💌 What Really Goes Into a Renovation Budget
Dear Reader,
When most people picture a renovation budget, they think in broad strokes: cabinets, countertops, tile, and maybe labor. But the truth? A renovation budget is like an iceberg — there’s so much more below the surface.
One of the first lessons I learned as a general contractor is that numbers aren’t just numbers. A budget isn’t a scary spreadsheet meant to overwhelm you — it’s your roadmap. It tells the story of how your project will unfold, where the investments go, and what it will really take to bring your vision to life.
Take, for example, a kitchen project we completed not long ago. The client came in with a number in mind, based mostly on materials they’d seen priced online. But when we broke everything down in Phase 1 (our Pre-construction & Design process), they realized that labor, permits, specialty trades, and contingencies are what actually give the project structure. It was an eye-opening moment — not a bad one, but an honest one. And because we had clarity up front, there were no nasty surprises later.
Here’s what typically makes up a renovation budget:
Materials & Finishes: Cabinets, tile, flooring, countertops, paint, fixtures.
Labor: Skilled trades like carpentry, tile setters, painters, electricians, plumbers.
Permits & Inspections: Required approvals from your local jurisdiction (yes, even for bathrooms and kitchens).
General Requirements: Dumpster rentals, protection of existing floors, portable restrooms, insurance, project management time — all the invisible things that keep a site running.
Contingency: A safety net (10–15%) for the surprises hiding behind the walls.
The key is this: a budget is not about cutting corners, it’s about clarity. When you understand where the money goes, you get to make informed decisions. Maybe that means investing more in timeless cabinetry and less in trendy fixtures. Maybe it means deciding which upgrades are worth it now, and which can wait.
For me, the budget conversation is never just about dollars. It’s about building trust, aligning expectations, and making sure the process feels transparent from start to finish. Because the most successful renovations aren’t the ones that came in “cheap” — they’re the ones that came in clear.
With warmth (and a spreadsheet or two),
Gaby
Founder, Guild Properties
P.S. If you’re planning a renovation, start by asking not just “How much will it cost?” but “What’s included in that number?” The answer will tell you everything you need to know.