Why Are Kitchen Designers’ Fees Horribly Scary? 5 F-A-Qs

by | Budget, Cost, Pricing, Design Professionals, Designers, Frequently Asked Questions, Kitchens, Remodeling Budget | 0 comments

Why are kitchen designers' fees so high? Why?

We Can’t Afford To Pay A Kitchen Designers’ Fees!

Kitchen Designers’ fees can be frightening. “Sticker shock” is not uncommon for homeowners. So I’ve answered five frequently asked questions about how much a kitchen designer may charge you for their services and how they calculate their fee.

Questions about kitchen designersHas This Happened To You?

You do a Google search for “Kitchen Designer Near Me.” You get a list and call designers to help you with your kitchen remodeling. They tell you their fee is “X” amount per hour, but you don’t know how much you will pay them in total.

They may say that their fee starts at $2,500 and goes up. Or they’ll let you know their fee is a percentage of your investment. It’s confusing and frustrating.

Ask how much they typically charge to design a kitchen like yours. If they can’t answer, or if their fee will be a high percentage of your investment, they’re not the right one for you. If you’re thinking of spending only $20,000 to remodel your kitchen, you probably won’t be able to find someone to help you.

The first question will help you decide how you want to proceed with your project.

#1: “Do I Need Someone To Help Me Design My Kitchen?”

Who can help me design my new kitchen?You may not need a kitchen designer if you’re:

  • Thinking about freshening up with a new color scheme
  • Painting your existing cabinets
  • Installing a new countertop and backsplash
  • Installing new flooring

A contractor can accomplish these types of projects without a designer. But they cannot advise you about the color and style, other than their personal preferences. So you’re on your own to make these decisions. Or you’ll have to hire a decorator.

The second question is a good follow-up:

#2: “Can I Hire A Decorator To Help Me?”

Not necessarily. Unfortunately, most homeowners (and many contractors) don’t understand the difference between:

  • Decorators: People who can help with colors, furniture, window treatments, and accessories. They do not have the education, training, and experience with building systems to draft plans and specifications. They need specific technical knowledge to make the best recommendations for you and your budget.
  • Designers: People who have education, training, and experience. They can draft plans for a project. But they may not have the specific knowledge of products and codes to prepare detailed plans and specifications for your remodeling project.
  • Kitchen-Bath Designers: People with education, specific training, and experience related to remodeling. They can draft detailed plans and prepare contractors’ estimates, permits, and specifications. Some kitchen-bath design specialists have become certified to prove their knowledge and dedication to helping you. Get more information about these designers at the National Kitchen & Bath Association website.

#3: “When Do I Need A Kitchen Designer?”

Kitchen plan by Diane PlessetYou should hire a professional kitchen designer if you want to:

  • Do more than freshen up — new cabinets, appliances, plumbing fixtures, etc.
  • Change the layout within the same footprint.
  • Enlarge your kitchen.

 

 

 

 

It’s reasonable to pay a kitchen designer to help you if your target budget for a completely remodeled kitchen is $45,000 or more. Why? You’re going to need someone to:

  • Help you select the right products for your budget and lifestyle.
  • Create detailed plans that follow building codes. Design plans should show all your decisions.
  • Create specifications for all the products you’ve selected.
  • Refer you to qualified contractors and suppliers.

The fourth question will help you refine who to hire.

What is a kitchen designer going to cost me?#4: “Okay,” you say, “I get it. But what is a kitchen designer going to cost me?”

People ask the fourth question most frequently. It’s frustrating because there isn’t much specific information about fees. But keep reading! You will need more information to understand how designers calculate their fees. There are three basic systems that designers use:

  • Hourly rate
  • Flat fee
  • Percentage of the project cost

$ Hourly Rate
Jill Geisdorf of Chic on the Cheap was quoted on houzz.com, “No two projects are the same, and no two designers charge the same.” Bob Vila says, “Most independent kitchen designers charge by the hour with rates ranging from $65 to $250 an hour, and $125 to $150 is typical. If your designer charges by the hour, you’ll want an estimate of how many hours the designer expects your project will require.”

