Helpful Things to Know About a Home Improvement Addition

Building an addition onto your home can be a great opportunity. Not only do you increase your living space, but also you may add to the value of your home. When you are financing a home improvement addition, it’s important to be prepared. Understanding the factors involved before the renovation process begins can save you time and undue stress.

What to consider before building an addition onto your home

Zoning laws - Begin by obtaining permission from your local government to start construction. In most areas, you must adhere to your city or township zoning laws when building an addition, and you may be required to obtain a construction permit. Although the costs vary from state to state, plan on spending 2 to 5 percent of the total cost of your renovation on this permit.

Structural considerations - Budget for a soil density test, which will measure the stability of the soil on which you plan to build. If you live in coastal areas that have sand or clay in the soil, these tests can determine whether you will need pilings to support your structure, a special permit to build or other structural considerations. This is a critical step in the construction process, and many contractors are able to include it with their services.

Contractors - Word-of-mouth references are important when it comes to choosing a contractor. Ask your family, friends and neighbors for recommendations. Or, search for builders who specialize in the type of architecture you admire. Consider joining a home and garden tour, where you may find the opportunity to network with other homeowners in your community, and discuss contractors in a casual atmosphere. In addition, make sure your contractor is licensed, bonded and insured. Not only does this ensure that you hire a legitimate business and trained professionals, it protects you in the event of a mishap. Finally, get estimates from more than one contractor. It is standard to review at least three bids before choosing the one most aligned with your needs and budget.

Margin for error - Make room in your budget for unexpected expenses. Perhaps you want to upgrade to a decorative crown molding. Maybe you decide that extending your addition by three feet would be ideal. Or a fallen tree damages your power supply, putting your project on hold for a week. Regardless of the possibilities, you should include a margin for error in both your budget and the estimated completion date for the project.

Home insurance updates - In most cases, building an addition increases the value of your home. It’s important that your home insurance policy covers the changes you’re planning. Discuss your plans with your insurance agent before you build to make sure you are properly insured.

Now that you have a better understanding about what to expect when building an addition to your home, you can look forward to enjoying your new living space. Be sure to contact a home insurance provider, like Nationwide Insurance, to protect your most valuable investment - your home.