Realistic Costs Of Renovating A Home in Auckland
Whether you simply want to renovate for yourself to make your home feel more like a home or if you’re thinking of renovating to eventually sell the property then this short guide will give you a brief overview of what to expect in terms of costs and how to get the most from your investment.
If you simply want to make a better home for yourself and your family then consider which areas are most important, maintain a list of properties that you and your family agree are the first things you would like to change. No matter the size of your budget, you may have to renovate in small steps to stretch the costs over time and save money. You may want to see your house change in a click of a finger, but patience is one of the most important tools to have for home renovation Auckland.
Selling in Auckland
In Auckland, the average price for a house ranges from $700,000 to $1,000,000 and so if you’re looking to sell your property eventually then you need to research and understand the realistic resale value and how much your renovation plans will add to this. Consulting a professional is always a step in the right direction and will give you a good idea of how much to spend.
Put in more to get more back
The reason Hollywood makes so much money from its movies is not because they spend as little as possible to see a bigger profit return, but because they invest enough to make the film a high-quality production which usually attracts a larger audience and in turn makes more money.
Renovating a house in Auckland can be likened to producing a Hollywood film. Considering the high price of an Average Auckland property, don’t be afraid to invest more to meet the expectations of your future target market. Consider how much you paid for the property
Consider who’s going to buy this property and the standards they expect, then figure out how much you need to spend to meet this standard while still making a profit.
Experts recommend spending no more than 20% of the resale value, but the most important qualifier should be the price you paid for the house. If you paid around $500,000 and the resale value is estimated at just under $1,000,000 then you could spend an extra $400,000 and make a reasonable profit. If you can spend enough to make the property, the standard of similar properties in Auckland while making sure not to spend more than the value then you’ll be looking at a decent return.
Per square metre
So now you know your budget, based on the condition and resale value of the property you would like to figure out the exact costs of renovating to figure out how much you can do for the home. Experts estimate that the average renovator in Auckland spends around $2,000 per square metre. While this seems high, this is taking into account every aspect of the cost.
Renovating just one room or two is a good idea so it’s helpful to know that Kitchens and Bathrooms are the most expensive areas to renovate but are also the most likely to bring in profit.
Renovating your Auckland home: 5 ways to go about it
People want to renovate their homes for many reasons. Some want an extra room for the arrival of a new born, some want to allow more light to access the house, and some want gold plated toilet seats, whatever your desire it’s important to have a realistic expectation of costs. Even if you think your budget is never going to spill over, unexpected costs can jump out at you like ghosts waiting in the floorboards. Renovating a house can be a huge task even if just changing one room and sometimes good ideas can be expensive ones. Below are 5 tips to making sure your renovation runs as smoothly as possible and some ideas on how to renovate an Auckland home.
Hire a professional
It’s a good idea early on to hire a project manager and involve them with the costs and prices from the beginning to figure out what you can and can’t do. Auckland has a high number of good quality architects, designers, decorators and project managers for high-end large-scale projects. Consider getting the help of an expert to make the project run as smoothly as possible. Even if you know you can do a good job on your own, sometimes unexpected costs crop up and you can end up spending more than you would have saved doing it by yourself.
Make use of every space
Not only do smart storage spaces add value to the property if you eventually want to resell but making use of every inch of the home makes it a much nice and easier place to live in. Make a storage space for tools and cleaning equipment under the stairs, add shelves or desks to empty walls, add extra cupboards to the kitchen and bathroom to store things that don’t have their own space.
Consider how you use your home
You probably go about your everyday life in your home without thinking how you use it, everybody does, it’s just habit. But when renovating your home its important to think carefully what each room is used for. What time of day do you use each room? Does it need extra light during the day? Who uses each room and who do you intend the room to be for in the future? Consider if you need extra storage space, quiet rooms like an office or a studio or if you use a room for multiple things or for one sole purpose like cooking or sleeping.
Make sure you have permission
Consult the local council before making huge changes to the exterior or the building’s footprint or structure. They will have to grant you permission and let you know what you can and can’t do. Don’t make changes and then hope they will give you consent afterwards. Make sure you have a good plan of everything you want to do when undertaking home renovation in Auckland, so you can communicate your ideas effectively.
Be realistic about costs
If you’re thinking of reselling the property, then you will want to spend as little as possible to make a profit. However, be cautious of being overly tight with money as buyers expect a certain standard of properties in Auckland. Home renovation in Auckland needs to be based around the common price of homes which ranges from $600,000 to $1,000,000. To make a profit however, you will need to put enough into the project to meet the standards of properties in the area while not spending too much. It can be a difficult task so consider hiring a project manager as mentioned before, and remember its all about balance, not spending too much or spending too little.
Check out our latest article on the cost of renovating in Auckland in 2019
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