Renovating an old unit. How much should I pad my budget to cover unexpected surprises?

[threemonkeys]

Long post sorry, I'm trying to pin down a budget and timeline.

I recently bought an old unit built around the late 60s early 70s. Because of the age of the building a lot of things I won't be able to do anything about but I want to ensure the work I can do is cost effective, durable, tidy, safe/up to code and presents a welcoming and contemporary property for when it goes on the market as a rental or for sale in a couple of years time. It's mostly DIY aside from what I definitely need to get trades in for.

I've come across a few things I wasn't anticipating. During the painting prep I uncovered an electrical wire arching across what should have been a blank stretch of wall (like a big electrical fire rainbow waiting to happen). My electrician says there's lots of them all over my building that have simply been plastered directly to the brickwork instead of chased into the wall like they would be in a new build, I'm prohibited from drilling holes until he gets back from holiday. The switchboard and safety switches are up to date though and the building passed both pre-sale and a rental standards inspections.

The composition of the walls ranges from raw diamond, through to sand, through to absolutely nothing at all behind what may at some point have been plasterboard but now appears to be solely comprised of paint. I may or may not have found that out attempting to hang curtains in said wall. In my defence this was before the electrical wire incident, that I found when I had to replace large sections of skim coat and plaster going all the way back into the masonry in places where it had completely come away from the wall in the bathroom and kitchen collapsing wherever it was touched. I had been under the delusion going into it that all I would be doing was putting on a couple of coats of paint. I also filled some large cracks in the brickwork in the usual places (because I half figured why not, I've already bitten off more than I chew what's one more job, and half figured I never want to go through this again so I better fix this now). I ended up with multiple layers of multiple various products to address the issues with the different wall layers wanting to get it done properly because it clearly hadn't been before, it took several weeks of all nighters, made my place unlivable for that time and will need a touch-up next time I paint when I've got a better idea of how what I've used is holding up. It alerted me to the fact that my kitchen is stuffed, my walls are a minefield, and my bathroom needs better ventilation. Thanks paint department guys at Bunnings Collingwood though, it was a very steep learning curve.

Portions of the plumbing have seized so while they work they can't be turned off, there are communal services I have limited control over, and there's been a fair bit of illegal work done as well. It has our body corp handyman's fingerprints all over it so I'd like to keep him away from as much of the work as I can.

How much would it be reasonable to budget for individual projects and what percentage of anticipated costs should I have as an emergency fund in case I find anything else I wasn't expecting? Also what will increase the value of the property vs money down the drain? If anyone has first-hand experience with any of these I'd be grateful for some feedback. The following is a list of what I'm looking at;

It's a mid century studio apartment under $250,000 market value that was a rental (so a dumpster fire) and will likely become a rental or short stay again in the future (put together well enough to avoid once again becoming a dumpster fire). I'm currently living in it so need to consider the practicality and inconvenience factor of the work. I'm currently doing things in stages.

In the bathroom /laundry. Shower refurbishment (either a one piece coating or replacement of the shower pan, all previous attempts at reenameling failed).

Upgrade the shower screen hardware and paint the shower screen frame and probably replace one panel if not the whole thing. Personally I like the three door sliding door set up in that bathroom configuration so I'd like to keep it if it's savable.

Find some way to drain the washing machine into the shower drain or pan (probably just running a pipe into the pan, or alternatively running a pipe directly into the shower drain if the pan gets ripped up).

Upgrade fan/light

Replace light fitting in loo

Ventilation outlet for a dryer (because apparently they don't make condenser dryers in the size that will fit that space).

Fiddly bits like installing a towel rail and shelves in the shower and maybe some mount hanging rails or high shelves to better utilise the small space.

Already taken care of the walls, waterproofing, painting, loo, vanity, sink, windows and tiles/grout.

Kitchen. Nuke from space and start again. Since I can't turn the hot water off it looks like the taps that I have are going to stay unless less body corp comes to the party and fixes the seized valves before the kitchen Reno.

