Creating a Budget for Your Kitchen Renovation

Kitchen renovations tend to be expensive. Depending on the size and complexity of your upgrade, you can expect to spend tens of thousands of dollars. So how can you pay for it? Most people don’t usually have that kind of extra cash lying around.

You can always apply for a bank loan. You may even be able to get a loan based on the equity you already have in your home’s mortgage. But if you have a little time and patience, you may be able to save some or all of the cost of your renovation by creating a kitchen renovation budget.

Kitchen Renovation Budget

Let’s say you don’t need your kitchen renovation immediately. Perhaps you can wait a year or two, or even longer. That gives you enough time to set aside money for your upgrade without having to take out a loan.

The first step is to estimate how much money you actually will need. This requires a few decisions: Do you want to completely replace your kitchen or only partially renovate it? Will you need new appliances? What about new walls or windows? Answering these questions lets you consult an expert who can give you an estimate of what your kitchen renovation is likely to cost. Once you have that, you can start saving.

Mr. Kitchen

All you need to do then is to divide the amount you need by the number of months before you want to start your kitchen renovation. For example, if your budget is $25,000 and you can wait two years, you will need to set aside about $1,000 per month.

Creating a budget and saving for your kitchen upgrade will save you money in the long run because you won’t have to pay interest on a loan. It also gives you something to look forward to: A new and exciting kitchen that both improves your daily life and makes your home worth more.