 10 years to save this amount of money. And so you need to look at alternate options. Okay? We have this exact experience because in may we replaced both of our air conditioning units. We replaced all of the ducting in the attic put in new air returns.

We had really, really old units. They were 20 plus years old. The ducting in the attic was falling apart. We had multiple inspections that said, like there were open ended ducting. We were blowing air conditioning, just out into the middle of the attic, not actually into the house, no wonder we could never get it below, like 84 degrees in the middle of the summer here. And our air conditioning bills were through the roof. And so we knew this was going to be a really big project. And we really wanted to research all of the different options before we made a decision. So one thing that we considered was okay, well, what would it look like if we just tried to save this amount of money and pay everything in cash? Right? So we could put money into that home repair, home renovation fund and save the money, right.

In order to pay cash. And we kind of looked at that and thought, okay, we probably could do it, but it might be nine months or a year down the road. And from the reports that we were getting back from people that had come to inspect, we had multiple people come out. They were saying, it doesn’t really look good that these are going to survive the summer. So the other option that we thought was well, okay. So what if we pulled some money from our savings? And this is definitely one that a lot of people will look at is like, well, I’ve got my emergency savings over here and I could dip into this and pull money out. And I really think this is one that you want to be very cautious about. You don’t want to deplete all of your savings and be left with nothing. If a true emergency does arise. And that was really where we felt this wasn’t going to be a good option for us because we didn’t want to deplete our emergency savings and not leave us with a lot of cash on hand. If we were to use it and pay cash in full.

The next thing that we thought about was, well, there’s definitely a lot of different financing options. So let’s start researching what those would look like. We could take out a personal loan. We could take out a home equity line of credit. We could do a home equity loan. We could look at financing offered by the, that was doing the job. And so we started to evaluate what all of those different options looked like. A personal loan home equity line of credit and a home equity loan all have interest rates. So we would have to be paying interest on the money that we took out to get the project done.

The contractor that we were working with had a partnership with Wells Fargo for an 18 month, 0% offer to finance. And we knew for sure that we would absolutely have the cash to be able to probably pay it off in full in nine months, maybe 12. So an 18 offer felt really safe to us. Like even if something came up, even if there was a hiccup in the road that was easily six months more than what we really needed to get everything paid for. And so we felt really confident saying, yes, this is a good option for us. It’s a way to get it done without depleting all of our savings without having to pay any money in interest. And we would have plenty of time to get this paid off longer than what we even planned and to use. So that’s ultimately what we wound up doing.

Now for us, that wound up being a really good job, but I do want to say that this is something to really enter into with caution. If you do not have a clear budget already laid out, know exactly how much extra money you have every month that you can truly pay towards a 0% offer like this. It can be a bit of a slippery slope.

So let me explain what this looks like with 0% offers like this. So if you go to home Depot maybe, and there’s an 18 month, 0% interest offer, or you’re buying furniture at a furniture store, and it’s a 0% offer for X amount of months or you’re financing through a contractor like what we did, and they’re doing 0% at 18 months, it’s wonderful that you’re not having to pay any interest during that offer period. But what they oftentimes don’t clearly communicate to you is that the interest is still accruing.

It’s just deferred interest, which means that at the end of that term, if everything is not paid off, let’s say that we financed our air conditioning unit. We were making all of the payments and somehow we forgot, or there was like a dollar left, let’s say on this balance, if that dollar is left on the balance at the end end of those 18 months, and it falls into the next day, all of the interest of that entire timeframe is now going to be tacked onto the bill. So this can add up really quickly because the interest rate is actually incredibly high on these 0% offers just, you’re not paying it during that offer period, but the interest is still accruing. It’s deferred. If there’s a balance left, it gets added on.

So for us, for example, just so you have an of what this looks like. We got our air conditioning done in may. It’s been five months, four and a half months. Something like that. Our latest statement, I took a look at it just to see like how much interest has accrued in this timeframe. And we’re paying it down very aggressively, mind you. So we are paying way more than the minimum payment to get it paid off very aggressively. And even in that four and a half month timeframe, $1,500 worth of interest has already accrued. Now think if we were to actually take a full 18 months to get it paid off, or if we still had a bit of a balance left that went into month 19 a month 20, we would likely have well over $3,000 worth of deferred interest that would get tacked onto the back end of that loan or that credit card, that line of credit.

And this is really where people get into big trouble sometimes is that they take out these 0% offers to do a home renovation project, to buy furniture, to get new appliances. And they think, Oh great. There’s no interest. That’s a Korean for these 18 months. And I think that we can get it all paid off, but even if we don’t, it’s okay, like we’ll only have a few more months to go. And they don’t fully realize that all of that back interest is going to wind up on it, or maybe they do realize that. And they go into this with the best of intentions, really thinking, yeah, we can totally get it paid off. I think it looks like we’ve got enough money to be able to do that, but they didn’t have their budget really super dialed in. And they didn’t know 100% that worst case scenario, they had cash on hand.

