Trying to find a single answer to “how much does a full home renovation cost?” is like guessing the price of a car without knowing the make or model. The final number really comes down to the specifics. A project that keeps the existing layout will always be more affordable than one that involves moving walls and plumbing. Likewise, your choice of materials—from stock cabinets to custom millwork—plays a huge role. This guide will walk you through the different factors that influence your total investment, helping you build a realistic budget for your Chicagoland renovation.
Key Takeaways
- Focus on the Three Main Cost Drivers: Your total investment comes down to the project’s scope, your material choices, and labor complexity. Understanding how these three factors influence the final price allows you to budget effectively and prioritize what matters most.
- Plan for the Unseen: A home renovation, especially in an older house, can reveal unexpected issues. Setting aside a 15-20% contingency fund is a smart strategy to handle surprises without derailing your project or your finances.
- Invest in a Professional Partner: Choosing an experienced contractor is about protecting your investment. A skilled team prevents costly errors, manages complex schedules, and ensures a high-quality result, which saves you money and stress in the long run.
What Will a Full Home Renovation Cost You?
Thinking about a full home renovation is incredibly exciting—it’s your chance to create a space that truly feels like you. But before you start picking out paint colors and finishes, it’s important to talk about the budget. The truth is, there’s no single price tag for a home renovation. The final cost depends entirely on your home’s size, the scope of your project, the materials you choose, and even where you live in the Chicagoland area.
Understanding the potential investment is the first step toward planning a successful project that runs smoothly and meets your expectations. Think of it less as a cost and more as an investment in your home’s value and your daily quality of life. When you have a clear financial picture, you can make confident decisions, prioritize what matters most, and work effectively with your contractor to bring your vision to life. To give you a clearer picture, let’s break down some typical cost ranges and explore what separates a budget-friendly update from a high-end transformation.
How Home Size Affects Your Renovation Budget
One of the most straightforward ways to estimate renovation costs is by looking at the size of your home. For a complete renovation of a 2,000-square-foot house, you can generally expect the cost to fall between $100,000 and $200,000. This range typically covers a comprehensive overhaul, including updates to multiple rooms, new flooring, and fresh paint throughout.
If you’re planning a more modest project with budget-conscious materials, you might see costs starting around $75,000. On the other hand, for a high-end renovation with luxury finishes, custom millwork, and significant structural changes, the investment can easily exceed $250,000. These figures are a helpful starting point to frame your budget and begin the conversation.
Budget vs. Luxury: What to Expect for Your Renovation Cost
Looking at the cost per square foot can give you a more detailed perspective. On average, a full home renovation can range from $100 to $400 per square foot. A project on the lower end of this scale might involve keeping your home’s existing layout and focusing on cosmetic updates. A high-end project often includes reconfiguring walls, installing custom cabinetry, and selecting premium materials and appliances.
For specific rooms, the difference is even clearer. A minor kitchen remodel might cost between $23,000 and $35,000, while a high-end project can top $75,000. Similarly, a simple bathroom remodeling project can range from $7,000 to $12,000, but a primary bathroom with custom features could be $25,000 to $40,000 or more.
What a Specific Budget Can Achieve
So, what can you actually accomplish with a specific budget? Let’s translate those numbers into real-world results. For a complete renovation of a 2,000-square-foot house in the Chicago area, a budget between $100,000 and $200,000 is a common starting point. This range typically covers a comprehensive project—think updating multiple rooms, laying new flooring, and a fresh coat of paint throughout. If you’re focused on more cosmetic updates and budget-friendly materials, your investment might be closer to $75,000. On the flip side, if your dream home includes luxury finishes and significant structural changes, you could be looking at $250,000 or more. Seeing examples can really help, so I recommend browsing a project gallery to visualize what different investment levels can achieve.
Another way to think about it is on a per-square-foot basis, which can range from $100 to $400. A project at the lower end of that scale usually means we’re keeping the existing layout and focusing on surface-level changes—perfect for a fresh, modern update. As you move toward the higher end, you’re getting into more complex work. This is where our design and build services come in, helping you reconfigure walls, relocate plumbing, and integrate premium materials throughout the home. This approach gives you a more tailored way to estimate costs based on the intensity of the work you’re planning.
When we zoom in on specific rooms, the budget really defines the scope. For a kitchen remodel, a more straightforward update might fall between $23,000 and $35,000. But if you’re dreaming of a gourmet kitchen with custom features, the investment can easily surpass $75,000. The same logic applies to bathrooms. A simple refresh of a guest bath could be in the $7,000 to $12,000 range, while a primary bathroom renovation that feels like a spa retreat can cost $25,000 to $40,000 or more. Understanding these ranges helps you set clear priorities and ensures your investment aligns perfectly with your vision for your home.
What Factors Drive Your Renovation Costs?
Trying to pin down the cost of a home renovation can feel like trying to guess the number of jellybeans in a jar—there are just so many variables. The final price tag on your project isn’t a single number but a range determined by a few key elements. Understanding these factors from the start helps you create a realistic budget and make informed decisions along the way. A full home renovation involves more than just picking out new paint colors; it’s a complex process where every choice has a ripple effect on the total cost.
From the sheer size of your project to the specific tiles you choose for the bathroom floor, each decision contributes to the bottom line. The main drivers behind your renovation costs are the project’s scope, the quality of materials you select, the level of craftsmanship required, and even your specific location within the Chicagoland area. Let’s break down what each of these means for your budget.
