5 Hidden Costs of Remodeling & How to Avoid Them

Remodeling a home can be exciting, but the true price tag often ends up higher than expected. Beyond the obvious expenses for labor and materials, there are a range of hidden costs of remodeling that can quietly inflate your budget. From permits and code upgrades to unexpected repairs and mid-project changes, these surprises can add thousands of dollars and extra time to your project if you’re not prepared.

Plans, Permits, & Inspections

Plans

• Architectural and/or engineered plans are required for many remodels and their price depends on the complexity. Costs can range from a few hundred to a few thousand dollars.

Permits

• Cities typically charge fess based on project size. A small project will require a smaller fee for plan review while a larger more complex project will require several permits and a longer inspection process.

Inspections

• Each permitted project requires city inspections. The inspections fees are typically bundled with the permitting fees, but multiple failed inspections may trigger additional charges.

Upgrades to Meet Code

Unforeseen Issues During Demo

• Old plumbing, wiring, HVAC, or framing may look fine prior to demo, but once uncovered, the inspector may deem that it no longer meets current safety codes.

Mandatory Compliance

• Even if you weren’t planning to touch certain systems or areas, building codes require that anything affected by the remodel be brought up to current code. You are not able to leave it “as is”.

Temporary Housing or Storage

Living Space Becomes Unusable

• Major work like kitchen or whole home remodels can leave you without running water, heat, access to rooms, or a livable space.

Noise, Dust, & Fumes

• The home may become too disruptive for kids, pets, or working from home.

Storage Needs

• Furniture, appliances, and personal belongings often need to be moved out of the way to protect them. Requiring off site storage or a portable storage container rental.

Unexpected Structural Issues

Hidden Damage

• Problems like rot, termite damage, water damage, or cracked foundations can by hidden behind drywall or under flooring. The full extent of the damage is unknown until all is removed.

Safety & Stability Concerns

• If framing, beams, or supports are compromised – they must be repaired or replaced before work in the area can continue.

Chain Reaction of Extra Work

• Structural fixes may trigger additional costs for permits, engineered drawings, additional materials, and schedule delays.

No Budget Line Item

• Most remodels focus on visible upgrades, not structural repairs. When these issues surface, they add cost that is not originally anticipated.

Change Orders

They May Appear Minor, But Add Up

• Changes in the moment feel small, but overtime the costs associated with extra labor, materials, rework, and schedule changes add up.

They Can Affect the Schedule

• A change might delay subcontractors, require additional inspections, and delay material deliveries – which can add additional costs.

Late-Stage Changes

• Adjustments or changes near the end or after the end of the project can require extensive rework with potentially a high cost.