Monday, December 25, 2017

Holiday Hours and Seasons Greetings

Merry Christmas and Happy Holidays from everyone at Village Builders to all their clients and their families.

Village Builders is closed for two weeks and will be re-opening January 8th 2018.

Rob Abbott

Saturday, December 23, 2017

The Cost Of Custom Homes and Renovations Will Rise In 2018

Be prepared to pay more for your renovations and custom home build in 2018.

The cost of construction is rising and doesn't look like its going to settle down anytime soon. If you are planning to build or renovate in 2018 then you need to adjust your budget accordingly.

Here are some of the reasons why construction is going to cost more in 2018;

  • A building boom. There is a building boom in our area, builders are busier then they have ever been before. That means that they have the ability to pick and choose the jobs that they want to take on, gone are the days of pricing jobs low just to stay busy.
  • Material costs. Building materials have doubled in price in the last 6 months. That means that the raw building materials could cost you anywhere from 50 to 100,000 dollars more then in early 2017. It has become so bad that there is an actual lumber shortage at most lumber yards for a lot of products.
  • Labour. With a bunch of law changes coming from the provincial government and a minimum wage increase the cost of all labour will be going up in 2018. All businesses will have to raise there rates to cover the increase in costs.
  • Trades shortage. There is a severe shortage of trades in most areas. Tilers, masons, plumbers are getting harder to secure because they are under such a demand for their services.
  • Big Business. Large corporations are buying up smaller businesses and consolidating them so that they have a monopoly. Insulators, concrete suppliers, waterproofers, mechanical contractors are just a few of the trades that are being bought up and controlled by a handful of large corporations. This means that they will be able to artificially inflate the cost of what they provide.
  • Land costs. If you are looking to build a custom you are going to have to pay more for your building lot with the hot real estate market.
  • Building Code Changes. The building code has had dramatic changes in the last 5 years with the amount of insulation required rising and the overall energy efficiency of homes having to rise. Eventhough this is a good thing in the long run it usually means that it will cost you more money upfront to build.
Whatever you are planning to do in 2018 whether it is building a custom home, renovating or adding an addition be prepared to pay more then you did in 2017. You will have to approach the project with a contingency fund to help offset the costs that are rising so that you don't end up in a situation where you run out of money before the project is finished.

Rob Abbott
Village Builders Inc.

Sunday, December 10, 2017

How To Finance Your Next DIY Project

How To Finance Your Next DIY Project

If you’re thinking about home improvements, you’re not alone; nearly 50% of Canadian homeowners plan on making repairs or improvements to their house this year, which is up from around 37% last year.
While small DIY projects, such as preparing your home for Christmas, are normally very cheap, it tends to be much harder to finance expensive projects, such as installing new kitchen counters. The expenses can definitely start to run up, especially if you live in an older cottage – but they are well worth it if they are done right. In fact, some renovations can even increase the value of your property. If you have a big renovation project in mind and you’re not sure where to get the money from, don’t worry. Here are two ways to finance your next DIY project.

A Reverse Mortgage
A reverse mortgage is a financial agreement where a homeowner releases the equity in their home in exchange for a large sum of money. This mortgage is normally used by people who are about to retire so that they can supplement their retirement income, but any homeowner can apply for a reverse mortgage.
If you are accepted you will receive the money now, rather than when you sell your home, meaning that you will have lots of money to fund DIY projects – but it is important to be aware of the costs surrounding reverse mortgages.
The main benefit of a reverse mortgage is the amount of money that you will receive. After all, Canadians spend around $23,300 on kitchen upgrades and around $9,100 on bathroom upgrades, so the costs can quickly pile up!
Apply For A Personal Loan
If you don’t own a home one popular options is a personal loan, as this means that you don’t need to put up any assets as collateral. The downsides to this type of loan are that you will need a good credit score to be accepted. The interest rates can also be fairly high, so shop around and weigh up your options before making a choice.
There are lots of different ways to finance your next DIY project, but you should avoid using payday loans or anything with exceptionally high interest rates. This is because you can end up spending more than twice as much in the end, and the ensuing debt will make it difficult for you to make more renovations in the future.