They could pay it off if they really needed to. So they’re counting on using that entire 18 months and they’re counting on everything going in their favor for 18 months in order to get it paid off. And then something happens. Life happens, someone loses a job, maybe their car breaks down and they have to buy a new car. And now they’ve got a car payment, so they can’t pay as much on this 0% offer. There’s so many different things that can come up along the way. And this is really where it can get people in trouble if they wind up still holding onto that 0% offer, but going over the term that was agreed upon. And now all of the back deferred interest is applied and that really high interest rate kicks in. And so it starts to add up really, really quickly.

So just know that if this is one thing that you’re considering, you want to really be careful with this, you want to very clearly see what your financial scenario looks like. And if it’s something you truly can get paid off in that timeframe, and that you’re not just hoping that you can or being overly optimistic about because it could wind up being bad news. You know, in that case looking at the amount of interest that’s already accrued on ours, if it were to be applied, we would have been way better off doing a home equity line of credit, a personal loan, a home equity loan. If it was going to take us longer than 18 months, we will definitely be able to get ours paid off within the next six months. So we’re fine with that, but just know that that is absolutely something that can happen. So you want to be wary of that and just go into it with your eyes wide open.

One of the other things that we discussed during the interview today was how much savings should you use or when should you finance? And this is definitely a very individual sort of question. Yeah. I will say that a lot of things, times when we have clients initially coming into us, they might have money in savings, but it’s all lumped into one savings account. So they just say like, that’s my savings, but it has no real specifics purpose. And I think it’s really important for people to have an emergency savings, but then also have savings for all of those random and upcoming miscellaneous expenses in life. Now you can do that multiple different ways. We actually recommend breaking them out into multiple different accounts that you label with the exact names, you know, what you have your money,there for. So you could have your emergency savings and that money doesn’t get touched. It is truly there for an emergency. Putting in new countertops, backsplash is not an emergency. So hold onto that money.

It’s for, if you lose a job, if you have no income, that’s what that emergency money is there for. And then if you have other money going towards a home improvement or home repair project that can be going into that savings specifically for that purpose. And it’s much more clear, much easier to see exactly how much money is available to put towards the home project. So really you want to make sure you get super clear on what that emergency savings looks like, make sure that you have it funded in a way that feels really comfortable to you, that you feel very secure, that if you lost your job for three months, you would definitely be okay still. So if you haven’t yet reached that you probably don’t want to deplete savings in order to do a home project.

One of the other things that we discussed today is what is, you know, the difference between a HELOC and a home equity loan. And when would you use one versus the other, these two things? I think oftentimes the wording gets interchanged or people don’t necessarily know exactly what the differences are between the two of them. These are both lines of credit or loans that are attached to your home. So this is kind of like taking out another mortgage. In fact, a home equity loan is oftentimes called a second mortgage. So it’s usually a smaller amount than what your regular initial mortgage is, but it is on the equity that you have in the home. And it’s another loan that the bank gives you to take out against that equity. The, HELOC is a “home equity line of credit”.

A line of credit is more like a credit card almost as compared to a loan. So it has a limit on it. And you can take out as much money up to that limit. And it’s very fluid. So you could take out $500 and then pay it down. You can take out $5,000 and then pay it down. You could take out the full amount that you’re approved for which maybe is 30,000 or $50,000. So at any time you can access that line of credit to pull the money out. But now it’s money that you owe back that is against the equity of your home. Okay.

The things to consider with this, you know, they kind of work in two different ways. And so the HELOC, since it is a line of credit, it’s kind of like having a credit card. You could have a HELOC and never have a balance on it at all. Just like you could have a credit card and never have a balance on it at all. It’s just sitting there waiting for you to use it.

Oftentimes with a home equity line of credit, the payment amount looks very good to people who are considering using this because a lot of times you only have to pay interest. So any balance that’s on there, you’re paying interest only. And so the payment feels very, very affordable. You might have $20,000 on it, but your payment is $200 a month or something like that. Let’s just say so very low, very affordable it’s seems like, Oh, this is a great way for me to get this project done because I can get it all done right now. My payment’s going to be super low. The problem with that is that you’re paying the interest only. So the balance is never going down. The balance stays there, large, never moving. You feel like you’re never getting out from under it. It’s never going away. It can feel really, really frustrating.

And also It can actually have a negative impact on your credit score. Also, if there is a large home equity line of credit out there, and it is close to the maximum amount, it’s the same as if you had a maxed out credit card, it actually can damage your credit score, draw those points down. So when you try to maybe go and refinance your house, you’re not going to get as good of an interest rate potentially because this has damaged your credit score somewhat by having it maxed.

It can be useful for people who have, you know, that they know that they can pay it off quickly. They’ve got a good cash surplus. They just don’t know all of the timing of when they’re going to need to access money. And they’re doing a really big project with a lot of moving pieces where they may have to pay contractors over a long period of time. So they’re accessing $10,000 here, $20,000 there, but they know that they can get paid off because they can absolutely pay more than that minimum payment or the interest only. It can be useful for that because they’re not having to pull out the entire lump sum all at once and start paying interest on the entire lump sum. All at once, they could pull out $10,000 and the interest will only be on that $10,000 while they might work on paying it down a little bit before they have to access it for more.

