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How to Budget for a Home Renovation

August 12, 2025
Budget

Renovating your home in Los Angeles can be exciting, but costs can add up quickly if you’re not prepared. A clear budget will help you get the results you want without breaking the bank. Here’s a simple guide you can follow.

1. Decide What You Want to Renovate

Start by listing the rooms or areas you want to update. Are you remodeling the kitchen? Adding a bathroom? Updating the backyard? Knowing exactly what you want helps you focus your budget.

2. Set a Realistic Budget

Renovation costs in LA can vary a lot depending on the size of the project, the materials you choose, and labor rates.

  • For small projects, set aside $10,000–$25,000.
  • For bigger projects, plan for $50,000 or more.
  • Always add 10–15% extra for unexpected costs.

3. Get Multiple Estimates

Contact at least three licensed contractors to compare prices. Make sure each estimate covers the same scope of work so you’re comparing apples to apples.

4. Prioritize Needs Over Wants

It’s tempting to go all out but start with the most important fixes first—like plumbing, electrical, or structural repairs—before spending on luxury upgrades.

5. Understand All the Costs

Your budget should include:

  • Labor (contractor, electrician, plumber, etc.)
  • Materials (tiles, flooring, cabinets, fixtures)
  • Permits (especially important in Los Angeles)
  • Design fees (if using an architect or designer)
  • Unexpected repairs

6. Plan for Permits and Inspections

In Los Angeles, many renovations require permits, which can cost hundreds or even thousands of dollars. Skipping them can lead to fines or delays, so plan for them in your budget.

7. Track Your Spending

Keep a simple spreadsheet or use an app to track every payment. This will help you spot overspending early.

8. Work with Professionals You Trust

Hiring a reliable, licensed contractor can actually save you money by avoiding mistakes and delays.

At Coleman Build, we help Los Angeles homeowners renovate with confidence—on time, on budget, and with results you’ll love. If you’re ready to start your project, we’re here to guide you every step of the way.