It needs practically all new cabinetry, everything is dollhouse size so it's going to be custom. There's a blind corner that's been blocked off filled with rubble and God knows what else (would be nice to find a hidden treasure in there, maybe an old gangster's secret stash, with my luck though it'll probably be asbestos). I spoke to kaboodle about it and turns out they've already done one of my neighbours kitchens in the same block so they've already got a pretty good idea of what we're looking at. I'll be doing the assembly they'll be doing the installation. On my time line it's looking like it won't be till next year. I did want an induction cook top but I don't have the right electricals for that.

In the lounge

I have old sash wooden windows that the sills have perished on so I'm negotiating with body corporate the moment to get those fixed, our grumbly resident handyman has unfortunately put first dibs on it and he's under the misguided impression that I'm just going to go along with that. I'd like to beat him to the punch to avoid one more thing to add to the list of his disasters I'm currently dealing with (he's already been scheduled to do it for over two years so I don't think beating him to it's going to be an issue). The spiral balances are long gone and so is the paint job, I don't know that is something I can do myself given it would likely involve pulling out the beading on the window frame to get to them, if the paint on that is anything like the "landlord special" paint on the doors (where I couldn't even find the heads of the screws to take them off) I don't like my chances of even being able to do it myself and I shudder to think what might be beneath it.

I'd like to replace the ugly oyster light and the lovely ivory yellow intercom, which if it's anything like the electronics of its vintage I've seen before is celebrating its 50th year as a maternity hospital for cockroaches.

I'd like a proper security door I don't need to take out a second mortgage to pay for. I don't know why but every time I've enquired about them I've immediately been upsold.

When they install the ceiling they installed the plasterboard going in the wrong direction so I have nail pops and seam lines everywhere in my ceiling and far more movement in it that I'm comfortable with, I don't know what they've done to the cornices to make them look the way they do other than painting straight over the top of all the daddy long legs, which knowing this place is quite possible. There's no crawl space in the roof. I've yet to figure out what I'm going to do with all that.

I need more power outlets (who doesn't).

I may or may not replace the carpet depending on whether or not I've gone broke by then or if I've managed to destroy it doing the kitchen.

[EricL]

Hello @threemonkeys 

One of the main issues with renovating a place is that you get personally involved with what you wish the final product will be. Instead going all out on your make over, I suggest adopting the motto of K.I.S (keep it simple). Repairs that are needed to keep you safe and your future tenant safe can't be skipped or ignored. Have it done once, have it done properly and stay safe for the remainder of the time. 

Keep your projects compartmentalized, bathrooms, kitchen and laundry. Remember to do one project at a time, multiple projects going on at the same time will drain your budget a lot faster. Instead of a mini emergency fund for each area create a single emergency fund for the lot. Under no circumstances are you to touch this unless it's really necessary and always provide yourself with a full explanation on the account notes whenever you draw from this section of your savings. 

One of the main issues I reckon is your plumbing. If you get a well experienced plumber with the proper tools and knowledge who can change the taps even while the water is running is worth their weight in gold. Accept that there will be unexpected surprises, your goal is to keep the repair work straightforward and simple. It's also important that it can be done in a reasonable amount of time.

The rest is just details, this can be sorted out once all the major works have been addressed. Getting the electrical and plumbing issues sorted out will be a big load off your back as this means that you can plaster and paint with no further worries of the wall fittings being torn out again.

Here are some handy guides to help you along:

• How to plan a laundry renovation by @Adam_W 
   
• How to plan a bathroom renovation by @Adam_W 

In regards to your kitchen, can I please request for a photo along with its current measurements. I will be more than happy to draw up a sample kitchen layout for you.

Let me call on our experienced members @Dave-1, @Nailbag, @Peggers, @diy_hausdesigns, @RenoRach1 and @lifestylebymari for their recommendations.

If you need further assistance, please let us know.

Eric

If you need further assistance, please let us know.

Eric

[threemonkeys]

Thanks Eric, my kitchen is on file with kaboodle and from memory I had it linked to an online account of some description. If you can help track down where it's hiding can I private message you the details?