$ Flat Fee
This system gives designers the most flexibility because they can charge whatever they want for every project. You must know:

  • When the designer will expect payments.
  • What percentage of the fee they’ll expect you to pay for each interval.

$ Percentage Of The Project Total
The percentage system is a percentage of your total investment. The problem with this fee structure is that it’s in the designer’s best interest to increase your investment. Who’s going to be your advocate? Unfortunately, it will be you.

There May Be A Hidden “Gotcha.”

There may be hidden gotchas when you hire a kitchen designerSome decorators, designers, and kitchen-bath designers may charge a lower fee. But they’ll want to sell products to you so they can mark up how much you pay for those products. Also, they may receive referral or finder’s fees from contractors, manufacturers, and suppliers. Selling products and receiving finders’ fees increase their bottom-line income.

You have a right to know how much the designer makes on products and referral fees. Of course, you should get a written agreement that states:

  • What services they do include for the fee they charge.
  • What services they don’t include for the fee they charge.
  • Describe how they calculate their fee for what they do.
  • Show their maximum-not-to-exceed total fee.
  • How they will invoice you for the services they’ll provide.

Now, the fifth question:

Why are kitchen designers fees so secretive?#5: “Why Are Kitchen Designers’ Fees So Secretive?”

I understand your dilemma. Everyone cites a range, but no one publicly wants to be locked into a specific fee. I hear your frustration. But there are two reasons for the secrecy:

  • Kitchen Designers do not want their competition to know what they charge homeowners.
  • Months or years after submitting a proposal, someone may demand that fee, creating a potential dispute.

Call candidates to gather information, including how much they charge so that you can make an informed decision. Wouldn’t it be nice to know what and how they charge and be able to write it down on a comparison list? I will give you a free chapter from my award-winning book to help you! You can get a copy of the chapter immediately by simply filling out the request form below. Filling out the form will also subscribe you to my informative Newsletter filled with remodeling hints, tips, and special offers.

Variables That Will Drive Up Your Kitchen Remodeling Investment

How much you invest in your kitchen and pay a kitchen designer depends on the complexity of the project. Here are some examples:

Variables may add to your bottom-line kitchen remodeling investment

  • Non-standard cabinets loaded with storage accessories.
  • Imported appliances, plumbing fixtures, and tile.
  • Custom backsplashes and tile layouts.
  • Unique architectural features include a vaulted or barrel-vault ceiling, angled walls, or non-standard windows and doors.
  • Change your mind after the designer has finalized your plans.

Up-front, honest communication about expectations is the best way to prevent problems. For example, if a kitchen designer has quoted a maximum fee based on what you’ve told them, you may have to re-negotiate their price if your project becomes more complex during the design phase.

Ethical, Honest kitchen design with integrityYou Ask For Total Honesty and Transparency. Here It Is!

Here are the guarantees you get when I work with you. I will:

  • Never sell products. Never! My responsibility is to help you find the best value for your products.
  • Help you select all the products for your remodeling project.
  • Never receive or pay referral fees.
  • Be transparent about what you’re paying for my services and provide a detailed written proposal immediately after meeting with you.
  • Recommend contractors, manufacturers, and suppliers to you who I know are honest and ethical.
  • Be available to you every day during the process! Yes, from 7:00 a.m. until 9:00 p.m., I’ll be available to answer questions and reassure you. Yes, we always answer the phone — unless we both happen to be in the middle of a call already.
  • Reply to your email within 30 hours.
  • Provide detailed plans and specifications that include all of your decisions.
  • Create Virtual-reality “photographs” of your finished project starting early in the design process, so you can make informed decisions about how it looks, feels, and functions.
  • Send detailed invoices every four to six weeks, calculating my fee to the nearest 15 minutes. You’ll pay only for the time I devote to your project. My total fee remains the same unless you request more services or change the scope of your project. My goal is to help you achieve your goals.

