John Biancini

2019 Remodeling Cost Benchmarks

January 18, 2019 By John Biancini Leave a Comment

“What will my remodeling cost?” is one of the first questions many homeowners ask APEX when considering a project. That’s fair. It’s not like they can go on Amazon and compare prices and features for a new kitchen or room addition. And how could they possibly know remodeling labor, materials and project management expenses.

Fortunately, Hanley Wood LLC, the nation’s biggest construction industry publisher, issues a report each year that estimates costs and resale payback (value) for dozens of common remodeling and replacement projects. The Remodeling 2019 Cost Vs Value Report draws on a leading construction estimating tool to price the jobs. Then it asks experienced Realtors from different regions to score how each project would impact the home’s resale value so it can calculate payback.

Kitchen and Bath Remodeling Costs

Here are a couple of examples. The report prices a mid-level quality major kitchen remodeling for our West North Central region at about $64,400 (62.1 percent payback) and an upscale kitchen at about $128,700 (59.7 percent payback). It pegs a mid-level bathroom remodel at about $19,600 (67.2 percent payback) and an upscale bath at $62,500 (60.2 percent payback).

I think this independent cost/value benchmarking provides APEX Construction Management clients with a valuable frame of reference. We share the link to the annual study because well-informed homeowners are our best clients.

Basis for Remodeling Costs

Like the study’s publishers, APEX doesn’t pull a big number out of the air based on what a similar project cost last year. Rather, we tally all of the tasks and materials that must be completed and add overhead and a reasonable profit. We build each estimate from the ground up, just like our award-winning additions.

As expected, the latest report shows that both project costs and values increased last year. Steel tariffs, skilled labor shortages and strong demand will do that. For instance, the authors noted that the cost of replacing a steel door increased 24 percent from the previous year. That’s also why our design estimates come with expiration dates.

You Come First

The value or payback part of the annual remodeling study reflects its source: Realtors. Once again, exterior facelift projects such as garage doors and stone veneer accents retain the most value because their costs are relatively low and they help to make a good first impression among prospective homebuyers. Realtors say this enhanced curb appeal raises price expectations.

Payback should be considered if you are improving your home to sell. In that case a minor kitchen remodel at $21,900 may be worthwhile. Realtors in our region say it should retain 80.5 percent of its value. But, in reality, most APEX clients tell us they plan to stay in their homes and are remodeling for themselves to improve their quality of life. As the study suggests, the composite deck will cost more than wood, but what is it worth to avoid sanding and re-staining every couple of years?

Download Complete Report

To learn more, download the complete Remodeling 2019 Cost Vs Value Report free here. Be sure to review the scope for each project so you understand how it compares to what you plan. If you have any questions, please contact me.

Focus on Living, not Aging

May 14, 2018 By John Biancini Leave a Comment

JB talks accessibility with NARI speaker Louie Delaware. (Photo courtesy NARI MN.)

Although I earned my CAPS (Certified Aging In Place Specialist) credentials many years ago, I was eager to hear Louie Delaware from the Living In Place Institute in Colorado speak at the NARI MN meeting last week. I wanted to learn what’s new to help people live comfortably and safely in their homes for as long as they like.

While the information was very familiar, marketing of the design principals certainly has evolved. If Louie is right, it’s more about what you don’t say to get homeowners to adopt and invest in accessibility upgrades to their homes.

Making Accessible Design Appealing

He expained that the movemement toward barrier-free living started in the 1950s. The American Standards Association published the first acessibility standards in 1961. By 1973 some 49 states had adopted their own rules. Federal guidelines came in 1984.

The initial Americans with Disabilities Act (ADA) requirements applied to public spaces and businesses, not private homes. And many of the products designed to achieve accessibility looked decidedly institutional. The first focus was on people with physical disabilities. Later, the concept of Universal Design broadened the scope to benefit people of any age or ability. The idea was that accessible design could look attractive and make life easier, safer and more comfortable for everyone. That was followed by the “Aging In Place” buzzword, which spoke to the enormous Baby Boomer generation that wants to continue living independently in their private homes.

According to Louie, the trouble is that most people don’t want to focus on aging; they prefer to think about living. Which is why he founded the “Living In Place Institute” to teach and certify contractors and designers.

The principles are the same whether you call it Universal Design, Aging In Place or Living in Place. Good design is about more than good looks. It also should improve your quality of life at home, however and whenever that life changes.

Here’s just one example from Louie’s talk. Install a GFCI-protected electrical outlet behind your master bathroom toilet when remodeling the space. Use it for a nightlight now. But it will be available to support a bidet toilet seat down the road. Louie claimed inability to take care of personal toileting is what causes many people to enter a nursing home.

Bottom line, you can count on APEX to keep an eye on the horizon even if you a focused on the here and now.

