Rule 2:

Make Three Lists, Once. . .or Twice

On a sheet of clean paper, create a 3-column listing of your Wishes, Wants and Needs for improving or repairing the house. The Needs column should include only those repairs or non-negotiable "must-haves." The Wants column should itemize your "wanna-have" items or features. The Wish list can identify what you'd LOVE to include, in the event that money were no object.

HOT TIP Two-Step

In households where strongly-held-but-often-differing opinions are common, creating His-'n-Her or two separate sets of Wishes, Wants & Needs lists as a first step may help prevent some domestic fur from flying. The two of you can merge your individual list priorities into a single list as a second step.

List Helps Contractor Help YOU

The final Wishes, Wants & Needs list you develop will help a contractor determine what type of project, or projects, you are planning. You may even be surprised how many of your Wish List items make the cut into the final plan and Budget.

The list will also help keep you focused, just as it did in Step #3 when you were house-hunting. You may need to do your renovations in stages, which you can base on this list.

Prioritize.

Which should come first, the new furniture or new carpeting?

Rule 3:

Style Counts. . . and Costs

Start planning the actual look you'd like to create in your new home. Create an idea scrapbook with magazine pictures of designs and products you'd like to include in the project. You'll be doing this not only for yourselves, but for your future remodeling Contractors reference. The Idea Book will help define the intent, scope and price factors of your project. Take your time in this step. You will want to consider all your options.

Rule 4:

Brace Yourself for a Disciplined Budget

Determine how much you can afford, given the closing costs and your new Mortgage payments. Don't forget to factor in the new bills you've just acquired, like trash, cable, utilities, homeowner's dues, etc. You'll be amazed how many new bills you'll be looking at monthly, especially if this is your first home. We'll get into this is greater detail in the upcoming section

Think & Do Reminder, Next...

Page 2 of 10