How Project Scope Impacts Your Final Bill
The single biggest factor determining your renovation cost is the scope of the work. Are you planning a simple cosmetic refresh for your kitchen, or are you tearing down walls to create an open-concept living space? A project that keeps the existing layout will always be more affordable than one that requires reconfiguring plumbing, electrical, and structural supports. The type of remodel you choose has a major impact on the overall cost because different projects vary so much in complexity. A sprawling home addition will naturally have a much higher price tag than a straightforward basement finishing project. The more square footage and complexity involved, the more you can expect to invest.
The Role of Material Quality in Your Budget
After the project’s scope, your material selections have the most significant impact on the budget. This is also where you have the most control. For every element of your home, there is a wide spectrum of materials at different price points. Think stock cabinets from a big-box store versus custom-built cabinetry, or laminate countertops versus natural quartzite. While it can be tempting to choose the most budget-friendly options, it’s important to consider durability and long-term value. High-quality materials often last longer and perform better, saving you money on future repairs. You can see a wide range of finishes and styles in our project gallery to get a better idea of what you like.
Factoring in Labor and Contractor Costs
When you hire a professional contractor, you’re paying for more than just physical labor. You’re investing in experience, project management, and peace of mind. Most remodeling cost overruns aren’t caused by splurging on fancy fixtures; they come from missed details, incorrect sequencing, and overlooked structural issues. An experienced general contractor foresees these potential problems and manages the entire process to keep your project on track and on budget. Their expertise in coordinating skilled tradespeople, from plumbers to electricians, ensures the work is done correctly and to code. This level of professional design and build service is what prevents small issues from turning into costly disasters.
Understanding Labor’s Share of the Budget
When you start mapping out your renovation budget, it’s important to understand that labor is a major piece of the puzzle, often making up 30% to 50% of the total cost. This isn’t just for the hands-on work; it covers the expertise, coordination, and management that ensure your project runs smoothly. The exact percentage depends on the complexity of your project. For example, a straightforward cosmetic update will have lower labor costs than a major home renovation that involves moving walls or re-routing plumbing. Investing in skilled professionals is about more than just getting the work done—it’s about getting it done right and protecting your home.
A professional contractor brings invaluable experience to the table, preventing the kind of small mistakes that can turn into expensive problems. They manage the entire timeline, coordinate different tradespeople like plumbers and electricians, and make sure every detail adheres to local building codes. This oversight is what keeps your project on schedule and within budget, saving you from the stress of managing it all yourself. By hiring an experienced team, you’re investing in a seamless process and a high-quality result that will stand the test of time, ultimately saving you money and headaches down the road.
How Your Chicagoland Location Affects Pricing
Where you live in the Chicagoland area also plays a role in your total renovation cost. Different suburbs and neighborhoods have their own building codes, permit fees, and logistical challenges that can affect the price. For example, working in a dense area might involve tighter restrictions on work hours, parking, and material deliveries compared to a more spacious suburban lot. A local contractor who is familiar with the specific regulations in your town can handle these nuances efficiently, preventing delays and unexpected fines. This local knowledge is invaluable for ensuring your project runs smoothly from start to finish.
Quantifying the “Location Factor”
While it’s tough to put an exact percentage on it, you’ll see the “location factor” pop up in two main areas: permit fees and project logistics. Permit costs can vary quite a bit from one suburb to another; what’s required in Naperville might be completely different from the regulations in Lincoln Park. Beyond the paperwork, the practical side of working on your home also influences the price. A project in a dense city neighborhood could require special parking permits for trucks and careful scheduling for material deliveries, adding to the project management cost. This is where deep local knowledge is so important. An experienced contractor who has completed projects across Chicagoland will know exactly how to account for these local details, ensuring your budget is accurate from the start. If you’re curious about the specifics for your town, the best approach is to request an estimate that’s tailored to your home.
How Long Will Your Renovation Take? Project Timelines
Beyond the budget, the project timeline is often the biggest question on a homeowner’s mind. Knowing how long your daily life will be disrupted is crucial for planning, especially when it involves essential spaces like your kitchen or primary bathroom. While every project is unique, understanding the typical timeframes for different types of renovations can help you set realistic expectations. The timeline for any remodel is influenced by its complexity, the availability of materials, and the potential for uncovering surprises behind the walls—something that’s not uncommon in older Chicagoland homes. This is where careful planning and professional project management make all the difference in keeping things moving forward smoothly.
A well-managed schedule is the backbone of a successful renovation. It ensures that materials are ordered on time, tradespeople arrive in the correct sequence, and potential delays are addressed before they become major setbacks. While the timelines below provide a general guide, the best way to understand the schedule for your specific project is to discuss it with an experienced contractor. They can create a detailed plan that accounts for every phase of your renovation, from initial design to the final walkthrough. Let’s look at what you can generally expect for some of the most common remodeling projects.
Kitchen Remodel Timeline
A kitchen remodel is one of the most transformative projects you can undertake, but it also puts the heart of your home out of commission for a while. For a smaller, more cosmetic update, the construction phase can take between four to eight weeks. However, for a major renovation that involves reconfiguring the layout, moving plumbing, and installing custom elements, the entire process from design to completion can take closer to five months. This longer timeframe accounts for the detailed design phase, ordering custom cabinets and appliances which can have long lead times, and the construction itself. A clear plan ensures that once demolition begins, the project progresses efficiently toward the finish line.
Bathroom Remodel Timeline
Even though bathrooms are typically smaller spaces, their renovation timelines can vary quite a bit. A simple powder room refresh might be completed in two to four weeks. For a more comprehensive bathroom remodel, you should plan for about three to six weeks. A project that involves moving fixtures, intricate tile work, and custom glass enclosures will naturally fall on the longer end of that spectrum. Bathrooms are complex spaces with overlapping plumbing, electrical, and waterproofing systems that all need to be coordinated perfectly. This careful sequencing is essential for a durable, high-quality result and is a key reason why professional oversight is so valuable for even a seemingly small project.