Curb Appeal Projects Top Payback Report

January 13, 2018 By John Biancini Leave a Comment

Each year at this time, Remodeling Magazine publishes its annual “Remodeling 2018 Cost vs. Value Report” on the average cost of 21 popular remodeling and replacement projects and the value each would retained at resale. Not surprisingly, lower-cost curb appeal projects dominated the top 5 list.

The survey said installing an upscale garage door would actually be worth 12.6 prcent more than its $3,591 Minneapolis market cost. A $1602 midrange-quality steel entry door would hold onto 93 percent of its value. Replacing 300 square feet of vinyl siding with manufactured stone veneer around the entry would retain 91% of its $7,996 cost for third place. Number four was adding a $12,735 16×20 pressure treated wood deck at 79.7 percent. The only interior project was fifth-ranked mid-range quality Minor Kitchen Remodel. The report said it would retain 72.7 percent of its $24,351 cost.

According to research by RemodelMAX, 2017 labor and materials costs for a bathroom addition increased the most (6.5 percent) of the 21 projects from 2016. The price of a minor kitchen remodel rose the least at 2.7 percent.

Cost vs. Value Report Data Considerations

The Remodeling Cost vs. Value Report findings are useful for homeowners to get general idea of what projects might cost in the Minneapolis market. And the payback estimates could help them avoid over-improving their homes if they plan to sell in the coming year. However, the authors warn that the data was assembled last summer and fails to take into account significant lumber price increases our market experienced this past fall.

It’s also important to remember that most homeowners remodel to improve their own quality of life at home, not to make a profit off the investment. More importantly, the survey didn’t even try to put a price on the value of a happy spouse, creating an environment that’s a hangout magnet for your children and their friends, or the peace of mind and safety that comes from an accessible bath in retirement. We’d say it’s “priceless.”

Complete data from the Remodeling 2018 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.

January Right to Launch 2-Step Remodeling Process

December 20, 2017 By John Biancini

Remodeling is a journey, some would say an odyssey. But nothing dictates that you must travel the route nonstop.

Over the years, I’ve met many homeowners who were reluctant to start down the remodeling path because they weren’t quite ready to commit to spending money on construction. In reality, we would have to cross a number of bridges before we would be prepared to build. So I suggest starting the first leg of the trip sooner and reserving an informed construction decision for later.

By initiating preliminary discussions in January or February, you will be ready to move forward with construction in late winter or early spring when others are just getting started. In our high demand remodeling market, that can make the difference between completing your project in April before grad parties and weddings or waiting until September.

Remodel Feasibility, Budget, Timetable, Design & Estimate

The first step in APEX remodeling projects is to establish goals and get comfortable with each other’s communication style. The communication component is especially important for me because I am profoundly deaf and must read lips. Expect my full attention when we meet. I do have a special office phone that enables me hear most callers when I’m at my desk.

As a General Contractor, our goal is to manage the remodeling process for the smoothest client experience and for the completed project to enhance the quality of life at home for the people we serve. Time spent assessing goals and preferences is critical to achieving this end.

Our first “deliverable” typically is an initial design and preliminary budget estimate. We’re good listeners, but it’s not uncommon for homeowners’ remodeling visions and initial cost expectations to misalign this early in our discussions. When that happens, we explain the various expenses and, if needed, offer options to narrow the gap without compromising quality.

With agreement on the general project roadmap, we will schedule a trade partner preview to confirm the project costs and help drive a more accurate project budget and timetable. Now that we know what is included, how much it will cost, and how long the project will take, we can schedule construction immediately or put it on hold for a couple of months.

You can’t make an informed decision about remodeling until you have a scope of work, project budget and timetable. Ready for Step One?

APEX Clients Survey

October 27, 2017 By John Biancini Leave a Comment

At APEX, we take grades seriously. We strive for an A+ score on each project and ask clients to tell us directly how we did. We also use the industry’s leading independent customer satisfaction researchers, Guild Quality, to survey our clients after we complete their projects. Guild Quality contacted us this week to say the last 20 APEX clients they surveyed gave APEX the highest score possible for “Likely to Recommend.”

Thank you to all of our APEX customers who take the time to share their experiences through online reviews and these Guild Quality surveys. Guild Quality starts by emailing its survey. If the survey is not completed, it tries again. If that doesn’t work, it calls. And finally, it mails a postcard reminder.

APEX reviews appear on many online platforms, including the APEX reviews page, Google, Houzz, Angie’s List, the Better Business Bureau, Home Advisor and Facebook. The Guild Quality survey is the most time consuming and important because it asks multiple questions. But most people can complete the survey in less than five minutes. The other reviews go even faster.

Repeat business and referrals are the cornerstones of how we have built APEX. These customer satisfaction surveys and online reviews are what keep us on course. Thank you.

