Helpful Links
Cost vs. Value Reports
Realtor Report
Remodeling Magazine Regional Report
Articles:
Cost vs. Value Reports
Realtor Report
Remodeling Magazine Regional Report
Articles:
Hiring A Contractor
Choosing the right contractor is the most important decision you will make in your project. Here is how Consumer Reports recommends you choose a contractor:
- Plan for success. Get three bids to gauge the going rate for work. But don't jump at the lowest bid; our surveys have shown that people who hired the lowest bidder generally got poorer work.
- Get an estimate. It should list product, material, and labor costs and a timetable. Material and product allowances should give prices and quantities. Compare services and prices before making a final decision.
- Choose pros you know. Our surveys have indicated that people who hire contractors they had worked with before were happier and had fewer time and cost overruns than those who hired someone new. While readers who hired pros recommended by a friend or neighbor were more satisfied than those who hired strangers, they faced as many delays and extra costs.
- Get references from recent and older jobs. Reputable contractors will be happy to provide names and contact information for satisfied customers. Then check the work to see how it’s holding up.
- Look for proper licensing and insurance. Make sure the contractor is licensed to do business in your state and that he has proper general liability and workers-compensation insurance. Check with your local government for permit requirements and confirm with the contractor who is responsible for paying for permits. Also visit the Contractor's License Reference Site to learn about licensing requirements in your state and to find out if a contractor is licensed.
- Check the Better Business Bureau for filed complaints. Also contact your state's attorney general's office. Look for contact information in your state here. (Should you encounter a problem or fraud later on, report problems or fraud to your state attorney general.)
- Obtain a contract. A written contract will specify what will be done to complete the job, associated costs, and the payment schedule. Never sign a blank contract or one with blank spaces.
- Stick with the plans. Making changes to plans after work begins could lead to cost overruns and delays.
- Pay by check. Write out the check to the contracting company rather than to an individual. A reasonable down payment is 30 percent of the total project cost to be paid upon initial delivery of materials.
- Make final payments only when the work is completed to your satisfaction. A reputable contractor will not threaten you or pressure you to sign documents if the job is not finished properly. --Stephen H. Saltzman
10 Tips to Hold Down Costs
Smart decisions—and a little sweat equity—
will bring your project in at a cost you can afford.
Smart decisions—and a little sweat equity—
will bring your project in at a cost you can afford.
Long before the sawdust flies, most remodeling projects face a make-or-break point as the cost estimates are tallied. For many homeowners, the sticker shock forces abandonment or serious reappraisal of the long awaited renovation. “Most people have no idea how much remodeling will cost. They get a really false idea of the cost from all the one-hour TV shows, where they remodel a room for $1000,” says Joan E. Stephens, a Certified Remodeler (CR) and president of Stronghold Remodeling, Inc., in Boise, Idaho. To get the most for your remodeling dollar, follow these cost-cutting strategies.
- Bring in the pros. Architects and designers can add to the up-front cost of your project but can save you money in the long run. They can help you avoid design pitfalls that drive up costs, and can point out ways to save money and make your project run more smoothly.
- Plan ahead. Give yourself plenty of time to solicit and review bids from contractors, and don’t select a contractor based solely on availability. Choose your design and materials carefully to avoid costly change orders that can derail your budget in the midst of construction. “Don’t rush into it. Be prepared to spend the quality time you need in making the decisions ahead of time,” says Mark Brick, CR, president of B&E General Contractors, Inc., in Glendale , Wisconsin.
- Have firm goals, and stick to them. You’ll be making dozens of decisions as you embark on your project, so be disciplined. “People need to go with what they really need to accomplish, and then look at the options for adding things,” says Brick, who also serves as chairman of the National Association of the Remodeling Industry. “There are a lot of options out there, particularly in the kitchen and bathroom,” says Stephens, who is president if the group. “Costs spiral as you bring in different things.”
