reporter2
10-01-22, 09:19
How to save thousands of dollars on home renovation
No one likes to be overcharged and you can avoid this only if you know the prevailing costs of items or services that are available in the market
Tan Ooi Boon
Jan 9, 2022
SINGAPORE - You don't have to splash out big bucks to buy a new home if you want to enjoy the latest interior designs and features. You can, in a word, renovate.
With careful and smart planning, you can turn your 20- or 30-year-old home into a modern and comfortable abode with the best amenities.
The best part? Just like picking a good investment after you do your homework, renovations do not have to bust your budget if you know how to choose the best package that your money can buy.
Here are four tips that can save you tens of thousand dollars plus a lot of heartache if you plan to make improvements to your home.
1. Get quotes from at least two different companies
There are good reasons why government agencies and companies make tender exercises compulsory for most projects. No one likes to be overcharged and you can avoid this only if you know the prevailing costs of items or services that are available in the market.
It is not true that a complete overhaul of a three-bedroom apartment, for example, must cost at least $100,000 or even more. You could get the same work done for $60,000 to $70,000, or 30 per cent savings, if you have good insights on how companies set prices.
What this means is that if you do your homework, there is a potential to pay substantially less for all kinds of makeovers.
Some owners like to believe that they have to pay top dollar because they engage award-winning designers whose services must surely cost more. But this cannot explain why you have to pay a lot more for basic items and services that are not exceptional.
These examples taken from quotes of licensed companies listed in the Housing Board's directory of renovation contractors show the often huge disparity in quotes. For instance, one company charged $6,000 to hack and dismantle the old tiles and fittings of an apartment while another might ask for over $8,000 for the same work.
While the demolition work requires skill and care, you certainly don't need to pay a third more to get to the same pile of rubble.
Similarly, if you have obtained quotes from more than one party, you would know that some charge $50 for installing a single power-point while others charge double. As a home would need 20 or more points, you could end up paying over $1,000 extra just for this item.
Now add up all the charges for lights and other electrical work and you can either pay about $5,000 all up or $10,000 or so for another contractor.
The price disparity is even more stark when you ask for custom-made fittings, such as for wardrobe and kitchen cabinets. Granted, there are ready-made designer cabinets that can cost tens of thousand dollars, but there is no reason why you should not negotiate on carpentry work even though it seems like a steal at just a few thousand dollars.
Make sure you deal only with companies on that HDB list; you certainly don't want to work with an unlicensed contractor with the lowest price and risk having your home uncompleted and in a mess.
It is also worth checking with more than one vendor for other big-ticket items such as your curtains so that you won't get blind-sided and pay a few thousand dollars more if all you want is just something nice that can block out the sun.
2. Good service is paramount
Another reason to talk to more than one home designer is to allow you to judge who is more diligent and trustworthy because you are handing over your most valuable asset to a complete stranger.
Getting a good price is great but finding someone who can get the work done to your satisfaction is even more important because there is no home sweet home to go back to if you end up with a bad one.
Yes, most designers are charming and obliging when they are eager to get your business but there are still many tell-tale signs that will allow you to sieve out the bad ones.
For instance, a good designer truly listens and he won't leave until he literally measures every nook and cranny that you want him to make-over.
And to show you he really knows what you want, his proposal will be so detailed that he covers even the minor work that needs to be done.
So like grading an exam paper, such proposals can be a good gauge on how reliable your candidates are; if they are sloppy when they want your business, you can expect them to be worse once they have you in their pockets.
If you think it is fine to be less strict with quotations because it is still in the exploratory stage, just remember this - if you select your designer based on a half-baked proposal that looks cheaper, it means that the cost of many other jobs have not been considered and you will be at their mercy when additional costs start to appear once the work starts.
Just like investing in financial products, you should not be swayed by any offer of free gifts because these will not make up for signing a bad deal.
You are not shopping in a bazaar where haggling is needed. If you sign a proposal that says $71,900, you should just need to pay for this unless you request changes during the project.
Of course, if the designers don't even bother to get back to you on time or always postpone appointments without good reasons, drop them because it is risky to let irresponsible people babysit your home renovation.
3. Have a date and stick to it
While it is hard to get everything settled at the proposal stage, you should at least ask for the estimated start and end dates to gauge whether you are comfortable with the timeline.
The response should give you some idea on how many jobs the designer is handling and whether your project can really be completed on time.
Ask about the deployment of manpower as we are, after all, living in Covid times.
You need to check whether the company faces problems in getting workers if there are sudden disruptions that are not within their control.
Also ask if the carpentry work will be done locally because any items that are imported, even from across the Causeway, could face delays due to shipment issues.
Unless you have more than one home, never let your designer have a free hand in deciding the timeline as this means you have to spend more renting a temporary residence.
To be fair, good designers also don't like delays because it means it takes longer to bank in their proceeds.
4. See what you are getting
Once you have made your choice, ask to see the simulated pictures of your proposed make-overs before the work starts so that you won't get a nasty shock later.
Technology means these are now standard fare that come with the package without additional charges in most cases.
It is important to see these drawings, especially in cases where some walls need to taken down to make way for new features and you need to see if you are pleased with the design. After all, some things seem like a good idea in theory but appear a real eyesore when you see it in a simulation.
