Montenegro Girl x

What budget? Update on my apartment renovation in Montenegro

Apr 3, 2020my apartment

I have 2 golden rules that I always make sure I remember when doing a property renovation.  Rule #1 It always takes longer.  And rule #2 It always costs more.   This week I thought I’d fill you in on how I’m getting on with the costs for my little apartment renovation in Montenegro.  Yes, this post is all about that dirty word. The budget.

Don’t we all just love a budget?  Hmm. Well, actually … yes, I do.  I’m a detailed nerdy kind of girl, who weirdly enjoys number-crunching.  And I get a kick from planning a property renovation out and meticulously filling in my spreadsheet.

Well, that is until the renovation schedule starts running behind and the whole thing drags on longer than expected.  Until I’ve exhausted my decision-making capabilities.  And I’ve burnt myself out with too much agonising over trying to “get it right”.

And that is precisely where I am at now with my Montenegro apartment renovation.  I’m in the “worn out, can’t wait for it to be finished, blow the budget” phase and I just want to get this beast of a job done and well and truly behind me.  It’s actually a dangerous place to be in – for the budget, that is.  Because all the well-thought out and considered plans are about to be torn up and tossed into the wind.  (Preferably over the side of a cliff somewhere where they can disappear forever over a vast ocean).

A good start with the budget for my Montenegro apartment renovation

I know, I know.  I started off so well with my design aspirations and attention to detail for this second renovation of my apartment.  But looking back on previous property renovations I’ve done, I’m reminded that this is a familiar pattern.

I once did a kitchen renovation in an old Victorian country cottage, when I got so worn out mentally and emotionally, that I simply closed the door on it all and refused to enter the room ever again.  Fortunately, Mr MG managed to coax me round after a week.  And it was all fine in the end. 

But I should really invent a golden rule #3.  “It’ll always wear you out in the end – so much so that you won’t care about anything else, but getting the darn thing finished”.

That’s not exactly catchy though. 

So, big question.  Is the work costing me more than planned?  How is the budget for this little Montenegro renovation actually doing? 

Original renovation budget for my Montenegro apartment

Maybe it is a good time for the figures now.

How I worked out the budget for my little Montenegrin renovation

In my working budget sheet, I listed every item individually, but I’m just showing totals for each section here to keep it short.

Category 1

I set out ideally planning to invest no more than £15k into the property given my estimated increase of value after renovation to a good standard.  I psychologically don’t like to spend more than a property will be worth after any improvements.   (I actually started off with a target spend of £10k, but realised that this was probably unrealistic given the work and finish I wanted done). This was my category 1.  I broke this up into 2 parts:

1a Payment to project manager (this primarily includes all labour costs, wooden windows – triple-glazed for soundproofing, basic materials used for plastering and electrics, installation of bathroom etc).

1b Fixture and fittings sourced by me (including kitchen units and installation by kitchen company, appliances, light fittings, tiles and bathroom fittings such as shower, toilet etc).

Category 2

I allowed £5k for furniture and anything that wasn’t part of the actual building on top of this eg beds, bedlinen, pictures, lights etc.  Stuff that I wouldn’t have to include as part of the value of the apartment if sold. This was category 2.

I then added a contingency of around 15%.  This all came to a total of £25k GBP. Or 27,500 EUR (at the exchange rate of 1.10 EUR to 1 GBP at that time).

What was the renovation budget again??

 So, as for the golden #2 – it always cost more. Yes, this has indeed been true for this project (sigh).  As you can see from the table, I’ve spent all the budget including the contingency and will have an overspend of about 1,700 EUR over once it is finished, unless I can make some savings.  (However, all my figures are based on a low rate of 1.10 EUR = 1 GBP, so it may not be quite as gloomy as that in reality as payments have not all been made at the same time). 

How did it all go wrong with the budget for my Montenegro renovation #2?  

The main areas where I have gone over budget is in the fixtures and fittings line.  This is primarily because I decided on a using a local company that supplies quality German kitchens and got Bosch appliances (albeit a discounted package). 

Plus, I had to pay extra for a new panel to be made as the measurements had changed during works.

I’ve paid for the interior doors to be sanded and painted.  Originally, I was going to bring some paint over and do this myself. 

I also had a change of heart about having a fitted bathroom cabinet. (I originally intended to buy a simple unit off the shelf, but then opted for a custom-built unit to maximise storage in the awkward corner, where the sink is). So, I think that explains the overspend. 

I cut back in the furniture / accessories section by not buying a TV (we’ve never had a TV there and can manage with ipads and Netflix for now).  I’ve also decided not to buy a shelving unit that was planned for the lounge.

Renovation budgets can be a very personal thing.  Many of you may well be thinking how extravagant this is for a 47m2 apartment.  Others possibly not so surprised by it.  You still need a full kitchen and bathroom and all the usual furniture that you would for a larger 2-bedroom space after all. I know I could have gone cheaper though. 

But I really wanted to create something special and comfortable this time around, so I could enjoy it for years to come. 

And once this long and somewhat painful renovation is finally over, that’s exactly what I plan to do!

Montenegro Girl x

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