How to Save Money on a Home Renovation

11 Tips to Save Money When Renovating Your Home

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If you live in a house that is 10 or more years old, it may be time to renovate it and give it an upgrade. You may need to remodel your kitchen, add more storage space or even have some landscaping done in your yard. But when you add the costs of all the small changes you want to make, renovating a home can prove to be quite expensive. 

That said, there are many tips and tricks that can help you save money on a home renovation and make it more budget-friendly. By following these strategies, you can keep your investments intact and need not put yourself through undue financial stress. 

11 Ways to Save Money on Home Renovation

Want to know more about how to save money on home renovations? Check out 11 ways to do this easily.

1. Get Multiple Quotes from Different Contractors

If you hire the first contractor you meet with, you can never be sure if you’ve gotten the best rates in the market. So, shop around for a renovation contractor. Talk to friends and family and ask them for some recommendations. 

Do some research online and shortlist the best professionals. Then, interview each of them and compare the quotes they offer, so you can choose the one that offers the most value overall. This is how you can save money on renovations even before they begin.

2. Go for the Second Best Premium-Looking Option

When you are deciding on the materials to use or the design to opt for, it can be tempting to choose the most expensive option on the list. However, that may not always be the best choice, either financially or practically. 

There are many other more affordable versions of the same thing, like doors or storage cabinets, for instance. They are just as good and don’t cost as much as the premium options either. So, if you want to learn how to save money on home renovations without compromising on the look, you can go for the second best premium-looking option. 

3. Not Everything Needs to be Changed

One of the best kept secrets about how to save money while renovating a house is that renovation is not about rebuilding your home entirely. Rather, it is about giving an upgrade to select areas of your space. So, you need not change or redo every nook and corner of each room. 

Instead, identify the areas that really need an upgrade, and focus on those spaces alone. If you still want to make the rest of your home look fresh, a new coat of paint may just do the job easily. Adding up the costs can help you save thousands or even Lakhs of rupees. 

4. Go for Secondhand Options

While some things need to be new when you renovate your home, you can opt for preloved or pre-used options in other areas. For instance, you can use new materials for your cabinets and structural additions, and then rely on secondhand furniture or appliances to reduce overall costs.

Today, there are many marketplaces, both offline and online, that sell trusted pre-used goods. You can shop around and find good secondhand options for your newly renovated home. This is another effective way to save money on home renovation.

5. Compare and Negotiate Home Renovation Loan Interest Rates 

To fund your home remodelling, you may need to avail a home renovation loan. The good news is home renovation loan interest rates, like your renovation quote itself, can vary from one lender to another. So, shop around for the best rates in the market to reduce the overall cost of borrowing. 

If you want to know how to save money on renovations. You can negotiate the interest rates on your home renovation loan with your lender. If you have a good CIBIL score and/or a long-standing relationship with the lending bank. Lower loan interest rates mean smaller EMI amounts, so you can save money in the long run.

6. Ask the Contractor if They Have Any Leftovers

One of the lesser known solutions to save money on home renovations involves reusing materials. If your contractor has any materials left over from their recent previous projects, you can ask to have them used in your home renovation instead. 

This can save you thousands of rupees that may otherwise go towards buying new materials for renovating your home. Your contractor can guide you better on which leftover materials may fit into your renovation project.

7. Make Use of the Tax Deductions Available

You may be aware that home loans offer tax benefits. But did you know that home renovation loans offer tax deductions too? Under section 24 of the Income Tax Act, 1961, you can claim a deduction up to Rs. 30,000 on the interest component repaid during the year. 

You can use this provision to your advantage and add it to your list of tips on how to save money while renovating a house. Remember that you can claim this benefit over and above the tax deduction available for home loan interest under section 24, up to Rs. 2 Lakhs. 

8. Buy Materials on a Sale/Discount

If your home renovation project is not highly time sensitive, it may be a good idea to wait a little for a big sale. Typically, during festivals or in the holiday season, you can find deep discounts on many top notch appliances, furnishings and fittings.

By putting off your remodelling till a sale like this comes along, you can get all your materials and fittings at much more affordable prices. The end result is that you can save money on home renovation by the thousands.

9. Make and Stick to a Renovation Budget

It always helps to have a plan. So, before you start your home remodelling project, take some time out to prepare a comprehensive home renovation budget. List down the things you want to change around the house and write down the estimated costs for each item. This will ensure that you don’t get carried away or go overboard in certain areas. 

Also, make a financial budget to see how much you can afford for the remodelling. Then, compare your renovation budget and your financial budget to see if they are aligned. If your renovation budget is more than what you can afford at the moment, cut down on some remodelling aspects to make the project more affordable.

10. Reuse and Recycle Items

You need not discard everything from your pre-renovation space. Many things like old furniture or fittings can be recycled or upcycled. You can then reuse them in your renovated space, thereby adding a touch of nostalgia too.

In addition to this, reusing and recycling items from your place can also help you to save money on renovations. Depending on what you recycle, you can bring down the budget by a good deal. 

11. Get Someone to Build your Furniture

A big part of renovating your home may involve getting new furniture for your old space. Buying new furniture today can cost you a dime, depending on the materials you choose. 

 

A more affordable option would be to get a local carpenter to build your furniture for you. You can even combine this tip with using recycled materials so that you can save in more than one way. 

 

The measures outlined above can help you make your home remodelling more affordable. And now that you know how to save money on home renovations, the next thing you need to focus on is sourcing the funds for your project. This is where a home renovation loan from Bajaj MARKETS can come to your rescue. With easy eligibility criteria and minimal documentation, home renovation loans from this platform can help you give your home a new look without any financial stress. 

 

Alternatively, if you think that simply renovating your home will not meet all of your requirements, you can even consider purchasing a bigger house and fund the difference with a home loan. All you will have to do is satisfy the Home Loan eligibility conditions and make sure that the home loan documents are at your disposal. The lending partners of Bajaj Markets will provide you a housing loan at affordable interest rates and flexible repayment tenure. So, if you think that buying a new house is the right move for you, you can apply for  home loan through Bajaj Markets now!