Home Addition Timeline
Building a home addition is a major undertaking that involves nearly every aspect of construction, from foundation to roofing. Because of this complexity, the timeline is significantly longer than an interior remodel. You can generally expect a home addition to take between three to six months to complete. This process includes architectural design, securing permits from your local municipality, excavation and foundation work, framing, and then finishing both the interior and exterior. When contractors and materials are all aligned perfectly, a major addition can be completed in about 90 to 120 days. This extended timeline reflects the reality of building a brand-new structure and seamlessly integrating it with your existing home.
Where Does the Money Go? The Most Expensive Rooms to Renovate
When you plan a full home renovation, the budget isn’t spread evenly from room to room. Some spaces demand a much larger piece of the pie due to their complexity, materials, and the specialized labor required to get them right. Understanding where your money is likely to go is the first step in creating a budget that reflects the reality of your project.
It’s no surprise that kitchens and bathrooms consistently top the list of most expensive renovations. These rooms are the functional heart of your home, involving intricate systems like plumbing and electrical, expensive fixtures, and custom cabinetry. Following closely are projects that add new square footage, like basement finishing and home additions. Let’s break down what makes these areas the biggest investments in your home.
The Kitchen: Your Biggest Budget Item
The kitchen is often the most expensive room to remodel because it’s a high-traffic, multi-functional space packed with specialized components. From cabinets and countertops to appliances and lighting, every element requires careful planning and installation. A complete kitchen remodeling project involves electricians, plumbers, cabinet installers, and other skilled tradespeople working in a coordinated effort. A minor refresh might cost between $23,000 and $35,000, while a major, high-end renovation with custom features and a new layout can easily exceed $75,000. The final cost depends entirely on the scope, materials, and appliances you choose for your dream kitchen.
Budgeting for Your Bathroom Remodel
Like kitchens, bathrooms are complex spaces that require a significant investment. They pack plumbing, electrical, and ventilation into a small footprint, and the work is often detailed and meticulous. Tiling, waterproofing, and installing fixtures like vanities, showers, and tubs all contribute to the cost. A small guest bathroom remodeling project can range from $7,000 to $12,000, while a primary bathroom with custom features, a double vanity, and high-end tile can run from $25,000 to $40,000 or more. These costs cover the specialized labor and quality materials needed to create a beautiful and durable space that stands up to daily use.
The Cost of Adding More Living Space
Projects that create new living space, like finishing a basement or building an addition, are also major budget items. A basement remodeling project transforms an unfinished area into a functional part of your home, requiring framing, insulation, drywall, electrical, and plumbing. Similarly, home additions involve creating a new structure from the ground up, including a foundation, roofing, and integrating it seamlessly with your existing home. Adding a new room, such as a bedroom or office, can cost anywhere from $20,000 to $50,000, with the price increasing based on the size and complexity of the project.
Don’t Forget These ‘Behind the Walls’ Costs
Some of the most significant costs in a renovation are for work you can’t even see. The structural, electrical, and plumbing systems are the bones of your house, and bringing them up to modern code is non-negotiable for safety and function. In older Chicagoland homes, this can mean replacing outdated knob-and-tube wiring, upgrading plumbing lines, or even reinforcing structural beams. These “behind-the-walls” updates are critical for the success of your home renovations and are a major factor in the overall budget, often accounting for a substantial portion of the total expense.
Planning for the Unexpected: Common Hidden Renovation Costs
Even with a perfect plan, home renovations can come with a few surprises. That’s why a successful project isn’t just about budgeting for what you know you need, but also planning for the unexpected. These “hidden” costs aren’t meant to be deceptive; they’re simply variables that can pop up during a complex project. Building a contingency fund of 15-20% into your total budget is the best way to handle these issues without stress. It gives you a financial cushion to deal with anything from discovering old wiring to deciding on a last-minute upgrade. A professional design and build team will help you anticipate these potential costs from the start, ensuring your project stays on track and within a realistic budget.
Budgeting for Permits and Local Fees
Navigating building permits can feel complicated, but it’s a non-negotiable step in any significant home renovation. These permits ensure your project meets local safety, zoning, and construction codes. Some homeowners are tempted to skip this step to save time or money, but in the Chicago area, that approach usually backfires. Working without the proper permits can lead to hefty fines, stop-work orders that halt your project indefinitely, and the expensive task of redoing work to meet code. An experienced general contractor handles the entire permitting process for you, making sure all paperwork is filed correctly and your renovation is fully compliant from day one.
What Might Be Hiding in Your Walls?
Chicagoland is full of beautiful, historic homes, but their age can also bring a few surprises. Older homes often hide unexpected issues behind their walls. During demolition, it’s not uncommon to find problems like outdated electrical systems, hidden plumbing leaks, or even mold that needs to be addressed before the new work can begin. While our team at THP Builders conducts a thorough inspection, some issues are impossible to see until the walls are open. Factoring in some extra budget for these potential discoveries is especially important when planning home renovations in an older property, as it ensures these necessary repairs don’t derail your project.
Specific Risks in Older Chicagoland Homes
The character and history of older Chicagoland homes are a huge part of their appeal, but that history can also conceal some challenges. As we begin demolition, it’s not unusual to find that the home’s original systems are well past their prime. These aren’t just minor quirks; they are often significant issues related to the home’s core electrical, plumbing, and structural integrity. Addressing these problems isn’t just a good idea—it’s essential for the safety and longevity of your home. A professional contractor anticipates these possibilities and builds a plan that addresses them head-on, ensuring your new space is built on a solid, safe foundation.
