Renovations: Tips before you start

Check out our tips on how to plan, finance and make a success of your renovation project

Planning on renovating a room, installing a new heat pump, improving your home’s insulation or getting a new pool? The following tips and reminders will help ensure your project turns out exactly how you want it to.

When you’re renovating, nothing should be left to chance. Without proper planning, you could be in for some unpleasant surprises.

Take the time to map out all the steps. Ask around, do some research and shop around for quotes. Make a list of the details you want to include. Remember to consider the needs of everyone who lives in your home. Every minute you spend thinking about your project ahead of time will help pave the way when the actual hands-on work begins.

To ensure all the steps are completed on time, create a schedule to go with your plan.

By setting clear and realistic deadlines, divided into tasks with assigned dates, you’ll get a sense of accomplishment every time you complete another step. Keep in mind that getting all the permits and materials you need in order to get started can take longer than expected. You could also face inventory issues. Find out what you need, and make sure to adjust your work schedule as needed.

Before you take out your hammer, crunch the numbers. Make a list of all your expenses, including materials, tools, labour, transportation and waste disposal, as needed.

You could also consider opting for neutral, timeless design choices that will never go out of style. For instance, instead of choosing intricate patterns that are currently on trend, you could stick to just a subtle colour accent for your walls. If you ever want to make changes later, you can easily give your walls a new look with a fresh lick of paint without breaking the bank. Sometimes, renovations are needed to keep your property in good shape. A great bathroom or kitchen renovation can even add value to your home!

There are a number of grant programs in place to help with renovations, offering considerable scope for savings. Check out if you qualify for any of the many programs out there before you start renovating.

Here are some examples:

• In Quebec, the LogisVert Program offers financial assistance to improve your home’s energy efficiency and make it more eco-friendly (for example, by installing a heat pump, a geothermal heating system or an electric thermal storage system).
• Canada’s Home Accessibility Tax Credit (HATC) is designed to help cover the cost of renovations to make your home safer or more accessible for a qualifying individual in an eligible dwelling.
• In Quebec, the Rénoclimat program offers financial assistance to help make your home more energy efficient by improving insulation or draft-proofing, replacing doors and windows or installing a heat recovery system.
• Canada’s Oil to Heat Pump Affordability program can help you replace an oil heating system with an eligible electric heat pump.
• In Quebec, the Residential Adaptation Assistance Program provides financial assistance to help adapt a home to the needs of a person with a disability so that they can live there safely.

Learn more about our Sustainable Home Program. You could get financing and potential cash back¹ to buy or build a new eco-friendly home or make energy-efficient upgrades to your current home.

In recent years, persistently elevated construction material costs have been a constant source of concern, especially for individuals with a renovation project already underway. In light of these issues, it’s important to consider how higher costs, delays and supply chain issues might impact your plans mid-project. In fact, it’s a good idea to think up potential backup solutions while you’re still in the planning stages.

Here are some ideas:

• Scan your contract for a clause stating that your contractor has the right to increase their rates.
• Make sure all materials are available at the price listed in the quote, and ask your contractor about the impacts of potential delivery delays.
• Set up an emergency fund with enough cash to offset potential cost overruns.
• Check with your advisor to see what you can afford, and to evaluate potential financing solutions if needed.

Your emergency fund should represent 10% to 15% of the total cost of your project. It can be difficult to reliably stay on budget, especially when extra work is needed or things don’t go as planned. It's always a good idea to be prepared for the unexpected.

Some people use the most convenient financing available to them by charging renovations to their credit card. It all depends on how disciplined you are about paying down high-interest debt, but choosing the credit card route usually ends up costing a lot more.

Start by evaluating how much cash you have available to spend. You could dip into the funds you’ve been setting aside for a different, less time-sensitive project.

Just don’t tap into your emergency fund. You should always keep a safety net to ensure you’re able to cover any unexpected expenses.

If you still need additional funds, make sure to use the best financing tool for your situation.

If you’re eligible, the following options can help you finance your renovations:

• Mortgage or home equity loan:* Mortgage interest rates are usually lower than those for a credit card or personal loan. Check with your caisse or branch to find out how you can apply for a new mortgage or refinance your current loan.
• Personal loan:* This product is ideal for borrowers who can make regular payments based on the loan amount and chosen term. Interest rates for this product are generally lower than credit card interest rates.
• Personal Line of Credit:* Available when you need it, this product has flexible repayment terms. Interest continues to apply every month as long as there’s a balance on your account.
• For budget management purposes, you can also choose to make fixed payments, including principal and interest, once all the work is complete.

Are you getting ready for major renovations? Whether you’ll be updating your kitchen, redoing your bathroom, finishing your basement or fixing your roof, it can be a challenge to find a contractor with the skills and qualifications you need within your budget can be a challenge. RenoAssistance can help you plan and prepare your project by connecting with you up to three contractors so you can compare quotes and choose a team that best aligns with your needs and project criteria.

RenoAssistance uses a three-step support process, with no fees or obligations. Here’s how it works:

1. Submit your project: Fill out the online questionnaire, and an experienced advisor will get in touch with you to discuss your project.

2. Compare quotes: RenoAssistance will select up to three certified contractors based on their expertise and your needs.

3. Pick your contractor: You can forge ahead knowing that RenoAssistance will be there for you until the work is done.

Learn more about RenoAssistance

Whether you’re looking to take out new financing, increase a current loan or assess the benefits of transferring a loan to Desjardins, we’re here to help you with your renovation projects. Talk to one of our advisors to review your financial situation. They’ll propose solutions that meet your needs, profile and borrowing capacity without jeopardizing your ability to reach other goals.

Let your insurance company know about your renovation project so they can make sure you have the coverage you need. You’ll also need to review your insurance coverage once the renovations are complete.

Ready to get started? Do what you can to respect your budget, and remember: Discipline is the key to success!

All the best!

* Subject to credit approval by the Fédération des caisses Desjardins du Québec. Certain conditions, exclusions and limitations may apply. 

¹ Applies to minimum financing of $125,000 to purchase a property and $10,000 for renovations (minimum total mortgage financing of $100,000). Other conditions may apply.