Renovating without budget overruns: how to plan and stick to the plan
Renovations almost always go over the first budget. To protect yourself, split the cost into materials and labour, ask for at least three quotes, add a 15% reserve and record every expense on the day it appears. Changes made along the way are the most common cause of overruns.
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Why do renovation budgets overrun?
There are several common causes: a hasty estimate, problems found once a wall is opened, rising material prices and, above all, changes of mind along the way.
Each small change, such as different tiles or an extra socket, looks cheap, but together they add up to large sums.
How do you split the budget?
Start from a list of the work, room by room, and separate materials from labour. Then add the reserve.
| Item | Calculation | Amount |
|---|---|---|
| Materials | from the list | 50,000 lei |
| Labour | from the chosen quote | 30,000 lei |
| Subtotal | 80,000 lei | |
| 15% reserve | 15% of 80,000 lei | 12,000 lei |
| Total | 92,000 lei |
The figures are illustrative. The reserve is not a bonus: it is part of the budget and stays untouched until a real need arises.
How do you compare quotes?
- Ask for at least three quotes for the same list of work so you compare like with like.
- Ask for a detailed quote, itemised by work and materials, not a lump sum.
- Ask what is not included: delivery, cleaning, removing rubble.
- Do not automatically pick the lowest quote; a big gap can mean something is missing.
- Agree the timeline in writing and pay in instalments tied to completed stages.
How do you stick to the plan as work goes on?
Make the big decisions before you start: layout, finishes, materials. The later you change, the more it costs.
If a change still comes up, price it before approving and decide what you will drop to cover the difference, instead of spending the reserve.
Pay instalments after you see the finished work, not everything in advance.
How do you track spending?
Create a “Renovation” category in Family Calculator and log every purchase and payment there, ideally with a photo of the receipt. You can see at any moment how much of the 92,000 lei is spent and how much of the reserve is left.
Compare real amounts with the quote after each finished stage. If the gap grows, you find out early, not at the end.
What if the money runs short?
Split the renovation into stages. Do what is essential first: pipes and wiring, drying, structure. Finishes can wait, and furniture can be bought piece by piece. Avoid a consumer loan for something that can be postponed.
Frequently asked questions
Why a 15% reserve?
It is a cautious benchmark, not a rule. In an older home the reserve may need to be larger, in a new one smaller.
Should I buy the materials or leave it to the crew?
If you buy them, you control price and quality but are responsible for quantities and delivery. Discuss it beforehand and write down what the quote covers.
When is the right time to renovate?
When the money is already saved, not when you urgently need it. Plan ahead and set money aside monthly.