Outdated Knob and Tube Wiring
If your home was built before the 1950s, there’s a good chance it has or once had knob-and-tube wiring. This early electrical system was effective for its time, but it wasn’t designed to handle the demands of modern life. It lacks a ground wire, a critical safety feature, and its insulation can become brittle over time, creating a fire hazard. During a home renovation, replacing outdated knob-and-tube wiring is a non-negotiable step toward ensuring your home is safe and up to code. This upgrade is a crucial “behind-the-walls” investment that protects your family and your property for years to come.
Aging Cast Iron Plumbing
Just like the electrical system, the plumbing in older homes has a finite lifespan. Many homes in our area were built with cast iron drain pipes, which were durable for their time but are prone to corrosion after 50 to 70 years. Over the decades, these pipes can rust from the inside out, leading to cracks, blockages, and hidden leaks that can cause significant water damage and mold growth. Upgrading these plumbing lines during a bathroom or kitchen remodel is a smart move that prevents future emergencies and ensures your new fixtures function perfectly without the risk of slow drains or backups.
Foundation Problems
While less common, discovering a foundation issue can be one of the most significant hidden costs in a renovation. Over time, settling can cause cracks in the foundation, leading to uneven floors, sticking doors, and other structural problems. These issues must be addressed before any major cosmetic work can begin, especially for projects like a home addition that adds significant weight to the existing structure. Reinforcing structural beams or repairing the foundation is a complex job, but it’s absolutely critical for the long-term stability of your home and the success of your entire renovation investment.
How to Handle Fluctuating Material Costs
The cost of materials like lumber, tile, and fixtures can change based on market demand and supply chain availability. It’s important to know that material prices can fluctuate, which can affect your overall budget, especially on a long-term project. Lead times are another factor to consider; custom cabinets or specific countertops might take weeks or even months to arrive. Planning for these variables is key. We work with trusted suppliers to secure the best pricing and keep you informed of any potential delays, helping you make timely decisions to keep your project moving forward smoothly.
Do You Need to Budget for a Place to Stay?
Depending on the scale of your renovation, your home might become a construction zone that’s difficult to live in. For a major kitchen remodel or a project involving multiple rooms, you may need to arrange for temporary living accommodations. This could mean a short-term rental, an extended hotel stay, or even just budgeting for more meals out if your kitchen is out of commission. Thinking through these logistics ahead of time and including them in your total budget can be the difference between a stressful experience and a smooth one. It’s a practical step that prepares you for the temporary disruption while your dream home comes to life.
Breaking Down Your Kitchen Remodel Costs
The kitchen is often called the heart of the home, and for good reason. It’s where you cook, gather, and make memories. It’s also one of the most complex and significant investments in a full home renovation. A successful kitchen remodel involves a careful balance of aesthetics, function, and budget. The final price tag is a sum of many parts, from the big-ticket items you see to the crucial work hidden behind the walls. Let’s look at where the money typically goes.
Cost Breakdown by Quality Level
The cost of a kitchen remodel isn’t one-size-fits-all; it scales directly with your vision. The final investment depends heavily on the quality of materials you choose and the complexity of the work involved. Are you looking for a functional refresh with smart, stylish updates, or are you dreaming of a complete transformation with custom features and a brand-new layout? Both paths lead to a beautiful new kitchen, but they follow very different budgetary roads. Understanding the difference between a mid-range and a high-end project will help you align your goals with a realistic budget. Let’s break down what you can typically expect to achieve at these two common investment levels.
Mid-Range Kitchen Remodel Costs
A minor or mid-range kitchen remodel might cost between $23,000 and $35,000. Think of this as a significant refresh that dramatically improves the look and feel of your space without major structural changes. This budget typically covers replacing the essentials: new semi-custom cabinets, quality countertops like quartz, a new sink and faucet, and a stylish backsplash. It also generally includes new, energy-efficient appliances and updated flooring. The key here is that you’re working within your kitchen’s existing footprint. By keeping the plumbing and electrical in their current locations, you can achieve a stunning new kitchen while managing labor costs effectively.
High-End Kitchen Remodel Costs
When your vision involves changing the entire layout, moving walls, or incorporating luxury materials, you’re moving into a high-end renovation. A major, high-end project with custom features can easily exceed $75,000. This investment allows for a complete transformation, including custom-built cabinetry, premium stone countertops, professional-grade appliances, and intricate tile work. It also covers the complex labor involved in reconfiguring plumbing and electrical systems to create a more functional layout, like adding a large island with a prep sink. This level of project is where a comprehensive design and build service becomes essential to manage all the moving parts and create a truly bespoke space.
Where Your Cabinet and Countertop Money Goes
Your cabinets and countertops are the visual anchors of your kitchen, and they usually represent the largest portion of your budget. The cost can vary dramatically based on your choices. Stock cabinets from a big-box store are the most affordable option, while semi-custom and fully custom cabinets offer endless personalization at a higher price point. Similarly, countertop materials range from budget-friendly laminate to mid-range quartz and high-end natural stones like marble or granite. Using premium materials can easily double this part of your project’s cost, so it’s a key area where your decisions will shape the overall budget. You can explore our project gallery to see how different material choices come to life.
Choosing Your Appliances and Fixtures
Next up are the appliances and fixtures that make your kitchen work. This category includes everything from your refrigerator and oven to your sink, faucet, and lighting. The price range here is incredibly wide—you can choose standard, reliable models or opt for professional-grade, smart appliances with all the latest features. It’s important to remember that the cost isn’t just the item itself. Labor is a major factor, as installing these items requires skilled professionals. Coordinating plumbers and electricians for proper installation is a critical step that a design and build team manages to ensure everything works perfectly and safely.
