Home additions are a great way to revamp your home and create more space – without the hassle of moving or building a new home. When done right, a home addition can add value to your home, give your family the space they need and even provide you with a rental property opportunity. But, like any home renovation project, home additions come with a few costs that are often overlooked. Here are the top hidden costs of home addition projects that we see homeowners overlook in their budget all the time.
Discovering Pre-Existing Damage
When the demolition stage of your home addition project begins there is a chance that you will uncover some unseen home damage – like water damage or a faulty foundation. Unfortunately, this hidden cost is something that is extremely hard to plan for. Before budgeting for you project and gathering estimates from contractors, thoroughly inspect your home for damage. If you do discover things that need repairs, whether they are related to the home addition project or not, it will save you money, in the long run, to do the repairs at the same time as your project.
Plumbing & Electrical
If your project includes a kitchen or bathroom addition, the cost to install a new plumbing system will drastically drive up your costs. One way to save money on this is to connect to the existing plumbing system, if your design allows for it. Also, often times with a home addition, you will need to install a new breaker from the main panel. For both plumbing and electrical, you will likely need to hire a professional to make sure everything is quality and up to code – make sure you factor these costs into your budget.
Permit Costs
No matter where you live, almost every home addition will require a building permit. The cost of the permit is usually dependent on the project and if you will require additional permits for things like electrical and plumbing. In some instances, you may have to factor in an application fee as well.
Scope of the Home Addition Project
It’s important to remember that different home addition projects will have drastically different costs. For example, the cost of adding a sunroom will be less expensive than a second storey addition. When you begin planning your project, try to get a handle on how many general contractors, electricians, plumbers, carpenters, etc. you’ll need. If you have a realistic idea of the scope of your project and the amount of professional help you’ll need, you are less likely to blindsided by the final costs.
Living Expenses
At the beginning of the project make sure you consider whether your family will continue to live in the home during the home addition project or stay somewhere else. A typical home addition means having the electrical, heating and water supply shut-off at times. This along with dirt, dust and the constant noise of a construction team, are all reasons to consider finding somewhere else to stay until the project is complete. If you can stay with friends or family for free, you will likely save money on your project as having a crew clean up every day to accommodate you living in the home during the renovation normally add to the costs of the project.
Relaxing with your family in your newly remodelled dream home is the best feeling in the world. The only thing that can take away from that feeling is a price tag that went way over your initial budget. If you stay organized and consider the potential hidden costs of your home addition, you should be able to save on unforeseen expenses and stay on budget.