Make Your Home Addition a Plus

May 4, 2017 By John Biancini Leave a Comment

Sometimes, bigger IS better, especially in remodeling. But a poorly planned home addition can just as easily make your home worse off structurally, functionally and aesthetically. No worries. We address the critical considerations and common misconceptions during our design-build process so you get it right and there are no surprises. At least no unpleasant ones.

Home Addition sideview

Home Addition Misconceptions

If there’s land, there’s room – Just because you are willing to forfeit some lawn for living space doesn’t mean your community will let you. Zoning regulations require minimum setbacks from your property lines. To be safe, start your home addition concept with your plot plan and survey, not the fence the neighbor erected. Know your limits. There’s nothing worse than planning a project only to have the permit rejected for insufficient sideyard setback.

Going up is always less expensive than bumping out — Depends. Adding a second story saves the expense of a new foundation but the first-floor ceiling joists may have to be enlarged or reinforced. You will need to open up some walls on the first floor to run mechanicals. And you still will need a roof.

Must enlarge to gain space — When existing living space is underused, an addition won’t overcome the problem. The new space could make the old area even less appealing. Before considering expanding up or out, look within. It may make more sense to expand the kitchen into the dining room, convert the formal living room and main level powder room into an accessible bedroom suite. Or make the basement livable with a proper egress window, radon mitigation and drain tile.

Worth Considering for Home Additions

What’s big enough? – I call this approach “go big or go home.” Once you’ve committed to adding on, the cost per square foot actually may shrink a bit when you increase the footprint. On the other hand, if you only need an extra 18-in. to make your new kitchen layout work, keep it small. A cantilevered bump out may be fine.

Melding new and old – Additions need to work with the original structure indoors and out. They should reflect and be scaled to extend and enhance the home’s architectural style. Aligning windows and keeping siding and trim details consistent will help. The enlarged home also should fit the character of the neighborhood. For instance, make a second story addition more down to earth by creating false soffits along the sides. Or add a porch to the front of the home to break the elevation. Indoor considerations include traffic flow and the addition’s impact on natural light and sight lines from existing rooms. Will the porch make the kitchen darker? Will the french doors to the new sunroom conflict with the kitchen table?

The best additions are the ones that look like they were always there. They don’t just add living space. They fit. They flow. They make sense.

Foundations — Additions can be built on piers, footings or foundations. Excavate for a full basement under the addition, install slab on grade if the height is right, or create a crawlspace. Incorporating the new basement with the old will require engineering for a beam to support the load where the original foundation wall is removed. However, if you already have a 36-in.-wide window in the existing foundation wall, you can convert it to a doorway to save time and money.

What’s Keeping You?

Perhaps the most important question when considering a home addition is whether it makes more sense to move to a bigger house or expand the one you’ve got. If you like your neighborhood, have the room and plan to stick around, an addition is a fine option. Let APEX help you improve your quality of life at home. Contact me.

Remodeling Value – ROI vs. Your Own Quality of Life

February 8, 2017 By John Biancini Leave a Comment

Study Rates ROI, APEX favors Quality of Life Impact

Each year, Remodeling magazine publishes its annual Remodeling Cost vs. Value Report. The study estimates the cost of 29 typical remodeling and replacement projects in various markets and asks Realtors to assess the resale value based on comparable homes (comps). For example, if two houses were identical but one had a recently remodeled kitchen, how would it impact the home’s sale price?

The 2017 report provides you with three pieces of information to help you make a more informed financial decision regarding your remodeling project:

On average, how much is remodeling expected to cost this year compared to last year and what will you get for your money?
On average, how much more are the improvements likely to be worth?
Which remodeling and replacement projects will recoup the greatest percentage of cost upon resale?

According to the report, remodeling costs are up 3 percent this year and the average value of projects is up 4.2 percent. Resale value might mean more if you are a fan of HGTV’s Flip or Flop show or are concerned about over-improving your home. But items 1 and 2 send a clear message to Twin Cities area homeowners: You will save money by remodeling sooner rather than later, and our healthy real estate market means your return on investment (ROI) will be slightly higher this year.

Curb appeal projects continue to please

Not surprisingly, the report shows that Realtors still love exterior facelifts and curb appeal projects. It’s all about making a good first impression. For instance, consider two side-by-side homes. One has a modest stoop and an exposed main entry. The other has entry portico or, better yet, a street-facing porch. Guess which one is going to be more appealing to homeowners and homebuyers alike?

Popular trends not driven by financial payback

The popularity of three remodeling trends is beyond debate: integrating interior/exterior living areas, universal design features that support aging in place, and adapting homes for multi-generational/multi-family living. But the report suggests financial ROI for these projects would not be as compelling as for some other projects. These are improvements with significant labor costs so it can be more difficult to recover those expenses.