Plumbing and Electrical: The Kitchen Essentials
What’s happening behind your walls is just as important as what you see on the surface. If your new kitchen layout involves moving the sink or dishwasher, you’ll need a licensed plumber to reroute the supply and drain lines. The same goes for electrical work. Adding an island with outlets, installing under-cabinet lighting, or upgrading to a powerful new range hood all require a qualified electrician. In many older Chicagoland homes, a kitchen remodel is the perfect time to address outdated systems. This might mean upgrading the wiring or adding a new breaker box to handle modern appliances safely, ensuring your beautiful new kitchen is up to code and built to last.
What to Budget for Your Bathroom Renovation
After the kitchen, the bathroom is often the next most important—and expensive—room to tackle in a home renovation. It’s a small space that packs a big punch in terms of complexity and cost. Why? Because bathrooms are a hub of plumbing, electrical wiring, and specialized fixtures, all packed into a compact area that demands detailed, moisture-proof work. From intricate tile patterns to perfectly sealed shower doors, every element requires precision.
When you start planning your bathroom remodeling project, it’s helpful to break the budget down into key categories. The final price tag will depend heavily on whether you’re doing a simple cosmetic update or a full gut renovation that involves moving walls and plumbing. The size of your bathroom and the quality of the materials you select are also major factors. A high-end primary suite with a freestanding tub and custom vanity will naturally cost more than a simple powder room refresh. Understanding where your money is likely to go will help you make informed decisions and create a space you love without unexpected financial stress.
Cost Breakdown by Quality Level
The term “bathroom remodel” can mean a lot of different things, from a simple refresh to a complete overhaul. To get a better handle on your potential budget, it helps to think in terms of quality levels. This isn’t just about choosing between basic and luxury finishes; it’s about the scope of the work and the long-term value you want to create. A mid-range project might focus on smart, stylish updates within the existing footprint, while a high-end renovation aims to create a custom, spa-like experience. Understanding the difference helps you align your vision with a realistic financial plan.
Mid-Range Bathroom Renovation Costs
For a mid-range project, like updating a guest bathroom or a secondary hall bath, you can typically expect the investment to be between $7,000 and $12,000. This budget generally covers a cosmetic update where the layout stays the same, which is a great way to avoid the higher costs of moving plumbing and electrical lines. You can achieve a beautiful transformation with quality materials like a new vanity, stylish ceramic tile, and updated fixtures. This approach is perfect for a functional and beautiful bathroom remodeling project that improves your home’s appeal without the expense of a full gut renovation.
High-End Bathroom Renovation Costs
When you’re dreaming of a primary suite that feels like a personal spa, you’re looking at a high-end renovation. These projects typically range from $25,000 to $40,000 or more, reflecting a complete transformation. This budget allows for reconfiguring the layout, installing luxury features like a freestanding tub or a spacious walk-in shower, and using premium materials such as natural stone and custom vanities. It’s an investment in creating a truly personalized retreat designed for comfort and relaxation. You can see some stunning examples of what this level of investment can achieve in our project gallery.
Setting a Budget for Tile and Fixtures
The elements you see and touch every day—the fixtures and tile—make up a significant portion of your bathroom budget. Costs can range dramatically based on your taste and priorities. For example, you can choose a standard, budget-friendly toilet or opt for a high-tech smart toilet with a heated seat. The same goes for sinks, faucets, and showerheads.
Tile is another area where your choices have a big impact. Classic ceramic or porcelain tiles are often more affordable, while natural stone like marble or custom mosaic designs will be on the higher end. Remember to factor in the cost of labor for installation, as detailed and complex tile work requires a skilled hand. These are the finishes that define your bathroom’s style, so it’s worth exploring our gallery to see what materials and fixtures inspire you.
Updating Your Bathroom’s Plumbing and Electrical
Behind those beautiful new walls and tiles lies the complex network of plumbing and electrical systems. This is where a professional’s expertise is absolutely critical. If you plan to keep your toilet, sink, and shower in their current locations, the plumbing costs will be much lower. However, if your dream layout involves moving fixtures, your contractor will need to reroute pipes, which adds significant labor and material costs to the project.
Similarly, electrical work is a key budget item. Adding new lighting, like sconces beside the vanity, recessed lights in the shower, or a heated floor, requires a licensed electrician to run new wiring safely and up to code. Upgrading your outlets to GFCI (ground-fault circuit interrupter) outlets is also a standard safety measure in any modern bathroom remodeling project.
Why Proper Ventilation is a Must-Have
It might not be the most glamorous part of your renovation, but proper ventilation is one of the most important. A high-quality, correctly sized exhaust fan is your best defense against moisture buildup, which can lead to mold, mildew, and long-term damage to your walls and ceiling. Skimping on ventilation can result in costly repairs down the road.
Your budget should include a good fan and the labor to install it and ensure it’s vented correctly to the outside—not just into the attic. Building codes in Chicagoland have specific requirements for bathroom ventilation, and a professional contractor will ensure your new space is compliant. Investing in proper ventilation protects your renovation and your family’s health, making it a non-negotiable part of any well-planned design and build service.
Beyond the Interior: Budgeting for Exterior and System Upgrades
A truly comprehensive home renovation goes beyond beautiful interiors. It also addresses the essential systems and the protective shell of your house. These upgrades—like a new roof, siding, or windows—are crucial for your home’s safety, energy efficiency, and long-term value. While they might not be as exciting as picking out a new backsplash, investing in your home’s exterior and core systems protects all the beautiful work you’re doing inside. These projects are foundational to a successful home renovation, ensuring your house is not only stylish but also secure and sound for years to come. Budgeting for these elements from the start prevents them from becoming costly surprises down the line.
