Thursday

The Home Improvement Penalty

Doing any home remodeling project on your own can have a dark side. People love to watch the DIY Network and HGTV to see all the home improvement shows and renovation projects.

The problem is - they make it look rather easy. They don't show you the team of carpenters, subcontractors, assistants and even the show's producers all doing work "in the wings" to make the finished room. They also don't show you all the expensive tools they use.

So many homeowners decide to save a little money by doing the project themselves. And the results are not always up to standard. I found this article by David Bradley that talks about the Do-It-Yourselfers Home Improvement Penalty:

According to real-estate agent Nancy Raddohl, many of the potential buyers that she brings to a house notice a do-it-yourself project... right away. "'A buyer's first impression is I don't want to go any further into the house. They won't get beyond the front entrance," the suburban Minneapolis-based Raddohl of ReMax Carriage House said."

"Raddohl's candor is a zinger through the heart of homeowners who may think their handiwork is up to professional snuff. Quality upgrades can add value to a home, but shoppers easily are turned off by badly executed projects. The listed price can drop accordingly."

"Errors are especially onerous in highly visible glamor rooms such as kitchens and baths. Even minor miscues such as sloppy painting can have a negative effect on buyers."

"So before you power up your hand tools, consider this: Sellers risk thousands of dollars of their asking price because of shoddy workmanship. It's common lore among real estate agents that buyers set the value of a home, not the seller."

"I call it 'the home-improvement penalty.' Thinking your end result is good enough won't cut it in remodeling circles.'"

"Of course, this deflates do-it-yourselfers who puff their chests in pride at a job well done. So what if drywall seams show or spacing between bathroom tiles is a little off? To buyers, however, any glitch is a big deal."

"Even little errors may cause buyers to turn tail to the next property. Their perception is the seller's reality: If one thing is wrong, are there other problems very far behind?"

"Homeowner mistakes can be pounced on by real estate agents and contractors. Raddohl won't hesitate to make poor work a negotiation point to shave thousands off the listed price. Using the example of an amateurish countertop, she said she would advise buyers to press the issue."

"'I'd ask sellers to have work redone, and it could cost $5,000 or more,' she said. The repair costs come straight out of the seller's pocket.'"

"Contractors equally are keen to benefit from improvements gone bad. If a bathroom project goes down the drain, a contractor knowing the homeowner is over a barrel for needed repairs may be less inclined to negotiate and can charge top dollar."

"On top of materials and labor, homeowners also may be stuck for structural repairs if a job that really went haywire caused damage to portions of the home."

"If a project doesn't fit a contractor's schedule, the eyesore could serve for weeks as a reminder not to take home-improvement projects lightly."

"There are other risks, too. Homeowners inadvertently may skirt local permit requirements. Even if the work is passable, appraisers or building inspectors may nix a project weeks, months or years after completion and require work be redone to meet local codes."

"Again, homeowners will dust off their checkbook to pay for mistakes."

"The bottom line: Homeowners must bluntly assess their DIY abilities."

"Impressive work involves more than skills. It also requires the right tools, materials, planning and project management."

You can read more about the home improvement penalty on rgj.com.

The author of the article also has a checklist that you should go through before you begin any home improvement project:
  • "Do I have all the skills to do the job right the first time?
  • Do I have the time to acquire the skills or to do the work?
  • Can I commit to performing the work to a professional degree, or will it look as if an amateur did it?
  • Are all the right tools available? Can I afford all the right tools?
  • Have I planned for all the details to make sure the job looks good?
  • Do I need a license for a task that involves electrical or plumbing prowess?
  • Am I balking at hiring the work out just to save money?
  • What do I risk if I do the work myself? Will I lessen the value of my home? Is there a risk I will damage the home?"
If you don't want think you like the answers to these questions, you can always find a quality professional through ConstructionDeal.com. On our site, we can match you with contractors and remodeling companies in your area - at no cost.

You're under no obligation to hire anyone, but it's a great resource to save time and money: you won't search at random through the yellow pages, leave messages, and repeat your plans over and over again (saving you time.) You'll also get multiple quotes on your project, allowing you to choose the right bid and company for the job (saving you money.)