RENOVATIONS: Avoid home reno disaster

Here's some fail-safe advice for smart homeowners who want to do a renovation fast and cheap.

Strike a verbal deal with the lowest-cost builder who comes along. Pay cash under the table.

Keep your plans loose so you can improvise as you go along.

Better yet, do all the renovating yourself. You can cover your tracks at the office if the job pulls you away a few hours a week.

Don't worry about permits and inspections from your municipality -- they're for fools.

Congratulations-- you've just turned your dream project into a nightmare.

Earlier this month, speakers at a seminar organized by the Greater Vancouver Home Builders' Association outlined disasters that await careless or ethically relaxed households.

"Renovations are notorious for growing and changing as the project keeps moving along," renovator and Kelrek Services boss Alvin Epp told those at the seminar.

"There's always something in a renovation that doesn't seem to work quite the way you want."

Looking to turn hiccups into screwups? Here's some guidance from professionals at the seminar.

Support underground economy

Cash deals that lack liability insurance and WorkSafe B.C. coverage put homeowners at enormous risk, home builders association CEO Peter Simpson said.

"Without a building permit and the requisite inspections, you're really exposing yourself," Simpson said. "If anything goes to court, you, as the homeowner, are deemed to be the contractor."

Dan Moseley, a lawyer with Surrey-based McQuarrie Hunter, said all agreements should be in writing. Key elements to anticipate are delays and disputes.

"There should always be a term in the contract or agreement which sets out a very simple process for dealing with extras, additions or changes," Moseley said.

"Alternative dispute resolution, mediation and arbitration should be considered."

Always choose the lowball price

Contractor Robert Capar, president of maison d'etre construction, said homeowners should be wary of a contractor whose quote is drastically lower than the rest.

"Make sure you're getting a price for the same job -- the same look, the same quality, the same materials," Capar says.

CCI Renovations president John Friswell said homeowners should not base the cost of an item on a price they see in a store. A builder's markups include indispensables such as planning, delivery and installation.

These may translate into markups of 25-50 per cent, depending on the job.

"If you get a contractor quoting you 10 per cent, be very careful," Friswell warned. "Because that contractor is not adequately covering his costs if he has a legitimate business."

Friswell tells clients to build a cushion of 10 to 20 per cent into their budget to cover changes and unforeseen costs.

Don't bother with a professional

Homeowners able to handle the practical parts of doing a big reno must also be prepared to cope with the demands on their time, Capar said.

"When you're running a project, it's not uncommon to find that it's taking two to three hours a day. You can do it yourself, but you'll take on all the risk, all the liability.

So trying to hold down a full-time job and run a project at home is not necessarily going to be the easiest thing to do."

Keep cards close to your vest

Homeowners should be upfront during initial talks with builders about how much they can spend on a project, Capar said.

"Give them a sense of the budget," he said. "That's going to tell me the kind of finishing you're thinking about, what kinds of details you're probably going to be putting into that project."

Homeowners also need to be clear about their timelines. Pregnancies are one of the single greatest triggers for renovations in Vancouver, Capar said.

"If the baby's due in three months, make sure that's clear," he said. "Because if [a builder's] schedule is eight months out, you should know that so you can eliminate each other."

Fly by the seat of your pants

Interior designer Daine Halley said people must do their homework and build up enough knowledge to survive the blizzard of design decisions.

"Make a plan and stick to it to keep a project from becoming a reno horror story," the owner of Comet Interior Design said

(prepared by Paul Luke/Vancouver Province)