How do I calculate my fee? After seeing your home and talking with you, I derive my total fee from other similar projects I’ve had recently. My hourly fee is $125 multiplied by the number of hours your project will require. Here is a project that’s a great example:

A Kitchen that’s 250 square feet (15.5′ x 16′) with the following features:

Remodeled kitchen designed by Diane Plesset

 

 

 

 

 

 

 

 

  • Minor changes to the layout
  • New appliances (range, hood, refrigerator, dishwasher, microwave oven)
  • Quality plumbing fixtures
  • New custom-painted cabinets loaded with storage accessories
  • Stone countertops and custom tile backsplashes
  • Dimmable LED lighting
  • Ventilation that complies with current codes
  • Wood flooring

My proposal stated a total maximum-not-to-exceed fee for all professional services of $4,875 at $125 an hour. By the end of the project, my clients paid a total of $3,750 for all the services I provided.

Virtual-reality perspective created by Diane PlessetDuring the design, I provided homeowners with multiple virtual-reality perspectives to help them make informed decisions about the layout and cabinet details. See Before and After photos, and a project description in my portfolio.

Get information about how my creative design process can help you.

Call me today if you still have questions or want to talk with me about your project.

In Conclusion

How much you pay a professional kitchen designer will be essential to your total investment. Their fee is only one aspect of your decision about who to hire. Your relationship with your designer will last from the day you meet until after finishing your project. The best collaborations include:

  • Mutual trust and understanding.
  • A common goal and a commitment to teamwork.
  • Top-notch communication.

Call other designers and ask questions about how they work and charge for their services. Will you get truthful information? Maybe and maybe not. Do they understand (and care) about your situation? Maybe and maybe not. Will they have similar guarantees to reassure you that you’re getting the best value? Maybe and maybe not. So why take a chance? Call me today and discover the positive influence I will have in your home and your life!

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Diane Plesset professional kitchen designer for over 38 yearsDiane Plesset, CMKBD, C.A.P.S., NCIDQ is an Advocate who specializes in helping homeowners with remodeling and addition projects. She has been the principal of D. P. Design since April 1984. Diane is the author of the award-winning book “THE Survival Guide: Home Remodeling,” the recipient of many design awards, and a regular contributor to Kitchen & Bath Design News (Planning & Design column).

© 2022 D. P. Design – All Rights Reserved

Prepare for Home Remodeling

by | Additions and New Homes, Appliances and Plumbing, Contractors, Countertops, Design Professionals, Home Remodeling, Tile | 0 comments

Embrace Change

Prepare for Home Remodeling

Amazing Success IS Possible!!!

There are many things you can do to prepare for home remodeling.. In this blog, I’m going to focus on what you can do before you call contractors and design professionals. As I stated in last week’s segment of “Today’s Home,” most people think about remodeling their home for several years, unless they’ve just bought a home that they intend to remodel immediately. You’re in the majority of homeowners if you’ve been thinking about remodeling for two years or more. You chances for success increase exponentially when you embrace change.

3 Things Confuse and Overwhelm Homeowners

One: Went shopping and got confused by all the choices.

It’s not uncommon for homeowners to go shopping for tile and countertops before they do anything else. I’ve seen homeowners wandering the aisles at big-box stores and showrooms with a glazed look on their face that rivaled the glaze on the tile. The same confusion can happen if you go to appliance, plumbing, or lighting showrooms and see all your choices. It can be a great tool if your goal is to shop for ideas and inspiration, not for final products. The additional stress associated with making final decisions without professional guidance can overwhelm you and make you lose interest in remodeling your home.

Two: Watched home improvement programs that provide very little reliable information.