- Keep it simple. Varied rooflines, curved walls, arches, and bump-outs all require more time and expertise than straight lines. Any contractor will tell you that a simple rectangle is the most efficient and affordable project. Try not to disrupt load-bearing walls in your home, and work with existing plumbing and electrical lines if possible. The cost of a kitchen overhaul can rise dramatically when you shift locations of the sink, dishwasher, and gas appliances, then open up the room to the adjacent living space.
- Pitch in. You can remove old cabinets, fixtures and other items that will be replaced during the project. The same goes for drywall, plaster, and trim. Once the major remodeling is done, you can step back in for some of the finish work—painting, wallpapering, installing faucets and lights, etc. More and more products, such as laminate flooring, are coming in do-it-yourself applications that most homeowners can master. Just remember: Don’t take on more than you’re capable of handling. “You can either create your own problems or be helpful,” Brick says. “Ask yourself: ‘Do I have the time to do it efficiently and keep things on schedule? Will it come back to haunt me later?’”
- Don’t lose focus. If you’re remodeling your kitchen, that’s where your remodeling dollars should go. “One of the issues that people face is ‘budget creep.’ For example, if you paint one room, it makes everything else look dingy,” Stephens says. “People assume that since we’re out there, it surely couldn’t cost very much to do some extra work. They get their final bill, and they say, ‘Oh my gosh.’”
- Stick with what’s in stock. Custom cabinetry, windows, and other products will drive costs up. Look for quality standard and semicustom goods, which are usually available in an array of styles and price levels. Add your own trim or other embellishments for a custom look. Try to limit the custom and detail work that is done on-site by professionals. Choosing prefabricated items, such as fireplace units and shower and tub enclosures, saves time and labor costs.
- Look for deals. Don’t insist on hot new products and other items that might be in short supply and commanding premium prices. Shop your local home center for clearance items, end-of-season sales, discontinued products, floor models, and scratch-and-dent items.
- Make smart trade-offs. When forced to make difficult choices to keep your budget in line, sacrifice features that can be easily added or replaced late without major retrofitting. Choose less-expensive lights, faucets, window treatments, and door and cabinet hardware, and put your money into cabinets, countertops, and other labor-intensive items.
- Be the boss. If you have the time and expertise, consider being your own general contractor. You could save up to 10 percent of the total cost. Beware: This isn’t for the inexperienced or faint of heart. –Remodeling Ideas June/July 2004
Save Energy Now, Maximize Your Window of Opportunity
Better Homes And Gardens, April,2010
Better Homes And Gardens, April,2010
Tax credits and new products make this a great time for improving your home's energy efficiency. Here are five things you should know about upgrading for energy savings.
1. The government will help you pay for specific energy upgrades--but only until the end of this year.
Through 2010, you can claim a federal tax credit of 30 percent of the cost--up to $1,500--for new qualified windows, doors, roofs, insulation, water heaters, and heating and cooling systems. So, if you spend $5,000 (whether on one qualified product or total on several projects), you can claim the full amount of the $1,500 credit on you 2010 income tax form. (Tax credits for alternative equipment, such as solar panels, solar water heaters, and geothermal heat pumps, are available through 2016 and have no cap.)
Here are some tax-break scenarios.
- INSULATION: Covering 1,000 square feet of attic space with R-19 fiberglass batt at 46 cents per square foot would cost $460; your tax credit would be $138.
- GAS, OIL, OR PROPANE WATER HEATER: The tax credit covers both product and installation. If you pay $900 total, 30 percent of that is $270.
- GAS, OIL,OR PROPANE FURNACE OR BOILER: You'll likely spend more than $5,000 to replace your old furnace or boiler. You can include installation when figuring the tax credit, so you could receive the total $1,500 credit on this project alone.
- WINDOWS: If each window costs $375, you could buy 14 windows to get back the maximum $1,500. Note: The tax credit doesn't cover installation.