So just know that that is one of the benefits of having the home equity line as compared to the home equity loan, where it is truly a loan, just like your mortgage, just like a personal loan, just like a car loan. It’s a set amount of money that you take out. You have agreed upon terms. So the interest rate is set. It’s consistent. It has a consistent payment amount over a set amount of years or months that you’re paying this down. And so it’s very reliable, but oftentimes the payment is going to be higher than what it would be with the HELOC because you aren’t just paying the interest. You’re really paying something on the principle and seeing that balance go down month after month after month. Whereas with the HELOC, you may not see it go down at all, especially if you can’t pay more than what that interest rate is.

So just a few things for you to consider that the home equity loan could be really good. If you know that you’re doing a renovation and you need all of the money right away, you know what the amount is, you know, that you can afford that payment. You’ve got your budget figured out you can access that full loan amount, get everything paid for, and then start making those payments towards the loan. So just a few things for you to think about with that.

Anytime that you’re looking at alternate financing, like I mentioned already with those 0% offers through the contractor or through the store, definitely just make sure that you understand the terms that you really are not entering it with a like Rose colored glasses view of everything’s going to work out in my favor and it’s all going to be great.

And I’m pretty sure I can afford this. You really want to know for sure that it’s going to work for your budget and that you can confidently get everything paid off before any back interest will be applied to it. Make sure you get any terms in writing. If you’re talking to a contractor, who’s saying, Oh yeah, we can finance it. And we’re going to give you repayment terms. You want to know for sure what is their expectation and have it in writing. Some of them are going to want half of the payment in full cash right away. And then they’ll do some sort of payment term for X amount of months, but they may also have deferred interest that will be applied at the end. So you just want to make sure that you’re getting all of that information that you know, upfront very clearly what you’re getting into before you move ahead.

The last thing that I want want to touch on is just, you know, recommendations for you. You are thinking about a home improvement project or a home renovation. You really want to do this in a few different stages. So the first stage is simply the research phase. This is where you are really weighing all of your options, where you’re talking to different people. You might be, you know, asking friends or family or neighbors who have done similar sorts of renovations, what it is that they did, what their process looked like. What is normal, if you haven’t done these sorts of things before you just want to kind of tap into your network, to see what they say, maybe find a book or a blog post or something that you can read and research, look for inspiration, try to get as much information as you can before you make a huge financial decision like this.

I also really recommend getting at least three quotes. This is kind of my like minimum rule when we’re doing a big home improvement project or home renovation is that we’re always going to get at least three quotes because the quotes really, truly can vary all over the place. And not that you always are searching for the lowest price, because sometimes that’s just not going to offer everything that you need, but you want to make sure that you’re getting the best price for the quality that you want for the job that you want to be completed.

In my example, that I gave earlier about how we got our air conditioning done, I think we wound up getting five quotes. We got three quotes. Initially we weighed all of them. The ranges on them, you guys were drastic. I think the low end was $14,000 and the high end was almost $30,000.

So almost double the cost between these three quotes that we got. And there were pieces of each quote that we liked, but none of them could do everything that we wanted to be done. And so we said, okay, we’re going back to the drawing board. We’re going to get another quote and another quote. We’re going to find the person, the company that can get us what we want, put it in the way that we want, finance it the way that we want. Like it had to meet all of these criteria that we had clarified during that research stage of this decision making process. So once you’ve gotten your three quotes, as long as one of them looks great to you, move ahead. It doesn’t keep getting some quotes. Do your research be patient? It can definitely save you a lot in the long run. So we, you know, absolutely saved a ton of money over $10,000 by doing our research and finding the person and the company that really met all of our needs. And we had to be patient and do that research for about a month. So I really recommend that you do that. So get the different quotes, research, multiple different offers and options, and just really weigh out what all of those different options look like for you.

So the last thing is, if you are thinking about doing a project like this, and you just feel overwhelmed by it, you feel like uneasy, not really knowing what the right choice is for you. If you can really afford it, if you can’t, what sort of the timeframe would look like for you? I recommend talking to a financial coach. It doesn’t have to be me, but that is exactly what financial coaches are there for is to really help you evaluate your different options. To ask you the questions that you may not yet have thought of yourself to get you into that research mode, to help you with the decision making process and to allow you to evaluate all of the options that you have to find the very best one that’s going to work for you and your particular scenario.

So just know that that is absolutely something that we help our clients with. I have several people right now that I’m actually working with that are doing big home renovations, big projects, and it is something where we’ve had to do a lot of research. We’ve had to weigh a lot of options to find the very best scenario, to make sure that they can afford it in a way that’s going to be financially savvy for them to not put them in the holes and not hold them back and get them exactly what they want in their homes.

So I hope that this was helpful for you. If you are someone that’s thinking about doing a home project or home renovation, definitely drop a comment. Let me know what your thoughts are. If you are also weighing different options, or if you’ve recently done a home renovation, what is it that you did and how did it turn out for you? I would love to hear and until next time you guys take care. Bye bye.


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