Most of these programs show you what other people have achieved, but no one tells you how long it took from beginning to end, how much the homeowners invested in this project, and how much of the project was “free.” The programs feature named suppliers and products that financially support the show, but they do not tell you how much the advertisers gave to the project in exchange for being featured. The problem I have with all TV remodeling shows is how much of the project ends up on the editing room floor. We’re shown what the advertisers, directors, and producers want us to see. If we can watch these programs for entertainment, we’ll be much better off. Unfortunately, many of us get hooked and believe everything the programs want us to believe.

Three: Read blogs and magazines about home remodeling that don’t say where to start and how to walk through the logical steps.

Magazine writers and editors are limited by the number of words and images, and they have to appeal to a wide audience to sell their advertisers’ products. Each of the magazines has at least 50 competitors for the commerce. You can easily spend $100 or more on home remodeling and renovation magazines to gather all the information you need to plan and execute your project successfully.

Online searches cost nothing, but you may spend hours searching for the information that will really help you. Using the right search terms is critical not only for you but also people (like me) who want to share knowledge and experience. It doesn’t help us that search engine algorithms change frequently. Paid internet advertising can be as expensive for entrepreneurs as print media – and it’s a crap shoot!

Yes, Lists DO Help You Achieve Amazing Home Remodeling Success!

Confusion happens to all of us when we try to keep everything in our brains. You’re probably tired of me harping about lists, especially if you’re not a list person. In the re-launch segment of “Today’s Home,” I stressed the importance of using the Homeowner Surveys to help you select products. Last week, I talked about remodeling priorities which includes making lists. Here’s a recap of the basic priorities you have when you’re in the “thinking” preparation for home remodeling:

  • What do you want to achieve with your remodeling project?
    • An updated kitchen or bathroom?
    • An addition that includes what rooms?
  • How much do you want to invest in your project?
  • When do you want your project to start and finish?
  • What specific products or features are most important?

It’s hard for me to be honest about whether I really need something or merely want it. Does this happen to you, too? I’ve learned that my wants turn into needs when I’m trying to satisfy my ego. It’s the “wants” that can drive up an investment, because it’s human nature to justify our wants and believe that they’re actually needs.

Visualize and Dream Your Amazing Success: Two Simple Steps!

It’s fun to visualize and dream. Collect pictures of projects or products that are interesting, online or from magazines. Make a note about why the picture excites you, makes you feel all tingly when you think that you can have something similar in your home. Over the years, homeowners have shared their pictures with me. It helps me to understand what they want to achieve. Clients with the most successful remodeling projects have been the ones who found a way to organize the information they gathered so it was easy to find and share. Here are ideas I’ve gotten from them:

1. Get a simple multi-pocket file folder and assign categories to each pocket such as:

  • Pictures (It may be hard for you to tear up magazines. You don’t have to, if you use “sticky notes” on the pages. If you keep the magazine in tact, you’ll have the name of the magazine and publish date for reference)
  • Products
  • Professionals
  • Estimates
  • Correspondence
  • Miscellaneous (this can be like the junk drawer in your kitchen!)

2. Set up a file folder for your project in your email inbox.

You can have one  folder for everything, or you can set up a main folder with multiple sub-folders that are similar to the pockets in Example #1 above. When you see anything interesting on the internet, copy the URL and send it to yourself in an email. The great thing about this system is that you have a subject line as a reminder or a way to search, and you have the body of the email where you can describe what you like. The wonderful thing about using this technology is that you can send anything to anyone at any time. After I learned this trick from a client years ago, this is the system I use for all of my clients’ projects

This sounds like a lot of work, but believe me, it will pay off when you have successfully finished your remodeling project without disappointments and hassles! Homeowners who have used one or both of these systems have proven the validity of the recommendations! They knew more about the details of their project, talked more knowledgeably with everyone, and actually enjoyed their project from beginning to end!