2. Start with a complete picture of the energy your home is using.
Your best whole-house solution is an energy audit--an evalution of your home's current energy performance and list of recommendations for improving it. Think of it this way: If you've got more than the sniffles, you go to the doctor for a diagnosis. The pain of your illness pushes you to get help. It's the same way with your house. When the pain of paying high utility bills and living in drafty room hurts enough, it's time for a diagnosis and prescription.
A professional energy auditor (also known as a home energy rater) will evaluate the ductwork, insulation levels, and other aspects that affect home performance. The report not only pin points the source of the "pain" but also prioritizes recommended home energy upgrades to maximize the return on investment.
"We take a holistic approach to a house, looking not only at the individual components, but whether together they perform as they should," says Mark Cannella, principal partner of Pro Energy Consultants, a nationally franchised home energy auditing company (proenergyconsultants.com).
Some professional energy audits are simple visual inspections that identify costs and savings for upgrades appropriate for your home, and may be offered at a low cost by your local utility company or state energy office.
A comprehensive energy audit, which can cost about $500, includes the use of diagnostic tools. A blowere door tests a home's airtightness, for example, and an infrared camera detects insulation gaps and other inefficiencies. To find an energy auditor in your area, start with Energy Star (energystar.gov; click on Home Performance with Energy Star) or Building Performance Institute Inc. (bpi.org; click on Find a BPI Resource).
The most complete information will come from a pro, but you can also do your own evaluations. A basic home energy review uses an Internet-based tool or software program; your input produces generalized results that give some sense of your upgrade options. These organizations offer free surveys: Energy Star (energystar.gov/yardstick), Department of Energy (http://hes.lbl.gov; start by entering your zip code), and Alliance to Save Energy (ase.org; search for"home energy checkup"). You can also do your own walk-through to locate air leaks, evaluate heat loss through ceilings and walls, inspect heating and cooling equipment, and measure energy use. See energysavers.gov; click on "how to conduct your own audit."
3. Payback isn't the only indicator or whether you should upgrade.
Be realistic about the money you'll get back by making an energy upgrade. Though you're eligible for a tax credit by replacing your current windows or furnace, for example, the credit likely won't be enough of an incentive on its own. You may not recoup all your costs in energy savings either. However, investing in good-quality, energy-smart products offers other benefits, with personal comfort topping the list. And if you were already considering a replacement product, the tax credit may provide an opportunity you don't want to pass up.
4. The most effective upgrades aren't always obvious.
Kevin Waldron couldn't keep his three-bedroom home in Macedonia, Ohio, warm, and his monthly heating bill would peak at $250. "I was ready to spend $10,000 on new windows, as I was sure they were the source of all my heat loss," he says. An energy audit found the biggest heat loss was actually due to poorly installed attic insulation. Now, Kevin will pay about $2,000 to redo it. "Since this improvement is a whole lot less than what I was planning on spending, it's going to get done a lot quicker," Kevin says. "If I had spent the $10,000 on new windows, my house would still have the same energy-efficiency problems because 90 percent of my problems are in the attic."
5. Energy upgrades don't have to be expensive.
Tax credits aside, a few simple upgrades can help you save energy, starting with insulationg the attic hatch, if you have one. "An attic hatch is just quarter-inch plywood. It needs to be insulated," says Cannella.
Other suggestions:
- Use caulk and weatherstripping around windows and doors.
- Replace your furnace filter.
- Install a programmable thermostat.
- Insulate your water heater with a special water heater blanket.
- Insulate electrical outlets and light switches with precut foam seals.
You may be eligible for a federal tax credit on certain insulating window shades, like this one. The Duette Architella shade from Hunter Douglas (hunterdouglas.com features a honeycomb-within-a-honeycomb design.
Caulk that shrinks or cracks over time will allow air leaks and require repair work. Unlike acrylic caulk, GE Silicone caulk is flexible and waterproof (caulkyourhome.com).