Home Remodel Costs to Consider

[fa icon="calendar"] September 12, 2022 / by Home Services Expert

Home remodel costs often get out of control, and before the homeowner realizes it, the prices have skyrocketed, putting the entire project well over budget. However, proud homeowners who have purchased a fixer-upper or have lived in an older home needing updating can bring their home into the 21st Century through various remodeling and renovation projects. 

A firm understanding of the many costs and fees associated with a renovation and remodel can help lessen any surprises and help keep the project on track and within budget. Before starting your project, list home remodeling costs, including developing design plans, hiring a contractor, and obtaining permits for buying materials. 

Below are some of the most common home remodel costs every homeowner should consider and factor into the entire project's budget. 

Average Home Renovation Costs

The exact cost of remodeling a home depends greatly upon the square footage, location, age of the home, and how much renovation is needed. Small remodels average between $25,000 and $45,000, medium-sized remodels average between $46,000 and $75,000, and larger remodeling projects cost approximately $76,000 and up. 

Architect and Design Plans

Hiring an architect to work on the design plans for a remodeling project can help identify structural changes, help with an efficient layout, and share ideas for current architectural trends. Architects ensure the layout and design plans meet the home's structural needs and the homeowner's function needs. Hiring an architect typically costs between $125 and $250 per hour, varying on the plan details and how extensive the changes to the home are. 

Site Preparation Costs

For any renovation project, it's necessary to do some site preparation, including removing landscape, clearing space, emptying rooms, and clearing away any existing debris. Site preparation is essential and can cost between $1,000 and $5,000, depending on how much prep work is needed. 

Contractor and Subcontractors

Though it's possible to do a lot of the renovation work as a DIY project, hiring a contractor can help improve the efficiency and quality of the work, especially when dealing with projects involving permits and significant construction work. Simple tasks like painting, putting in a backsplash, and replacing a faucet can quickly be completed without hiring a contractor or applying for necessary permits.

Some trade skills and projects during home renovations require proper licensing and training. Hiring a general contractor ensures the work is done by people and by someone who has received training for the specific skill and task. Hiring a contractor also helps ensure all proper construction codes are met, and the home can pass inspection. 

Hiring a contractor or subcontractor to do some or all of the remodeling work will add additional costs to the project. Most contractor fees range between 10 and 15 percent of the project's budget. 


Almost every renovation project requires permits, especially with significant adjustments and electrical or plumbing work. Depending on the work needing to be completed, permits can cost between $400 and $2,000. Check with local authorities to determine which work needs permits and how to apply for them. 

Hiring a contractor can help with the permit application project because they know how to apply and what needs a permit. 


Every remodeling project requires different materials, depending greatly upon the desired final result and what renovations are being done. Typical material costs may include: 

  • Drywall
  • Paint
  • Carpet, Tile, and Flooring
  • Cabinets
  • Backsplash
  • Hardware
  • Faucets
  • Sink, Tub, Shower, or Toilet
  • Countertops
  • New Appliances
  • Insulation

Other Expenses

During the home remodeling, some things may be discovered that need replacement. The typical significant expense associated with remodeling includes getting a new roof, which can run about $20,000. Construction-related other expenditures may consist of: 

  • Electrical updates
  • HVAC updates
  • Plumbing updates
  • Siding replacement
  • Window replacement
  • Support beams
  • Home insurance during and after the renovation project
  • Clean-up fees (dumpsters) 
  • Landscaping
  • Lodging (if not living in the home during remodeling)
  • Foundation repairs

Benefits of a Home Remodel

Remodeling and renovating a home provides homeowners with many benefits, including increasing the overall value of their home. Updating a home also helps extend the life of the house by providing it with fresh paint and updated appliances, plumbing, HVAC, and electrical. Having a home remodeled also increases the homeowner's enjoyment of the property, helping them relax and enjoy the house. 

Upgraded homes also help homeowners save money on utilities by adding energy-efficient appliances and better insulation to help maintain the home's internal temperature with little energy usage. 

Remodeling a home can have many benefits, including long-term savings for the homeowner. Though there are costs to renovating a home, the money spent upfront will be well worth it.

Be prepared for any potential unexpected home remodel costs along with the standard expected costs associated with a renovation, which can help financially prepare the homeowner for what to expect during the project. 

Pre-Construction Checklist - Download Now