Get Ready To Talk With Remodeling Professionals

After you’ve completed these tasks, you’ll be able to talk with contractors and design professionals. You can actually start getting names and contact information while you’re working on the information-gathering tasks. There are several ways you can find the people who will help you achieve your home remodeling dream. Here are six ways that have been successful for homeowners:

Let family, friends, neighbors – everyone! – know that you’re thinking about remodeling your home. They’ll offer advice and may refer you to the right people! A referral from a satisfied homeowner is platinum for everyone in the remodeling industry. Contact a local remodeling organization like:

Search online resources like:

Angie’s List, Home Advisor, and Houzz are free for you, but they may collect a referral fee or charge for prominent display of a company. There’s nothing wrong with this. It’s an important part of our capitalist economy. It doesn’t mean that the company with a a full-page, full-bleed color ad is any better than the company with a well-done quarter-page ad. Both companies have to establish and maintain an advertising and marketing budget that’s a percentage of their income. Would you rather bring your business to a company with a smaller ad, or would you rather hire a company that can afford a glitzy ad? What’s the real message that each company is saying? Call them to find out!

I hope you won’t be lured by companies that offer (or guarantee) the lowest rates or fees! Only you can decide what’s best for you now, and for years to come. Benjamin Franklin said it best:

“The bitterness of poor quality remains long after the sweetness of low price is forgotten.”

Questions For Remodeling Professionals

After you get the names of contractors and designers, your next step is to call them and ask questions that will help you decide if they’re the right person or company to help you achieve your home remodeling project. I’ve developed a list of qualifying questions that you can use in phone or in- person interviews with construction professionals. If you ask the same questions, it will help you make informed decisions. The qualifying questions are a guideline, an aid to help you stay on track with your remodeling goals. Of course, they’re free!

Amazing Home Remodeling Success: It’s All About Love!

Remodeling (or building) your home is one of the most important things you’ll do in your life. It falls in line with choosing a life partner, having children, and buying a home. All of these life experiences revolve around love. You bought the home you’re in because you fell in love with it. It was perfect for you at that time. But things have changed. Change is inevitable. It’s the personification of life. Every decision we make – as many as 35,000 a day! – involves change.

Remember why you fell in love with your home. Do you want to fall in love with it again? You wouldn’t be thinking about remodeling your home if you didn’t want it to fulfill your current and future needs. This is why I’m here to help you with “Today’s Home” podcasts and my blog, because I care.

“Change” Quotations and Final Words

“Any change, even a change for the better, is always accompanied by discomforts.” (Arnold Bennett)

 “Change is inevitable – except from a vending machine.” (Robert C. Gallagher)

In conclusion, I want to share an observation. Everyone who embraces change seems to struggle with life (and decisions) less. I’ve personally experienced the difference that embracing change has made in my life. The homeowners who embrace change and prepare for home remodeling enjoy their projects, and get better results. Remember to take a deep breath and remind yourself that change can be good!

Next week’s program is going to be about a subject that we love or hate, but cannot live without: Technology.

Here is the “Today’s Home” podcast: How To Prepare for Home Remodeling

I can (and will!) help you navigate the often-confusing road to remodeling your home or building a new home. Contact me to talk about your project! Follow me on Facebook (D. P. Design and “Today’s Home”), Twitter, LinkedIn, and YouTube. Thank you for recommending the “Today’s Home” podcasts to everyone you know!

What Are Your Remodeling Priorities?

by | Home Remodeling, Additions and New Homes, Building and Remodeling Plans, Contractors, Design Professionals | 0 comments

Priorities

What Are Your Remodeling Priorities?

This blog is going to help you understand  your remodeling priorities — what they are, and how to achieve them. No matter what you’re doing every day, your priorities are present,  even if you’re not conscious about them. That’s how we make decisions!

In the last segment of “Today’s Home,” I talked about making lists to help you decide between staying and remodeling your existing home or moving to a new home. I offered a free copy of the Homeowner Surveys, which are focused on helping you select and prioritize your product choices to help you make informed decisions. You can still get a free copy of the 27-page Homeowner Surveys. You can request a copy of the Homeowner Surveys at any time!

