Archive | August, 2012

Questions to Ask Yourself Before Remodeling Your Home

24 Aug

My husband and I are currently in contract for our first home. As exciting as it is, it is also incredibly nerve-wrecking to watch money being pulled out of your bank account,  schedule and attend meetings and fret over renovations that need to be made. We are hoping that this is a property we can fix-up and enjoy for at least the next few years.  We were also okay with moving into places that may need some work, which is the type of co-op we ended up choosing. I have a dream that this will end up as a money-maker, but I am realistic and also would just love to break even at the end of it all.

When purchasing a home that needs repairs, you definitely need to consider how much you want to spend before you put an offer down on the property. Here are some important questions to keep in mind to determine whether or not you want to even take on a remodel:

1. Is it worth it? 

  • Do I plan on staying in the property long-term or do I plan on flipping the property?
  • Is the house listed at a lower price than comps that have already been updated?
  • Will renovations have any impact on the resale value of the home? Or will I out-price myself?
  • How many things need to be renovated and at what cost? Are they expensive renovations or not?

2. Can I afford it?

  • Do I have the money on-hand after purchasing the home? Or do I plan on taking out an additional loan?
  • Do I need to put any of my purchases on credit?
  • Are these renovations going to be upscale, middle of the line or a homeowner’s special?
  • Are any of these renovations or updates that I can do myself or will I require contractors, permits, etc?

3. Can I Live With It?

  • Will I be able to live in my home while renovations take place? Or do I need to stay elsewhere?
  • Am I prepared to go without certain things on certain days?

As for us, we will be paying for our renovations out of our own pockets once all is said and done—we are not taking out any additional loans or putting anything on credit. For me, this is the only way to go.

How do you feel about the costs related to renovating your home? Are there any other considerations future homeowners should think about?

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Getting Ready for Our “Frugal” Vacation

12 Aug

My husband and I have been looking at co-ops for quite some time and have gone back and forth in terms of what we wanted and how much we were willing to spend. This meant that although we are dying to travel somewhere awesome, we aren’t ready to spend the money for a trip with that kind of price tag. This also means that we will be embarking on our budget-friendly vacation pretty soon—an incredible camping trip throughout an area of our state that we rarely venture to. I have already discussed a few things about making a trip affordable by:

  • Discussing a variety of ways to make your overall trip cheaper here
  • General campsite costs and how to make them cheaper here and here

Now with a few weeks left to go, we are going to start putting our general itinerary together and have a lot of different things to consider. Again, as I’ve discussed previously, you can definitely make camping trips even cheaper than we’re making ours, but these tips are still applicable to you.

Start off with a Budget

We love the outdoors. One might think the outdoors is frugal friendly but the cost of everything you may or may not need adds up really fast! If you’ve never spent any time outdoors before, you might not have any of the equipment that is necessary and that can cost a pretty penny. Budgets will vary quite a bit depending on a a number of factors such as:

  • Cost to travel (i.e. gas, tolls)
  • Cost of food (i.e. eating out and on the road vs. cooking)
  • Cost of campsite rentals (depends upon where you stay, when, for how long, with how many people, etc)
  • Activities you will participate in that cost money (i.e. rowing)
  • Purchases that may be required (i.e. tent(s), supplies)

Unfortunately, my cheaper vacation is adding up very quickly! This actually has to do with a major activity I want to participate in that is very costly but it is what it is. Remember, our trip is nine nights so it’s quite long and involves two people.

Budget: $1300.00

Take Care of Big Ticket Items First

Of course, my budget of $1300 might seem outrageous for a camping trip but remember:

  • There are only two of us splitting various campsite rentals over a period of nine nights. I discussed how to keep this cost down in my other posts. Cost: $209.00 ($23.22/night—extremely cheap if you look at it that way!)
  • Since we are driving quite a bit, we will be using quite a bit of money in terms of gas and tolls. Cost allotted: $300.00 (Though I sure hope it’s less than that!)
  • I have decided to do this because I really want to and I do not want my miserly ways to get in the way of an awesome thing—the hot air balloon ride for $235.00 a person or $470.00

As you can see, there isn’t much money leftover for anything else. This already totals $979.00, meaning I only have $321.00 left to spend!

What Else Do I Need to Consider?

There are still tons of things to think about when you’re camping such as:

Food: We eat a lot and I am a picky eater. Ideally, I would love to cook every day and night but I think there will be days when we want breaks from that. Budgeted: $150.00-$200.00

Additional Purchases and Activities: $121.00-$171.00.

We are extremely lucky that we either have or can borrow most of the things that we need for our trip. Remember: If you plan on going camping regularly, many of the items you may need or plan to use will probably end up being purchases that will last you for many years.  Keep in mind the following items that you may or may not take with you:

  • Tent(s) — make sure it has a rain shield and that you have a tarp for the ground
  • Sleeping bag(s) and pad(s) — you might want something softer to sleep on if you plan on staying long
  • Cooking supplies, food and something to store it in to prevent animals from getting to it
  • First aid and personal hygiene supplies

You can find a simple list here.

If you know you are going camping, it is easier to buy things over time than have to buy them all at once. If you do this, you can also look for sales, especially during the off seasons or holidays, that might allow you to pick-up some great deals. More importantly, if you don’t have the money for it, don’t be afraid to ask around! You may be able to borrow almost everything you need for your camping trip from friends and family.

It’ll Be Here Soon

Our camping trip will be here soon and I am so excited to go on vacation since I haven’t had off in nearly a year!

Have you undertaken a huge camping trip before? What are some ways you saved money on your trip?