Report’s top three remodeling, replacement projects

Remodeling divides projects into mid-level and upscale categories. In 2017, the top three mid-range projects include a steel entry door, attic sealing and insulation, and a minor kitchen remodel in that order. For upscale projects, the winners are garage door replacement, wood replacement windows and vinyl replacement windows. But none of the upscale projects came close to the mid-priced project’s ROI.

APEX view of true remodeling value

Industry studies such as the annual Cost vs. Value Report provide interesting benchmarks, but it is important to remember what motivates most of us to remodel our homes — quality of life. Ever since I founded APEX, our core purpose has been to help our clients enhance their quality of life at home. It still is what gets me out of bed each morning. My point is that prospective homebuyers may value a new entry door or garage door, but it’s doubtful those are the projects that would truly elevate your quality of life.

At APEX, we don’t need a national magazine study to tell us what delivers value. We simply listen to our clients. It’s the beautiful, high-function kitchen where they are proud to entertain. Or the finished basement that’s a magnet for their kids and friends. Or the sunny addition that quickly became their favorite lounging area. Or the enlarged garage and mudroom that made Minnesota winters tolerable. Or the new master bath with enhanced accessibility, lighting and storage.

Rising prices and mortgage rates impact remodeling

Perhaps the most important prediction, made by Remodeling’s sister company MetroStudy, is that with rising mortgage rates and home prices this year, people will be more likely to improve their current homes rather than invest their equity into buying new homes. Which takes us back to the beginning.

The smart money says the sooner you remodel the better. And I would add – invest in what you love. Homes are way more than investments. They literally shape our quality of life. — JB

Tale of Two Kitchens

October 20, 2016 By John Biancini Leave a Comment

APEX strives to deliver great client experiences, one project at a time. What better way to demonstrate this than to let you hear directly from a couple of homeowners who recently chose APEX to enlarge and remodel their kitchens. One project was near Stillwater, the other in Burnsville. We hope you enjoy these videos. Please contact JB to share your own remodeling dream.

APEX now Angies List Certified

September 22, 2016 By John Biancini Leave a Comment

Angie’s List has stepped up its support for APEX Construction Management (APEX Design-Build) this month by granting us Angie’s List Certified status. This is in addition to the Super Service Award that Angie’s List gave APEX last year.

Angie's List Certified
Angie’s List Certified status is granted to companies whose licenses are in good standing, who have high scores on reviews and who have no state enforcement actions.

Many factors go into the process of choosing the right contractor. The first step is to narrow the list of contenders. Online reviews and certifications can help to qualify a short list of companies worth contacting.

Now that Angie’s List membership is free, we encourage Twin Cities homeowners to join Angie’s so they can view the many APEX Construction Management reviews that were only seen by paid members in the past. We also encourage our clients to post reviews on Angie’s, Better Business Bureau, Houzz, Guild Quality, Google, Facebook and our own website.

We still want clients to share their APEX experiences with family, friends and coworkers, but they can extend their influence far beyond their inner circle by writing an online review and pasting it onto the various review sites.

People Come First at APEX

June 27, 2016 By John Biancini Leave a Comment

Welcome to softer side of APEX Construction Management (aka APEX Design Build). In addition to remodeling kitchens and building decks this spring, we also designed and built a whole new APEX website. I hope you enjoy the more people-focused approach. The new site employs bigger pictures, team member profiles and less clutter to showcase our talent and guide you through the remodeling process. It also provides convenient, blue buttons that clients can click to share their APEX experiences on the site and on Houzz. Please do me a favor and post your review today.

Matt Grudzielanek

At APEX, People Come First

We launched APEX in 2005 to raise the level of professionalism in Twin Cities remodeling. We quickly developed systems to ensure reliable scheduling, budgeting and quality, but success always comes down to people. Is everyone on the APEX team doing his or her best work each day and feeling appreciated? And, most importantly, do we truly improve not just our clients’ homes but their lives? That’s why the new website shares a bit about Matt, Angie and me. We also plan to recognize our clients and enter their best projects in state, regional and national award competitions. After all, the best remodeling projects are collaborations. APEX clients are essential to their success.

Feeling Energized and Grateful

As my friends and colleagues know, I had cancer a few years back. They say what doesn’t kill us makes us stronger. That and the grace of God may be why APEX projects continue to energize and challenge me to embrace each day. So bring them on! The bigger and more complex the project the better. Don’t worry. APEX continues to accept projects of all sizes, particularly from our past clients. We currently are capable of managing two large, two medium and two small projects at any given time. Call or email me if you are ready to improve your home.

New APEX Website URL and Email Addresses

Finally, make a note that our new website address is www.apexdesignbuild.com and that my new email address is JB@ApexDesignBuild.com. We are not planning to change the company’s legal name, but design-build does a better job of capturing what we do. Besides, with my accent it’s a lot easier to say JB@ApexDesignBuild.com than to spell out JB@ApexConstructionMgmt.com.

Here’s to your best summer ever.