I intended write about a different subject for this blog, but a call from a contractor kicked me in a different direction. I’m so grateful for his call! Here’s why he called:

A Change In Priorities For Homeowners?

The cabinet maker for my clients’ kitchen project is running behind schedule, and he probably won’t have the cabinets ready for installation until August instead of early July.  So my clients may get upset. They have the right to be upset, because they signed the contract and paid the deposit thinking that the cabinet maker was agreeing to the schedule. We won’t know what’s going to happen until after the contractor talks with the cabinet maker and sends a message to my clients and me. The contractor and I agreed that all homeowners have three major remodeling priorities. Here’s what they want:

  1. To remodel NOW (although they may have been thinking about their remodeling project for several years)
  2. Results similar to pictures they’ve seen online and exactly what’s shown in their design  plans
  3. Their investment to be as low as possible

Only ONE #1 Priority

These are all important priorities for homeowners. Life, and 35 years of experience in remodeling has taught me that we can have only ONE #1 priority at any time. Other priorities have to fall in line behind the #1 priority.  For this reason, I’m  an advocate for lists! If you make a list first, no matter how long it is, your next step is to assign priority numbers to that list to help you make informed decisions.

Priorities Can  Be Changed!

The contractor and I agreed that if our clients want to remodel their kitchen now, they’ll have to:

  • Pay more money to move to the top of the cabinet maker’s projects, or
  • Find a cabinet maker who’s immediately available

In today’s hot remodeling market, and considering my clients’ budget, neither of these options are possible.  This is why I’m going to talk about contractors and custom products not being available immediately in an upcoming segment of “Today’s Home.” Many homeowners are facing the reality of having to postpone their remodeling projects until sometime in the Spring of 2020 because the great contractors are booked that far in advance..

If my clients are willing to wait a month or two, they’ll get the same results they wanted for the same investment. It’s that simple. All they have to do is to adjust their priorities and move their project start date to later. We’re not talking about asking them to put off their kitchen remodeling project until next year.  If my clients’ kitchen project doesn’t start until August, their new kitchen will be finished by the holidays so they can entertain! Starting their project in August won’t impact their decision to cook meals on their barbecue, but it might impact other activities and events they’ve scheduled.

Communicate About Priorities; They’re Important!

We’ll discover and explore the reality, reasons and ramifications of the project delay in discussions and messages over the next several days. I don’t know their whole story, why they want and need to remodel their kitchen right now. I want to understand so I can help them get through a challenging time. It’s all about Communication: speaking honestly and listening compassionately. Communication is going to be another topic in an upcoming segment of “Today’s Home.”

Why are remodeling priorities so important? They will:

  • Help you set and maintain a realistic budget, a realistic time frame, and realistic expectations
  • Open up conversation with family members who have different priorities
  • Benefit your communication with design professionals and contractors

What’s Your #1 Remodeling Priority?

If you’re planning to remodel your home, think about your priorities. What’s more important:

  • Starting and completing your project on your schedule?
  • Getting the results you want? -or-
  • Staying within your maximum budget?

The bottom line is: You have choices, always! But every choice, every decision has priorities attached. What’s your #1 remodeling priority?

If you’re overwhelmed by your choices, I can help you! Contact me through my website.  I’m also on Facebook, Twitter, LinkedIn, and Houzz. Follow me, and subscribe to my emails about Today’s Home!

Listen to the Podcast:

“Remodel Our Existing Home Or Move To A New Home?”

by | Additions and New Homes, Building and Remodeling Plans, Contractors, Design Professionals, Home Remodeling, Remodeling Budget | 0 comments

“Remodel Our Existing Home, or Move To A New Home?”

Stay in Existing vs. New Home Remodel?    –OR–      New?

