The real cost of renovating a home in the UK
In a recent study by This is Money, it was revealed that 35% of Brits are choosing to buy properties that need renovation when buying their home. In most cases, this is because it is the only way they can afford to get onto the property ladder. According to this data, the:
- Average UK house price (as of Jan 2016) is £196,829.
- Average cost of a property that needs work is £152,792.
- Average cost of renovation is £33,039.
- The cost of buying a home and renovating it themselves is £185,831, resulting in a saving of £10,998.
But the real question is: are we actually saving money? Is it worth it? Further data revealed that 10% of buyers find themselves living in an unfinished home, whilst 45% exceed their anticipated budget during renovation.
With this in mind, bedroom furniture specialists Oldrids & Downtown have investigated further into the home improvement industry to identify renovation trends and help you make an informed decision when buying your next/first property.
Locations for home improvement
Further research carried out by Barbour ABI in Home Improvers of Great Britain 2016 revealed the top locations that were most likely to carry out a renovation on their home in the UK – and the least likely. The results?
Most likely districts for home improvement
- Kensington and Chelsea
- Hammersmith and Fulham
- South Bucks
Least likely districts for home improvement
- Stoke on Trent
- West Dunbartonshire
There are a number of factors to take into consideration when budgeting for a renovation. These can include:
The size and style of the home
The number of storeys in the house can greatly influence the price of renovation, as you have to consider covering more floor space and potentially more rooms. The style of your home can also affect your workload with regards to its history and age; you can expect more work and complications with older period properties, although you can get more character with these properties.
The postcode of your home
Like home insurance or house prices, the postcode can impact the renovation price.
Other features of the home
Other factors within the home can impact the cost. You must consider the number of rooms in the property, especially bathrooms and rooms which can sometimes have ‘hidden costs’.
Homebuilding & Renovating has a calculator to give a guide to the cost.
Estimated costs per task
Taking on a renovation project can initially seem pretty daunting but if you break down the project into smaller, more manageable tasks, you can take control of the project. As a whole, a renovation isn’t a one-size-fits-all task so it is worth considering the cost of each task when trying to control your budget. Use this checklist for a quick calculation, but remember that the size, style and postcode may alter this.
|Task||Estimated cost on an average 3-bed home*|
|Adding a bathroom||£2,500|
|Adding a kitchen||£4,500|
|Adding central heating||£5,000|
|Removing dry rot||£1,000|
|Fixing collapsing ceilings (related to damp)||£500 per room|
|Replacing the roof||£3,000|
|Replacing roof tiles||£200|
*Estimates supplied by Homebuilding & Renovating
Key trends in the home improvement industry
Bathrooms 365 published research last year regarding the home improvement market. The research revealed that the government’s new build projects are supplying the home improvement industry with new opportunities.
This has had a positive effect on the industry, which was previously suffering. The new opportunities are helping save some of the 60 B&Q stores which were forecasted for closure and have influenced a steady increase in online sales as the interest in home improvements rises.
The study also noted the following key trends in home improvement and renovation:
- The motive of renovation is still profit by increasing the home’s value.
- Home improvement is still desirable, but homeowners have to save.
- Desire for an increased number of bathrooms in the home.
- Improvement to the design of the bathroom.
- Improvement of layout and features to be more environmentally conscious.