When it comes to renovation, you need to be happy with the outcome or you will live with the mistakes for many years.
https://www.straitstimes.com/business/invest/how-to-save-thousands-of-dollars-on-home-renovation
No one likes to be overcharged and you can avoid this only if you know the prevailing costs of items or services that are available in the market
Tan Ooi Boon
Jan 9, 2022
SINGAPORE - You don't have to splash out big bucks to buy a new home if you want to enjoy the latest interior designs and features. You can, in a word, renovate.
With careful and smart planning, you can turn your 20- or 30-year-old home into a modern and comfortable abode with the best amenities.
The best part? Just like picking a good investment after you do your homework, renovations do not have to bust your budget if you know how to choose the best package that your money can buy.
Here are four tips that can save you tens of thousand dollars plus a lot of heartache if you plan to make improvements to your home.
1. Get quotes from at least two different companies
There are good reasons why government agencies and companies make tender exercises compulsory for most projects. No one likes to be overcharged and you can avoid this only if you know the prevailing costs of items or services that are available in the market.
It is not true that a complete overhaul of a three-bedroom apartment, for example, must cost at least $100,000 or even more. You could get the same work done for $60,000 to $70,000, or 30 per cent savings, if you have good insights on how companies set prices.
What this means is that if you do your homework, there is a potential to pay substantially less for all kinds of makeovers.
Some owners like to believe that they have to pay top dollar because they engage award-winning designers whose services must surely cost more. But this cannot explain why you have to pay a lot more for basic items and services that are not exceptional.
These examples taken from quotes of licensed companies listed in the Housing Board's directory of renovation contractors show the often huge disparity in quotes. For instance, one company charged $6,000 to hack and dismantle the old tiles and fittings of an apartment while another might ask for over $8,000 for the same work.
While the demolition work requires skill and care, you certainly don't need to pay a third more to get to the same pile of rubble.
Similarly, if you have obtained quotes from more than one party, you would know that some charge $50 for installing a single power-point while others charge double. As a home would need 20 or more points, you could end up paying over $1,000 extra just for this item.
Now add up all the charges for lights and other electrical work and you can either pay about $5,000 all up or $10,000 or so for another contractor.
The price disparity is even more stark when you ask for custom-made fittings, such as for wardrobe and kitchen cabinets. Granted, there are ready-made designer cabinets that can cost tens of thousand dollars, but there is no reason why you should not negotiate on carpentry work even though it seems like a steal at just a few thousand dollars.
Make sure you deal only with companies on that HDB list; you certainly don't want to work with an unlicensed contractor with the lowest price and risk having your home uncompleted and in a mess.
It is also worth checking with more than one vendor for other big-ticket items such as your curtains so that you won't get blind-sided and pay a few thousand dollars more if all you want is just something nice that can block out the sun.
2. Good service is paramount
Another reason to talk to more than one home designer is to allow you to judge who is more diligent and trustworthy because you are handing over your most valuable asset to a complete stranger.
Getting a good price is great but finding someone who can get the work done to your satisfaction is even more important because there is no home sweet home to go back to if you end up with a bad one.
Yes, most designers are charming and obliging when they are eager to get your business but there are still many tell-tale signs that will allow you to sieve out the bad ones.
For instance, a good designer truly listens and he won't leave until he literally measures every nook and cranny that you want him to make-over.
And to show you he really knows what you want, his proposal will be so detailed that he covers even the minor work that needs to be done.
So like grading an exam paper, such proposals can be a good gauge on how reliable your candidates are; if they are sloppy when they want your business, you can expect them to be worse once they have you in their pockets.
If you think it is fine to be less strict with quotations because it is still in the exploratory stage, just remember this - if you select your designer based on a half-baked proposal that looks cheaper, it means that the cost of many other jobs have not been considered and you will be at their mercy when additional costs start to appear once the work starts.
Just like investing in financial products, you should not be swayed by any offer of free gifts because these will not make up for signing a bad deal.
You are not shopping in a bazaar where haggling is needed. If you sign a proposal that says $71,900, you should just need to pay for this unless you request changes during the project.
Of course, if the designers don't even bother to get back to you on time or always postpone appointments without good reasons, drop them because it is risky to let irresponsible people babysit your home renovation.
3. Have a date and stick to it
While it is hard to get everything settled at the proposal stage, you should at least ask for the estimated start and end dates to gauge whether you are comfortable with the timeline.
The response should give you some idea on how many jobs the designer is handling and whether your project can really be completed on time.
Ask about the deployment of manpower as we are, after all, living in Covid times.
You need to check whether the company faces problems in getting workers if there are sudden disruptions that are not within their control.
Also ask if the carpentry work will be done locally because any items that are imported, even from across the Causeway, could face delays due to shipment issues.
Unless you have more than one home, never let your designer have a free hand in deciding the timeline as this means you have to spend more renting a temporary residence.
To be fair, good designers also don't like delays because it means it takes longer to bank in their proceeds.
4. See what you are getting
Once you have made your choice, ask to see the simulated pictures of your proposed make-overs before the work starts so that you won't get a nasty shock later.
Technology means these are now standard fare that come with the package without additional charges in most cases.
It is important to see these drawings, especially in cases where some walls need to taken down to make way for new features and you need to see if you are pleased with the design. After all, some things seem like a good idea in theory but appear a real eyesore when you see it in a simulation.
When it comes to renovation, you need to be happy with the outcome or you will live with the mistakes for many years.
https://www.straitstimes.com/business/invest/how-to-save-thousands-of-dollars-on-home-renovation