“Do we stay and remodel our home, or move to a new home?” This question has come up many times in my career, and I’ve lived it personally. The answer is difficult, because it depends on individual circumstances. I’m going to share the same recommendation now as I have in the past: Make lists!

List #1

In 35 years as a professional designer, homeowners have asked so many interesting questions! I love to answer questions! In the coming weeks and months, I’ll share often-asked questions and some of the interesting “back stories” of the homeowners. The questions may be similar, but they require custom answers to fit individualized needs.

Are you a list person? I hope you are, because this is the best way to discover and uncover hidden truths. Get a lined pad and a pencil. The reason I prefer a pad with real paper is that it’s available, even in the middle of the night. You can write notes or add to your lists whenever you think of them.

Draw a vertical line down the middle of the first page – it doesn’t have to be perfect! If you are compelled to use a ruler, it’s okay.  At the top of the page, on the left, write “Reasons to Stay,” what you love about your home and neighborhood.  On the right-hand side, write “Reasons to move,” what you hate about your home and neighborhood. Don’t edit or over-think your list. No one is going to grade you on your exercise.

List #2

There are things you can do to stay in your home, but they’re not going to be inexpensive, especially if your existing home is too small or needs major renovations. But neither is selling your home and moving to a new home! Answering the question about staying or moving is going to require homework. There’s more homework involved in thinking about your project than you imagined. But I don’t want you to get overwhelmed. Just take it a step at a time – that’s the only way to get from here to there. Give yourself time to think about your list and create it. Include everyone in the immediate family who has a stake in the outcome.

After you’ve got your lists of reasons, you’ll need to gather information to help you make an informed decision. Having information will give you peace of mind – I guarantee it! After your initial list, the next several pages of your notepad will be dedicated to gathering financial information about your existing home. Get ready to create another list!

What do you need to do to your home – deferred maintenance?

  • Roof repair or replacement?
  • Exterior painting?
  • Interior painting?
  • Plumbing leaks?
  • HVAC repair or replacement?

List #3

What do you want to do to your home to make it more liveable? This list is going to be easy, because I’ve done the work for you! You can get a free copy of the new and improved Homeowner Surveys that I originally created for my book, “THE Survival Guide: Home Remodeling.” The Homeowner Survey is a total of 27 pages and may take several days to complete. Once you have completed the Homeowner Survey , you can get a preliminary guesstimate from contractors about the range of your investment for what you want to do. If you want more than a guesstimate, here’s what you should do:

  1. Hire a professional designer to create as-built and proposed plans of your home. More details = higher fee. The fee could be as low as $2,500 or more than $6,000. We’ll talk about professional designers’ fees in another segment of “Today’s Home.”
  2. Pay a contractor for an estimate, based on your homeowner survey and the plans.

Homework Required: Buying A New Home

You’ll now have the first half of your question answered, how much you will need to invest to get what you need and want, to stay in your existing home.  The rest is relatively simple math. Here are the logical steps to help you arrive at a complete picture for your investment in a new home. Answer these questions:

  • What is your existing home worth, as is?
  • What’s the balance of your mortgage?
  • How many years before you own your home?
  • What do you pay monthly for your mortgage, taxes and insurance?
  • How much have you spent on fixing and repairing “deferred maintenance” in the past year or two? You can use the previous list about deferred maintenance that you created. If you haven’t spent anything on deferred maintenance, contact the contractor who did the estimate for home remodeling and get estimates for the necessary work.

Lists Complete! What’s Next?

Next, contact a trustworthy real estate agent or look online for comparables from recently-sold homes in your area that will help you answer these questions:

  • What can you reasonably get for your home as is or with minimum repairs?
  • How much will it cost to sell your home? Here’s what to include:
    • Capital gains or losses
    • Real estate fees
    • Closing costs
    • Moving costs
    • Contingencies and unforeseen emergencies

Now you’re ready to gather information about a new home. You can use the same Homeowner Survey to help you find a new home that fulfills your needs and wants. It’s great that there is so much information available online to help you define and decide where you want to move to, and how much you want to pay for a new home. In the greater Portland, Oregon area, I like the John L. Scott website that’s easy to navigate, but you may have a favorite.

