April 26, 2022 / by FMP
Filed Under: Uncategorized
Welcome to the wonderful world of home repairs – where every little thing seems to cost an arm and a leg and breaks down at the most inopportune time. Just when you think you’ve saved up enough to take that long-awaited vacation finally, your furnace decides to go kaput. Or a pipe bursts in your bathroom, and you have to replace the entire floor. And the monthly mortgage payments? They never seem to end.
It’s no wonder that home repairs are one of the leading causes of financial stress in the U.S. According to studies by Hippo, around 77% of homeowners faced an unexpected repair bill in the past year, with the average cost totaling $500. Ouch.
So, what does it mean for a cash-strapped homeowner? Let’s take a look.
How Inflation Affects Home Repairs
Inflation is an ascent in the overall level of prices and a drop in the purchasing power of money. In other words, things cost more than they used to. The cost of living goes up, but our salaries often don’t keep pace. And this includes the cost of home repairs.
Take, for example, the price of copper. It’s used in various home repairs, from plumbing to electrical work. Copper prices have more than quadrupled in the last 20 years. In 2000, it was around $0.80 per pound. Today? It’s over a whopping $4.5 per pound. And it doesn’t look like the price will come down anytime soon.
The same can be said for the cost of lumber. Due to a combination of tariffs and robust demand, the price of lumber has risen by more than 50% in the past year. It means that the cost of repairs that require lumber, such as roofing or fencing, will also continue to rise.
Cost Averages for Essential Home Improvement Projects:
Every house requires maintenance from time to time, whether it’s a new roof, repairing a leaky faucet, or something more major like a complete kitchen renovation. If you know the average cost of common home improvement projects, you can better prepare when something needs to be fixed.
Roof Replacement:
A roof replacement is unquestionably one of the costliest expenditures you’ll ever make. Although you don’t directly ‘use’ your roof, it’s essential in protecting your home from the elements. The price of a new roof ranges from $5,500 to $11,000 on average.
The two most significant variables in the cost of a new roof are the size and pitch (or steepness) of your roof. A more extensive roof or one with a steeper slope will be more expensive to replace.
The cost of your roof will also be determined by the sort of roofing material you select. The most popular and low-cost roofing material is asphalt shingles, whereas metal roofing is durable and long-lasting.
Furnace Replacement:
If you reside in a cold region, your furnace is probably one of your home’s most important (and expensive) pieces of equipment. The average cost of replacing a furnace ranges from $4,500 to $8,000, with the fuel you use being the most important consideration.
Gas furnaces are the most common type, followed by oil furnaces. Electric furnaces are the least common but are becoming more popular due to their efficiency.
The size of your furnace is also a significant factor in the cost of replacement. A smaller furnace will be less expensive than a larger one.
Bathroom Remodel:
Some home renovation projects are more about luxury than necessity, but that doesn’t mean they aren’t worth doing. If you’re planning a bathroom remodel, you can expect to pay an average of $12,000.
As with any remodeling project, the cost will vary depending on the scope of work. A simple bathroom update, such as new fixtures and paint, will be less expensive than a complete gut job. The cost of your bathroom is also determined by its size.
If you’re planning a bathroom remodel, set a budget and stick to it. It’s easy to get carried away when you start seeing all the possibilities.
The Factors Contributing to All Home Repair Projects:
Now that we have covered the three popular home improvement projects let’s talk about the factors that contribute to the cost of all home repair projects.
Cost of Labor
One of the most significant factors is the cost of labor. The normal hourly wage of a handyperson is between $60 and $70 if they are working independently. In contrast, handypersons working with companies may charge up to $125 per hour. For more specialized work, such as electricians or plumbers, expect to spend considerably extra.
Cost of Materials
Another factor that affects the cost of home repair is the cost of materials. As we saw with roofing and lumber, the price of materials has been on the rise in recent years. This trend will continue to grow, which means the cost of house repairs will rise. Contractors will also pass along the cost of any permits or licenses required for the job.
The Layout and Location of Your House
Two-story houses will be more expensive to repair than one-story houses. The same goes for larger homes. It is because it takes more time and materials to repair them.
If you live in an urban area, you can expect to pay more for home repairs than in a rural area. The cost of labor and materials is typically higher in cities, and there may be additional fees for things like parking and permits.
While the rising cost of home repairs can be a pain, it’s essential to keep up with maintenance and make repairs as needed. Neglecting your home will only lead to more expensive problems. However, we do have an important tip to mention.
Do-It-Yourself – Only Wreaks More Havoc:
You think you’re being thrifty by taking on that home repair project yourself. But unless you’re a certified handyman (or woman), you’re likely doing more harm than good.
You will spend more money on materials and tools and could also end up causing more damage to your home. And then you’ll have to pay someone to fix the mess you made. It’s a come-and-go cycle that’s best avoided.
So, the next time you’re tempted to take on a home repair project yourself, think about the rising cost of home repairs and the potential havoc you could wreak. It’s just not worth it.
Conclusion:
Despite the increasing cost of home repairs, it’s still essential to make repairs and updates as needed. However, we recommend leaving the work to professional contractors.
Another super helpful tip is to create a home maintenance schedule. This way, you can keep up with minor repairs and prevent larger ones from becoming an issue.
Good luck!