Roofing Replacement Costs
Your roof is your home’s first line of defense against the elements, and its condition is critical to protecting everything underneath it. If your roof is nearing the end of its lifespan, it’s wise to include its replacement in your renovation budget. A new roof typically costs between $8,000 and $15,000, depending on the size of your home and the materials you choose. This investment prevents potential water damage, improves insulation, and gives you peace of mind. It’s a foundational part of any major renovation that ensures the longevity and safety of your entire home structure.
Exterior Siding Costs
New siding can completely transform your home’s curb appeal while also improving its energy efficiency. It’s a major exterior upgrade that makes a powerful first impression. The cost for new siding generally ranges from $10,000 to $20,000, with the final price depending on the material you select and the size of your home. From classic vinyl to durable fiber cement, the right siding not only enhances your home’s aesthetic but also adds a layer of insulation, which can help lower your energy bills. It’s an investment in both the look and performance of your home.
New Window Costs
Replacing old, drafty windows is one of the smartest upgrades you can make during a renovation. New windows can dramatically improve your home’s energy efficiency, reduce outside noise, and fill your rooms with more natural light. The investment for new windows typically falls between $8,500 and $20,000, based on the number of windows and the materials you choose. While it’s a significant expense, the long-term savings on your heating and cooling bills, combined with the improved comfort and aesthetic, make it a worthwhile part of any complete home renovation.
Electrical and Plumbing System Updates
What’s behind your walls is just as important as what you see. In many older Chicagoland homes, a renovation is the perfect opportunity to update outdated electrical and plumbing systems. This is a matter of safety and function. Upgrading electrical systems can cost between $8,000 and $15,000, while plumbing updates typically range from $5,000 to $12,000. These projects ensure your home can safely handle modern appliances and that your plumbing is reliable, preventing future leaks and costly water damage. This is where a professional contractor is essential to ensure all work is done to code.
Which Renovations Offer the Best Return on Investment (ROI)?
When you invest in a home renovation, you’re not just creating a more beautiful and functional space for yourself—you’re also potentially increasing your home’s market value. Return on investment, or ROI, is a way to measure how much of your renovation costs you might recoup if you decide to sell your home. While some projects are known for their high financial returns, it’s important to remember that the best renovation is one that improves your quality of life. The true value of a project is a blend of financial gain and the daily enjoyment you get from your new space. A thoughtful design and build service can help you balance both of these goals.
High-ROI Projects
If financial return is a top priority, focus on the rooms that buyers value most. Year after year, kitchen remodeling and bathroom updates consistently offer the best ROI. These are the functional heart of the home, and updates in these areas have a major impact on a home’s appeal. A well-executed kitchen remodel can often recoup 80% to 90% of its cost at resale. Similarly, a bathroom renovation is a smart investment that buyers notice. By focusing your budget on these high-impact spaces, you’re making a strategic choice that pays off both in daily use and long-term value.
Lower-ROI Projects to Consider Carefully
Some projects are more about personal enjoyment than financial return. For example, adding a large primary bedroom suite is a wonderful luxury, but it typically offers a lower ROI, often between 46% and 56%. This doesn’t mean it’s a bad project—it just means you should go into it with the right expectations. These types of home additions are perfect for homeowners who plan to stay in their house for many years and will get daily value from the extra space and comfort. It’s about investing in your lifestyle first and considering any potential resale value as a secondary benefit.
How to Create a Realistic Renovation Budget
A realistic budget is your roadmap to a successful renovation. It’s more than just a spreadsheet of costs; it’s a plan that aligns your vision with your finances, preventing stress and surprises down the line. By taking a few key steps, you can create a budget that feels manageable and sets your project up for success from day one. Here’s how to get started.
Why You Need More Than One Contractor Quote
The first step to building an accurate budget is understanding what the work will actually cost. Plan to interview at least three reputable contractors and ask each for a detailed, itemized quote. A single lump-sum figure isn’t enough—you need a breakdown of costs for labor, materials, and other expenses. This allows you to compare offers fairly and see exactly where your money is going. A trustworthy contractor will be transparent with their pricing and schedule. Be sure to also check their license, insurance, and what past clients have to say by reading their customer reviews.
Define Your ‘Must-Haves’ vs. ‘Nice-to-Haves’
Clear communication is the key to keeping your project on track and on budget. Before any work begins, have an in-depth conversation with your contractor about your expectations for the project. This includes the scope of work, the specific materials you want, and the timeline. A great contractor will keep you in the loop about progress and any potential challenges, like material delays. Working with an integrated design and build firm can make this even easier, as your design and construction teams are on the same page from the very beginning, ensuring your vision is executed perfectly.
Always Plan for the Unexpected with a Contingency Fund
No matter how well you plan, home renovations can come with surprises, especially in older Chicagoland homes. That’s why a contingency fund is an absolute must. This is a portion of your budget—typically 15% to 20% of the total project cost—set aside exclusively for unexpected expenses. This could be anything from discovering hidden water damage behind a wall to needing to update old wiring. Think of it as a financial safety net. Having this fund in place gives you peace of mind and ensures that a surprise issue won’t derail your entire project.