Here’s a hint that will help you save information: In the past, what I’ve done to save information is to copy the url of a site and email it to myself with the same subject (i.e., “new home information,” etc.). Most of the real estate sales sites have information about your mortgage payment as it relates to your down payment. There may or may not be information about property taxes and insurance, but you can calculate that using your current mortgage based on the percentages. Write down your estimate for the monthly mortgage, taxes and insurance, then make comparisons:

  • What’s the difference between your new monthly payment and what you’re currently paying? Will your income support the move?
  • What’s the difference between remodeling your existing home and moving to a new home?

Next, weigh other factors, such as:

  • School location and reputation for quality education
  • Proximity to shopping, places of worship, parks and recreation, and public transportation
  • Your existing neighborhood compared to new neighborhoods

Make Your Decision: Remodel Your Existing Home, or Buy A New Home

After you’ve completed this exercise, you are armed with written information that will help you decide whether you should stay and remodel your existing home or move to a new home. It’s a big decision! The great thing about all of this documentation is that it prevents you from getting confused! Selling and buying homes, and home remodeling, is filled with emotions you never knew you had.

To avoid confusion and unwanted emotions, try your best to maintain a level-headed, logical approach. Don’t let anyone whip you into a frenzy of emotions to get you to do something that isn’t in your best long-term interest. This is the advice of a homeowner advocate with 35 years of experience. I’ve had four clients who decided to stay and remodel, and three who decided to move to a new home. My husband and I have done both: Stayed and remodeled, and moved to a new home. We know all about the emotional roller coaster ride to make an informed decision!

Bottom line: Whatever decision you make, your goal is to improve your life. I’m here to help you!

If you’re confused about whether to remodel your existing home or move to a new home, I can (and will) help you make the decision that’s right for you! Contact me to talk about your future.

Listen to the podcast about this subject!

P.S.: Don’t forget to order your free copy of the Homeowner Survey today!

Don’t Be Cheated by “Kickbacks” and “Referral Fees”!

by | Archive, Additions and New Homes, Contractors, Design Professionals, Remodeling Budget | 0 comments

Is Making Money with Kickbacks and Referral Fees That Important?

A custom cabinet manufacturer was upset about a designer who, after referring a remodeling project to him, asked for a referral fee. Unfortunately, getting/giving “kick-backs” is not a new practice. Does this practice bother you? Here’s how it impacts your remodeling investment, and what you can do about it. (more…)

Detailed Remodeling Plans — Why Bother?

by | Archive, Accessibility, Function, Safety, Sustainability, Technology, Additions and New Homes, Bathrooms and Kitchens, Building and Remodeling Plans, Design Professionals | 0 comments

 What Remodeling Plans Are, and How They Can Help You

If you’re thinking about, or planning to remodel your home, this article will help you. You’ll understand how detailed remodeling plans can help you achieve the best results and reduce chances for costly mistakes. You’ve heard the quote, “Those who fail to plan, plan to fail.” So true, especially regarding home remodeling plans. This information applies to every type of home improvement project:

  • Turn-key: all labor provided by a contractor.
  • Partial D-I-Y: specific labor provided by trade specialists, as needed.
  • Full D-I-Y: all labor provided by homeowners.

WHAT ARE DETAILED PLANS?

  • Translation of everything you want, spoken in contractors’ terms.
  • Dimensioned schematic drawings drafted to scale, usually 1/4” per foot, or 1/2” per foot.  Larger scale allows details to be shown more clearly.
  • Visual “GPS” that gives accurate directions, so everyone gets to the desired destination.
  • Scale and dimensions accurate to 1/8 inch. (more…)