Home Renovation Cost

Posted by

Home Renovation Cost

Home Renovation CostHome renovation cost continue to grow.  Historically, prices increase 12-18% per year regardless of what the economy is doing.  Some years are more while others are less.  But the average increase of 12-18% remains.  Why? Materials, labor, taxes, regulations, government debt/bonds, building codes, utilities, transportation, and insurances (health and workers compensation) don’t take a break!  For 2021, lumber is up 304% compared to April 2020! It now costs almost $38,000 more in lumber to build a single-family home compared to 2020.  Anything made of or using cardboard, paper, wood, and wood pulp (laminate, vinyl, and linoleum flooring; drywall, insulation, cabinets, toilet seats, doors, trim, etc.) are also experiencing large increases.  The same is true for electrical wiring.

Home Renovation Cost in Orange County CaliforniaCalifornia is the third-most-expensive state in the United States (U.S.) – behind number 1 Hawaii and number 2 Washington D.C.  Orange County, California is a gorgeous place to live!  Sun, beaches, mountains, snow, and perfect temperatures abound!  If it’s not in Orange County, it is only about an hour away!  Orange County is the 10th most expensive city in the U.S. with a cost of living that is more than 50% above the average for the entire country. The average home price for all of Orange County sits at $1,100,000, according to the Cost of Living Index.  That makes it the sixth priciest market in the country.

What About Home Renovation Cost in Orange County?

Home Renovation CostIt should not surprise you then that the average home renovation cost to remodel or renovate in Orange County ranges from $389-$900+ per square foot.  This includes additions, bathrooms, kitchens, ADU’s, home offices, attic conversions, and full interior remodels.  Very, very important concept to understand:  Regardless of what anyone quotes you, this is what you are going to pay for a job done right.

But wait a minute you say, Bob the Builder just quoted me a price of $200 per square foot to remodel my bathroom.  Sorry, but he didn’t.  He just slipped a fast one by you!  What he actually did was double your square footage, dramatically lower the amount of work that will actually be performed (before he Change Orders you up the wazoo) and reduced the quality of the materials.  Bob will also be using day laborers, has no Workers Compensation or General Liability Insurance, and the Contractor’s License number he provided you is the same one used by a bunch of other people (they pay a cash fee under the table to the actual Contractor to “rent” his license number – which is illegal by the way).  Good luck on your project!

Home Renovation Cost and Estimates

Home renovation cost averages are only estimate’s as every project is unique and different.  There are no concrete standard industry averages.  Every project is different.  Every person has their own unique style, tastes, preferences, and way of seeing and doing things.  If there was a standard number, this would imply that every project is identical.  There is absolutely no truth to this concept.  No two projects are ever even close to being identical.

Remember, an average means half are above, and half are below.  The only way to get a true Contractor Estimate is to use a company like DAD’s Construction.  DAD’s uses a Design and Project Development process.  This provides every client with the details necessary for a highly successful project.  Using the plans and specifications developed by DAD’s ensures a very thorough and accurate estimate. Anybody who tells you or provides you with a cost to perform your project without first doing the hard work is lying. 

DAD’s Construction Design and Project Development Process

Design and Project DevelopmentPlans and DesignDetailed Remodel ContractHome Improvement Contract
Detailed notes taken during the first meetingComprehensive design and project developmentProfessional plans and designItemized line item estimateThorough home improvement contract

Costs per square foot averages are driven primarily by the client and their requirements – not the Contractor.  Remember, these figures are averages.  These can be increased or decreased by the client.  You control the budget!

What Makes DAD’s Construction Different?

So, what makes DAD’s different?  DAD’s rough estimates illustrate historical averages over the most recent 2 years of client driven projects that were physically performed right here in South Orange County by DAD’s.  How much more realistic can you get?  Actual, real projects completed by your South Orange County Neighbors.  Therefore, estimates by DAD’s reflect reality and what people actually did and are doing using high quality and durable products, materials, and people.

Estimates provided by DAD’s include all materials, parts, labor, installation, and sales tax mid-range, not at the bottom. Moreover, they illustrate pricing of materials and labor across economies including building code changes.  Although the economic environment in which the project will actually be performed is unknown, using the most recent 2 years of activity seems to be a reasonably good indicator for estimating purposes.  You can trust estimates provided by DAD’s because they are real . . . real honest and straightforward!

Home Renovation Cost and DAD’s Construction

Best Bathroom Remodel - DAD's ConstructionDAD’s has a simply philosophy – Always be honest and up-front with the client and never pretend a project is something that it isn’t.  What this means is that we never provide an estimate containing materials and products of such low quality and performance utilizing “best case scenario” methods while providing “allowances”.  In my better than 45 years of renovating & remodeling, I have never seen or heard of anyone actually performing a project under these circumstances.  What many, many contractors do in order to get your business is provide you with unrealistic estimates employing these tactics . . . only to use the Change Order process once the project is well under way to jack-up the price . . . usually way up from the initial estimate.  This is unethical, dishonest, horribly misleading, and just plain wrong.

Nobody can read someone’s mind or predict the future.  However, since most folks like an idea of cost before committing to a project, this is the most reasonable and realistic method I have found.  Best of all, DAD’s home renovation cost process is completely open and honest.  There are no surprises, tricks, gimmicks, or hidden up-charges.  You know exactly what you are paying for and how it’s going to look.  Isn’t this what you would expect from your DAD?

How Can I Receive More Information?

If you would like more information on enjoying the best bathroom, kitchen, and home interior remodeling experience from an honest family contractor, call Dan at (949) 380-0177 or at dan@dadsconstruction.com for a free in home consultation.  DAD’s serves all of South Orange County California including Lake Forest, Mission Viejo, Foothill Ranch, Portola Hills, Ladera Ranch, Irvine, San Clemente, Dana Point, San Juan Capistrano, Rancho Santa Margarita, Coto de Caza, Dove Canyon, Laguna Niguel, Laguna Hills, Newport Beach, and Aliso Viejo.

Best Contractor - DAD's Construction

“Taking Care of Your Home . . . The Way We Would Our Own”

Daniel A. Derkum is the owner of DAD’s Construction, a leading South Orange County, California design-and-build remodeling and renovation Contractor, https://www.dadsconstruction.com.  © DAD’s Home Services & Construction, Inc.  All Rights Reserved.