The layout is a bit of an issue because it's a weird shape and size, when I spoke to the installers they suggested changing the layout to the one my neighbour has. I haven't decided what I'm going to do with it yet, I cook so use a lot of fridge and freezer space, the suggested layout won't be able to accommodate a full size fridge because of the location of the stove and I'm reluctant to extend it into the living area because it will probably mean I'll need to change the flooring. I could cop a mini fridge if I could also install a separate freezer. Depending on the cost involved adding in the costs of additional appliances may delay the project until I can raise more funds. I briefly considered the idea of fridge and freezer draws but then we're getting into $$$ territory out of proportion to the value of the property. Comparing what I paid against what my local council has valued the property at in a renovated state, there's about $30,000 difference, I don't know if the council has over or under estimated but I do know these types of properties are slow to sell. I'm guestimating all up I'll probably end up spending closer to half that, I'm a couple of thousand dollars deep with what I've done so far, I'm estimating the rest of it will take place over the course of about 6 to 12 months to replace the cabinetry and appliances in the kitchen, sort out the bugs in the plumbing, electricals and ventilation, fix the windows and do something with the shower pan. I'll be looking at a new kitchen and some further upgrades to the bathroom as the main areas of focus given they're the most neglected and are where I'm likely to get the best resale return.

The worst of the painting and prep work has been done. I decided to use the same color for the main area as I did in the kitchen and bathroom. Because they're opposite sides of the building, it looks a cool crisp blue in the kitchen and bathroom but a warmer sea green in the living area because of the difference in the light. Using the same paint colour combination throughout means less work if I want to touch-up the kitchen and bathroom when I go to do the windows and ceiling.

[MitchellMc]

Hi @threemonkeys,

Was the kitchen designed by one of our team members in-store, or did you create it yourself online? If it was created in-store, I suggest you touch base with our Kitchen Specialist at the store you attended. They'll be able to bring up your details. If you put this together using the Kaboodle planner, it would be saved on your account; simply log in to view. 

Regarding layout, I understand your hesitation about accommodating a full-size fridge. A mini-fridge and separate freezer can be practical for smaller spaces and might allow more flexibility without encroaching on your living area or changing flooring. I’d recommend measuring out both options—expanding into the living area vs. compacting appliances—so you can compare costs for each scenario.

Regarding budgeting, setting aside an emergency fund is a great idea. A 10-20% contingency fund for renovations in older units is a good rule of thumb, particularly since unexpected electrical and plumbing issues can arise. Given the condition of your unit's plumbing and electrical systems, prioritising those areas before moving ahead with cosmetic work will ensure you don’t face further disruptions down the line.

Addressing the ventilation issue in your bathroom will be a key improvement, especially for long-term maintenance. If re-enamelling hasn't worked for your shower pan and screen, it may be worth considering replacing these elements entirely, particularly if you aim to increase property value and longevity.

Please let me know if you have any questions.

Mitchell

[Dave-1]

Good Afternoon @threemonkeys 

Wooo thats a shopping list and a half. It would feel overwhelming for sure 😕

I like @EricL's suggestion for breaking the projects down to specific needs first.

For me I have a rule I make myself follow and believe me I have wante dto break the rule a fair few times but am terrified of having one huge mess overall if I do so.

One project inside the house at a time (In case it is raining)

One project in the frontyard of the house at one time

One project in the backyard at a time

One project beside the house at one time (Yes its kinda a cheat but I justify it by my side yard is a stand alone thing)

This ballances out leaving a project when it gets to the hard parts that you dont want to deal with. 

I usually "cost" a project first, also factoring in what I "think" I am capabale of and getting in experienced people who know more.

Every time I have started a project the material costs have surpprised me The 10-20% that @MitchellMc suggests is a good idea but even then material costs are higher then what I expected.

I would take some photos of each project/location/room and then ask specific questions with the photos as it gives us a lot better idea on what is needed.

The rulings for Bordy Corps have change in the last year, I would check them more to be up to date then anything on what is allowed and who controls what plus what is expected. 

For the window Sash part of the question, There was a question very similar in here the other day so it could be an idea to start a document and copy links associated with the parts you want to do into it, pretty much an overall document for your project that you can add to as more things pop into your mind.

Cant wait to see the projects turn up One bite at a time, water/electrical/physical security in that order

Dave