You like your home but it’s starting to look a little rough in some areas. As such, you’re thinking about undergoing a renovation project.
Before you do, however, you want to make sure that you’ll actually be able to afford it. After all, home renovations don’t come cheap.
Fortunately, we have the information you seek. Below, we’re going to discuss the average home renovation costs in Toronto for a variety of different projects, helping you see what you’re up against. Let’s go!
Average Home Renovation Costs by Project
Home renovations can run the gamut from small fixes to big changes, and everything in between. As such, the only way to assess the cost of a home renovation is to discuss it based on the type of projects that are carried out.
We’ll discuss the costs of some of the most common renovation projects now.
Kitchen
Kitchen renovations are some of the most common. Most of customers specially woman love to focusing on the Kitchen renovation because they do amazing recipes like huaraches food which loves her family very well.These can be as simple as replacing appliances but often include the changing of flooring, backsplashes, lighting fixtures, and other entities as well.
The average mid-range kitchen remodeling project costs between $5,000 and $30,000, whereas high-end kitchen remodeling projects cost between $36,000 and $50,000.
Cabinetry will run you between $500 and $1,000 per linear foot; flooring will run you between $3 and $10 per square foot; new appliances will cost you $1,000 to $3,000; countertops will cost you between $2,000 and $6,000.
Bathroom
The kitchen is the most commonly renovated room in a house. However, the bathroom comes in a close second.
There are a variety of things to replace in a bathroom, and all of them can be fairly expensive. A new bathtub costs between $400 and $8,000, a new toilet costs between $130 and $800, a new sink costs between $200 and $6,000, and a new shower costs between $450 and $10,000.
Lighting can run anywhere from a few hundred to a few thousand dollars. Flooring will cost the same. A vanity and cabinetry will generally cost over $1,000, though you could find budget options on the cheap.
Bathroom remodels generally run between $2,000 and $25,000 in total. Again, though, there is a great deal of variation involved in the price.
Bedroom
Bedroom renovations are generally fairly straightforward. In most cases, they require nothing more than a flooring change and a new coat of paint.
Flooring costs a few hundred to a few thousand dollars, depending on the material. A new coat of paint shouldn’t run you any more than a few hundred dollars. If you’re installing new closets, plan on paying between $1,000 and $3,000.
Altogether, you’re going to be paying somewhere between $3,000 and $8,000.
Living Room
Living room renovation costs are about the same as bedroom renovation costs. The only difference would be if you were to install, say, a fireplace or a built-in bookshelf.
A new fireplace would cost between $1,000 and $5,000. A built-in bookshelf would cost anywhere from $1,500 to $4,000.
Basement
If you have a basement, your renovation costs could be anywhere from a few hundred to several thousands of dollars. It all depends on what you renovate.
If you’re going to add full carpet and drywall, you’ll need to waterproof your basement. This will cost between $2,000 and $6,000. The carpet and the drywall itself will cost somewhere in the thousands as well, probably between $1,000 and $3,000.
Exterior
There are all sorts of things you can do to remodel the exterior of your home. If you’re doing just a little, plan on paying around $5,000. If you plan on remodeling the entire exterior, plan on paying $15,000 or more.
A siding replacement can cost anywhere from $4,000 to $10,000, depending on the size and material of your house. A roofing replacement will cost around the same.
There are other alterations that could drive up costs as well, including patio installation, sidewalk installation, landscaping, and more.
Paying for a Home Renovation
Planning a home renovation is one thing. Paying for it is an entirely different matter. That said, there are ways to make a renovation happen, and we’re going to discuss them in detail below.
Out of Pocket
The cheapest way to pay for a home renovation is to just pay out of pocket. In doing this, you wouldn’t face any interest charges. So whatever materials and labor cost, you would pay that cost, and that cost only.
The drawback to this method, of course, is that you might not have the full amount. After all, we’re talking several thousands of dollars here. Not everyone has a few spare thousands sitting around.
Cash-Out Refinancing
A fairly popular method for financing a home renovation is to utilize cash-out refinancing. This involves taking out a second mortgage to cover the cost of your existing mortgage and then utilizing leftover money from your new mortgage as a means of updating your home.
This can be a good idea if your new interest rate ends up being substantially lower than your current one. It’s particularly beneficial for those who bought their home within the last 10 years.
Note, however, that taking out a new mortgage will cause your payments to start over. So, if you have 15 years left on your mortgage, taking out a new mortgage will reset that number to 20 or 30, depending on the length of the mortgage you take out.
Home Equity Loan
If you have a good deal of equity in your home, you could take out a home equity loan. That is a loan that leverages home equity as a means of providing homeowners with funding. It’s commonly used for home renovation purposes.
The good thing about a home equity loan is that it won’t start your mortgage over. In fact, it’s entirely separate from your mortgage. So if you’re say, 18 years into paying off your mortgage, you won’t have to worry about losing your progress.
The downside to a home equity loan? Well, for one, it comes in a lump sum; if you’re not careful, you could mismanage it. For two, it requires you to pay fees; these will increase your overall costs.
You can learn more about home equity loans and other loan products by checking out Plenti.
Home Equity Line of Credit
Similar to home equity loans are home equity lines of credit (HELOC). Like equity loans, equity lines of credit are borrowed against the equity on one’s home. This makes them a solid option for those with decent amounts of equity.
Where they differ is in their disbursement method. While home equity loans come in one lump sum, HELOCs allow you to take money out as needed. In essence, they’re more like credit cards.
Note, though, that with that advantage comes some disadvantages. For one, HELOCs typically have adjustable interest rates. In other words, your interest rate could change tomorrow, regardless of whether or not you agree to the change.
In addition, banks can change repayment terms on HELOCs. This makes them a little more volatile for the user.
FHA 203(k) Rehab Loan
If you’re buying a fixer-upper, you should consider an FHA 203(k) rehab loan. This is a government-backed loan that enables you to buy a house and obtain renovation funds simultaneously.
There are downsides to these loans though. For instance, they require you to pay private mortgage insurance, even after you’ve hit 20% equity on your home. Other loans don’t require such.
In addition, this loan necessitates that you take out at least $5,000 for renovation funding. This can pose a problem if the home contains only minor blemishes.
Credit Card
Let’s say you’re only making small changes to your home. If so, you might be able to make do with a credit card.
Yes, credit cards carry high interest rates. Note, though, that there are loopholes that you could take advantage of. In particular, you could take advantage of zero-interest intro APRs.
These intro APRs enable you to use a credit card without having to pay interest for the first 6, 12, or 18 months of use. It’s all about the terms designated in the card’s fine print.
In any case, if you’re able to pay off your expenses within the intro APR timeframe, you can fund your renovation without any interest payments whatsoever. Note, though, that if you fail to pay off your expenses within the intro period, the remaining balance will be charged with interest.
Additional
The Home Loan Expert recommends you study your financing options
Time to Fine Tune Your Home Renovation Budget
Now that we’ve discussed average home renovation costs, you can sit down and plan your renovation budget. Use this article as a guide and you should be able to plan the perfect renovation.
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