How to cost out property renovations and furnishings

To accurately cost out your property, you must create a master spreadsheet that lists every single job and item required to make it guest-ready. For any significant building or decorating work, your first step should be to get at least three detailed, written quotes from qualified tradespeople. This budget is the most critical tool you have for controlling your startup spending and preventing unexpected costs from derailing your project.

Divide and Conquer: Building vs. Furnishings

The easiest way to approach this task is to break it down into two distinct categories. This makes the process feel less overwhelming and helps you organise your spending more effectively.

1. Building Work: This includes all structural changes, renovations, and decorating. Think plastering, plumbing, electrical work, flooring, and painting.
2. Furnishings & Equipment: Often called FF&E (Furniture, Fixtures, and Equipment), this covers everything you put into the finished space, from beds and sofas to towels and teaspoons.

Step 1: Budgeting for Renovations and Decorating

Start by walking through the property, room by room, with a notepad or tablet. Make a detailed list of every job you think needs doing, no matter how small. Once you have your list, it's time to get professional estimates.

• Get Multiple Quotes: Contact at least three different reputable tradespeople (e.g., builders, electricians, plumbers) for each major job. Provide them with the same list of requirements to ensure you can compare their quotes fairly. Always ask for the quote in writing.
• Check Credentials: Ensure any tradesperson you hire has the right qualifications and insurance. For example, any gas work must be done by a Gas Safe registered engineer.
• Analyse the Quotes: Don't just look at the final price. Check if VAT is included, what materials are covered, and the estimated timeline for the work.

Step 2: Budgeting for Furniture and Equipment

This part of the budget often contains more individual items than the building work, so being methodical is key. Again, go room by room and list every single item you need to buy. Be incredibly specific.

Your list for a single guest bedroom might include:

• Bed frame & headboard
• Mattress & mattress protector
• Duvets & pillows (plus spares)
• Bed linen (at least three sets per bed)
• Wardrobe & hangers
• Bedside tables & lamps
• A chair or desk
• Blackout curtains or blinds
• Mirror
• Waste paper bin

Do this for every single space, including common areas, bathrooms, and any kitchen or staff areas. Once you have your complete list, you can start researching prices from different suppliers, including specialist hospitality providers (who offer more durable goods) and second-hand options for non-essential items.

Step 3: Bringing It All Together

Use a simple spreadsheet to build your master budget. Create columns for 'Item/Job', 'Category' (e.g., Plumbing, Furniture), 'Quantity', 'Estimated Cost', and 'Actual Cost'. This will give you a clear overview and allow you to track your spending as you go.

This is the most important tip: Add a contingency fund of at least 15-20% to your total estimated cost. Renovations almost always uncover unexpected issues, like hidden damp or wiring that needs replacing. This fund is your essential safety net to cover those surprises without derailing your entire budget.