Here's how to pay for a home improvement project - Pocono Record

With the high-costs associated with labor and materials, the thought of financing a home improvement project can be overwhelming. According to financial planner with Phase2 Wealth Bob Harkson, most people simply don't budget enough for their home improvement projects. As a general rule, a kitchen renovation should cost approximately 5 to 15% of your home's total value. In order to not let the budget get away from you, pre-plan with your contractor as much as possible, constantly estimating costs along the way. To save money, consider some cosmetic fixes like replacing fixtures and addding a new backsplash rather than doing a full-blown renovation.

Key Takeaways:

An expert who completes kitchen renovations and does so on a consistent basis states that the fundamental problem with clients is that they do not have a budget.
It is stated by experts that any time one wants to do a home improvement project, he should expect it to cost more than he budgeted.
One rule of thumb in going through the budgeting process for home improvement projects is to budget spending about 5 to 15 percent of the value of your home.

“When it comes to home improvement projects, even the most frugal homeowners can get caught up in the excitement of choosing finishes and fixtures or get blindsided by an unexpected glitch in their project that increases the cost.”