Don’t Get Surprised by Permit and Inspection Fees
Permits and inspections are a necessary part of most major home renovations. While it can be tempting to skip this step to save a little money or time, doing so can lead to major headaches, including fines, stop-work orders, and having to tear out completed work. These costs should be factored into your budget from the start. An experienced general contractor will know exactly which permits your project requires and will manage the entire application and inspection process for you. This not only ensures your renovation is safe and up to code but also saves you from a lot of complicated paperwork.
Typical Permit Cost Ranges
The cost of a building permit can vary quite a bit depending on where you are in Chicagoland and the scale of your project. Generally, you can expect permit fees for a residential remodel to fall somewhere between $500 and $3,000. For more specific projects, a kitchen remodel permit might cost between $500 and $1,500, while a bathroom permit could be in the $200 to $1,000 range. These fees cover the administrative costs for your local municipality to review your plans and conduct inspections. While it’s an added expense, it’s a crucial one that ensures your home is safe and sound. A professional contractor will manage this entire process, including the costs in your overall proposal so there are no surprises.
How to Pay for Your Renovation
Once you have a clear idea of the potential costs, the next big question is how to fund your project. A full home renovation is a significant financial investment, but there are several smart ways to manage the expense. The right approach for you will depend on your personal financial situation, the total cost of your project, and your long-term goals. From specialized loans designed for home improvement to leveraging the equity you’ve already built in your home, you have options. Let’s explore some of the most common ways homeowners finance their dream renovations, helping you find a path that feels comfortable and sustainable for your family.
Special Renovation Loans
One of the most direct ways to finance your project is with a renovation loan. These are personal loans specifically designed for home improvement projects. They often come with a fixed interest rate and a set repayment term, which makes budgeting predictable and straightforward. Because they are tailored for this purpose, the application process can be simpler than other types of financing. This option is a great fit if you have a clear, fixed budget for your project and prefer to keep the loan separate from your mortgage or home equity. It’s always a good idea to speak with a financial advisor to explore the specific loan products available to you.
Home Equity Line of Credit (HELOC)
If you’ve been in your home for a while, you’ve likely built up some equity. A Home Equity Line of Credit, or HELOC, allows you to borrow against that value. Think of it like a credit card, but with your home as collateral. You’re given a credit limit and can draw funds as you need them during the renovation, only paying interest on the amount you use. This flexibility is incredibly helpful for large-scale home renovations where unexpected costs might arise. A HELOC can be a powerful tool for funding your project, giving you access to a substantial amount of capital at a relatively low interest rate.
Saving and Phasing Your Project
Of course, the most straightforward way to pay for your renovation is by saving up and paying in cash. This approach means you won’t have any loan payments or interest to worry about once the project is complete. If the total cost feels out of reach right now, consider phasing your renovation. You can break your full home vision into smaller, more manageable projects. For example, you could tackle the kitchen remodeling this year and plan for the primary bathroom next. This strategy allows you to improve your home over time without taking on debt, making progress at a pace that fits your budget.
Avoid These Common Renovation Budgeting Mistakes
Creating a budget for your home renovation can feel like a huge hurdle, but getting it right is the first step toward a successful project. It’s easy to get caught up in the excitement of picking out finishes and imagining the final result, but a few common missteps can quickly turn your dream project into a financial headache. The biggest budget blowouts often happen not because of a sudden splurge on high-end tile, but because of overlooked details in the planning phase.
Thinking through every aspect of your project, from the timeline to the team you hire, helps you build a budget that can withstand the unexpected. A realistic budget isn’t just a list of expenses; it’s a comprehensive plan that accounts for the knowns and prepares for the unknowns. By understanding where homeowners often go wrong, you can sidestep these pitfalls and keep your renovation on track, ensuring the final outcome is a home you love, without the stress of overspending.
Mistake #1: Not Planning for Delays
One of the quickest ways to drain your renovation budget is by underestimating how long the project will actually take. More time on-site often means more labor costs, and if you’re living elsewhere during the renovation, it can also mean extended rental fees. Timelines can vary dramatically; a complete full home renovation can take six to twelve months, while a straightforward bathroom update might only be a few weeks. A detailed project schedule from your contractor is essential. It should outline each phase, from demolition to final touches, giving you a clear picture of the timeline and helping you plan accordingly for any associated costs.
Mistake #2: Choosing the Cheapest Contractor
It can be tempting to choose a contractor based on the lowest bid, but this is often a costly mistake. Most remodeling cost overruns aren’t caused by extravagance. They come from missed details, incorrect sequencing, overlooked structural issues, and hiring inexperienced contractors. An experienced general contractor is your project manager, quality control, and problem-solver all in one. They can anticipate potential issues, manage subcontractors effectively, and ensure the work is done right the first time. Investing in a reputable, award-winning team means you’re paying for expertise that ultimately protects your budget and gives you peace of mind.
Mistake #3: Renovating Without a Clear Priority List
When you’re renovating, it’s important to distinguish between your “must-haves” and your “nice-to-haves.” Without clear priorities, it’s easy to overspend on cosmetic details while neglecting more critical structural or functional needs. This is especially important when dealing with potential material or labor shortages that can impact your plans. Your design and build team can help you create a clear list of priorities. This way, if an unexpected cost arises, you’ll know exactly where you can compromise without sacrificing the core goals of your renovation. A well-defined plan ensures your money goes toward the elements that matter most to you.
Budgeting Tips for Investment Property Renovations
Renovating an investment property is a different ballgame than updating your own home. While the core principles of budgeting still apply, the goal shifts from personal taste to return on investment (ROI). Every decision should be made with potential renters or buyers in mind. The key is to make smart, strategic choices that increase the property’s value and appeal to the widest possible audience without over-capitalizing. This means focusing your budget on updates that matter most to the market and choosing materials that are both attractive and built to last. By approaching the renovation with a clear business mindset, you can maximize your profits and create a desirable property that stands out.
