thegardenisland.com
Friday, January 13, 2023 • B3
THE GARDEN ISLAND
HOW A DATA NERD TACKLES HOME IMPROVEMENT didn’t affect my day-to-day life much. In a few years, I’m planning a full kitchen renovation — I’ll be hiring professionals for that, precisely because of the time constraints. I’ll pay to limit how long I’m cooking dinner in a laundry room microwave.
Elizabeth Renter NERDWALLET I started 2021 by buying an 1885 hulk of a home, sight unseen, with visions of restoring its earlier grandeur. In almost two years, I’ve restored three of many rooms and tackled multiple smaller projects, by myself. Do-it-yourself home improvements can save a lot of money, but that’s hardly the only reason to dive in. One in 4 homeowners took on DIY home improvement projects over the past two years because they like doing that kind of work themselves, according to the recent NerdWallet Home Improvement Report. I count myself among them. The joy of this work was instilled in me at a young age by my dad, a former shop class teacher turned school administrator, and hobbyist carpenter. I even built my own Barbie house, a blue one-bedroom ranch. Between my current house and my previous one, the only jobs I paid professionals for were urgent or massive ones: a new roof and demolition of outbuildings, for example. The list of DIY projects, on the other hand, is extensive and has included removing wallpaper, carpet and popcorn ceiling; skim coating walls and ceilings; refinishing floors; restoring and replacing trim work; rewiring push-button light switches and original light fixtures; and stripping
Costs The potential for saving on labor can entice people to DIY, but failing to properly weigh the previous two factors — ability and time — could make your DIY project more expensive than hiring skilled labor in the first place. And doing it yourself only because it’ll be cheaper ROGELIO V. SOLIS / ASSOCIATED PRESS FILE could make it loathsome. Figure out base project A workman aligns a plank before cutting it for use at a new housing site in Madicosts: Here we’re talking son County, Miss., on March 16, 2021. about materials and tools. has undertaken this kind of Make a list and gather and restoring an original you will take longer than work. If you don’t have a mantle. them to do the actual work. prices. Depending on the friend with a DIY resume, In most cases, I take as It can be difficult to estimate project, your tools may be have a contractor or two much time to plan projects precisely how much longer. as simple as a few paintas I do to execute them, and provide estimates and use Instead of a deadline, go in brushes and rollers, but if these visits as an intel-gath- with a target date range to the first step is deciding you’re delving into more whether doing it myself than just painting, the equipering opportunity. Ask them save yourself some disapmakes sense. how the project would unpointment. Break the project ment costs can rise quickly. Consider these three vari- fold, what permits might be into manageable steps, and (And even paint isn’t cheap be generous when estimatthese days.) needed, what could go ables carefully. If you need a tool you wrong and how many peoing the time to complete Ability don’t already own, consider each one. ple will be involved. This Whether I have the ability visit can serve multiple purNow is also a good time to borrowing it. While I have a pretty extensive collection, or skills to take on a project poses — helping you under- think about how this time there are still times I find has as much to do with what stand the skill level of the will affect daily life. The inI already know as what I’m project, as well as determin- convenience of a four- to six- myself in need of something I don’t have. If it’s a tool I’ll able to learn. Yes, you can week project in your only ing how long a professional use again and again, I may learn just about anything on would take and what their bathroom, for example, is buy it. YouTube these days, but likely justification to pay a costs would be. However, if it’s something what you’re really looking professional for an accelerTime very specialized, I’ll borrow for is what you can learn to ated timeline. it from a family member or do well, with minimal It may take longer for a I live alone in a large chance of messing it up. contractor to begin a projhouse, so the time spent re- rent it from a hardware store. Yes, you can rent Talk with someone who ect, but there’s little doubt storing an extra bedroom
Average long-term mortgage rate comes back down this week ASSOCIATED PRESS WASHINGTON, D.C. — After two straight weekly increases, the average long-term U.S. mortgage rate came back down this week, but remains a significant hurdle for many prospective homebuyers. Mortgage buyer Freddie Mac reported Thursday that the average on the benchmark 30-year rate fell to 6.33 percent from 6.48 percent last week. A year ago the average rate was 3.45 percent. The average long-term rate reached a two-decade high of 7.08 percent in the fall as the Federal Reserve continued to boost its key lending rate in its quest to cool the economy and tame inflation. At its final meeting of 2022, the Federal Reserve raised its rate 0.50 percentage points, its seventh increase last year. That pushed the central bank’s key rate to a range of 4.25 percent to 4.5 percent, its highest level in 15 years. Though another report Thursday showed that inflation at the consumer level eased to 6.5 percent in December — a sixth straight monthly decline — Fed officials have signaled that they may raise the central bank’s main borrowing rate another three-quarters of a point in 2023, which would be in a range of 5 percent to 5.25 percent. The big increase in mortgage rates during the past year has tripped up the housing market, with sales of existing homes falling for 10 straight months to the lowest level in more than a decade. Though home prices have retreated as demand has declined, they are still nearly 11 percent higher than a year ago.
pretty much any power tool you need from a hardware store. Add a budget buffer: There’s a good chance your costs will go above that original estimate — you forget something, prices go up or you accidentally put a hole in the wall behind you while wielding a sledgehammer during demolition. Give yourself a buffer; I suggest 20 percent. Outline your funding plans: If your project is a small one, you can likely pay cash, but if your project is pricier, carefully consider your home improvement financing options and their costs. Let the estimated project total and time you’ll need to pay it off be your guide: w Using an existing credit card can be a good option if you need the total funding upfront. It’s wise to pay the balance down quickly, to save on interest and protect your credit score from the negative impact of high utilization. w Opening a new credit card with an introductory interest-free period can give you additional time to pay, at little additional cost. w A personal loan can often provide fast funding and extended payoff terms. w Tapping your home equity for credit in the form of a loan or home equity line of credit may have lower interest rates but take longer to fund. So, it’s better for larger projects and balances you’ll want some time to pay off.