Focus on Updates That Add Value
When you’re working with a finite budget, you need to put your money where it will have the greatest impact. For investment properties, that almost always means the kitchen and bathrooms. These rooms are the functional heart of a home and are consistently the top features that renters and buyers scrutinize. A dated kitchen or a dingy bathroom can be an instant dealbreaker. Investing in a modern, clean, and functional kitchen remodeling project will pay dividends. Similarly, projects that create new living space, like finishing a basement, directly add to the home’s usable square footage and can significantly increase its rental or resale value.
Choose Neutral and Durable Materials
Your personal style might lean toward bold colors and unique finishes, but for an investment property, neutral is the name of the game. Your goal is to create a clean, inviting canvas that allows potential tenants or buyers to envision their own lives in the space. Think classic choices like light gray walls, white subway tile, and durable flooring. Material selection is also critical for your long-term costs. While high-end, custom materials are beautiful, they can quickly eat up your budget. Instead, focus on quality, mid-range options that can withstand wear and tear, saving you money on future repairs and maintenance. You can see plenty of timeless design examples in our project gallery.
How to Save Money on Your Home Renovation (Without Sacrificing Quality)
A full home renovation is a significant investment, but that doesn’t mean you have to drain your savings to get the results you want. Saving money isn’t about cutting corners or settling for less; it’s about making smart, strategic decisions that maximize your budget. With a thoughtful approach, you can create a beautiful, high-quality space that you’ll love for years to come, all while keeping costs in check. The key is to plan carefully, choose your materials wisely, and work with a team you trust. These strategies will help you spend your money where it counts the most, ensuring every dollar contributes to a better final outcome for your home renovation.
Save Money by Phasing Your Renovation
If you don’t have a large lump sum saved for a complete overhaul, don’t worry. One of the most effective ways to manage your budget is to break your renovation into smaller, distinct phases. As one homeowner shared, “You can renovate a home slowly over time, paying for things as you go.” This approach allows you to tackle one project at a time, like finishing the basement remodel this year and saving the kitchen for next. Phasing your project reduces financial pressure and minimizes disruption to your daily life. By planning the entire renovation from the start with your contractor, you can ensure each phase flows logically into the next, creating a cohesive final result without the upfront financial strain.
Where to Splurge and Where to Save on Materials
The materials you choose have a huge impact on your budget. While it’s tempting to go for high-end finishes, remember that “using fancy materials like marble or custom cabinets can quickly double your project costs.” Instead, focus on value. Opting for midrange materials often gives you a fantastic look and great durability without the premium price tag. For example, you could choose high-quality quartz countertops that mimic the look of marble or select luxury vinyl plank flooring that offers the warmth of hardwood at a fraction of the cost. Our design and build team can help you find beautiful, lasting materials that fit your aesthetic and your budget.
How a Great Contractor Can Actually Save You Money
It might seem counterintuitive, but hiring an experienced general contractor is one of the best ways to save money. Cost overruns often come from “missed details, incorrect sequencing, [or] overlooked structural issues”—all things a seasoned professional knows how to prevent. A good contractor provides transparent pricing and realistic timelines, helping you avoid expensive surprises down the road. They manage all the moving parts, from scheduling trades to ordering materials, which prevents costly delays and mistakes. Their expertise ensures the job is done right the first time, saving you from future repair bills and giving you peace of mind. You can see what our clients say about our process on our reviews page.
Related Articles
- Whole House Remodel Cost: A Complete Guide
- Whole House Remodel Cost: Budgeting & Planning
- Full Home Renovation Cost: Your Ultimate Guide
- How to Hire a Whole House Renovation Contractor
- Residential Construction Services: The Ultimate Guide
Frequently Asked Questions
How can I get an accurate cost estimate for my specific home? The numbers in this post are a great starting point, but a truly accurate estimate requires an in-person conversation. The best way to understand the investment for your project is to have a professional contractor visit your home. They can assess the current condition of your space, discuss your specific goals, and see any potential challenges firsthand. This allows them to create a detailed, itemized quote that reflects the unique scope of your renovation.
Is a 20% contingency fund really necessary if I have a detailed quote? Yes, and it’s the best tool you have for a stress-free renovation. A detailed quote is based on everything we know before the project begins. The contingency fund is your safety net for the unknowns that can only be discovered once walls are opened up. In older Chicagoland homes, this could be anything from outdated plumbing to unexpected structural issues. Having that fund set aside means a surprise won’t derail your budget or your timeline.
Can I save money by managing the project myself or doing some of the work? While it can be tempting to manage subcontractors or tackle demolition yourself, it often leads to costly mistakes and delays. A general contractor’s real value is in their expertise and project management. They coordinate a complex schedule of skilled tradespeople, troubleshoot problems, and ensure every detail is handled correctly and to code. This professional oversight prevents the kind of errors that can end up costing far more than the initial savings.
How long will my home be under construction? The timeline depends entirely on the scope of your project. A simple bathroom update might take a few weeks, while a full kitchen renovation could take a couple of months. A complete home renovation or a new addition is a much longer process, often lasting six months or more. Your contractor will provide you with a detailed project schedule that outlines each phase so you know exactly what to expect and when.
My budget is tight. Should I just choose the cheapest materials to save money? It’s better to think in terms of value rather than just price. The cheapest materials often don’t stand up to daily wear and tear, leading to repair and replacement costs down the road. A smarter approach is to work with your design team to find quality, mid-range materials that offer durability and a great look. Investing in good materials for high-use areas like countertops and flooring is a wise decision that pays off in the long run.