6 Insider Tips for Mastering Your Interior Design Investment
Embarking on an interior design project is an exciting journey that brings our space to life. As we start to envision our design goals, we are filled with ideas and plans and can’t wait to get started. Yet the thought of calculating product costs, deciding where to allocate funds, and managing our project investment can be a daunting ordeal.
This is where the expertise of an interior designer can come in handy. Armed with experience and training, a professional designer understands that a thoughtfully planned and well-managed design investment is the backbone of an outstanding project.
In this blog post I am going to share 6 insider tips on how an experienced interior designer can not only turn the complex task of handling your project finances into a more streamlined, even enjoyable, part of the process — they can help you maximize the long-term value of your home.
Right: Eric Striffler Photography
Define your design goals
Knowing what you want, with regard to your home, is an essential first step. By clearly establishing your design goals, you will ensure that your investment aligns with your aspirations.
I typically ask my clients these questions at the onset of a project: What matters to you and your family? Why is this project important to you right now?
This is intended to uncover the core intentions and desires that are truly driving your project. Closely consider factors such as functionality, style, resale plans and/or long-term enjoyment. This clarity of vision will serve as a guide throughout the decision-making process.
An interior designer can assist in defining your design goals and develop a personalized strategy that encompasses your personal, aesthetic and financial objectives.
Design Budget vs. Design Investment
Every interior design venture requires a financial commitment, however understanding the difference between a design budget and a strategic design investment is crucial to the way we approach a project, and ultimately to its success.
Once we have defined the project goals, and the scope of work is clear, the next step is to establish a preliminary budget. This document (typically a spreadsheet) includes estimated project costs and expenses, divided into categories, with totals at the bottom. It provides a comprehensive, yet detailed view of the potential costs, and serves as a starting point for decision-making, adjusting the scope of work, and determining the threshold for expenses. The design budget also acts as a safeguard against excessive overspending.
However, while a budget is a helpful tool, it is merely a tool. A design investment, on the other hand, is a calculated allocation of funds that focuses on maximizing the long-term value of your project and home.
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Key expenses of an interior design project
Let’s take a look at the the key expenses of an interior design project. These include design fees, products (materials, furnishings & fixtures), custom & built-in features, labor & installation, shipping & delivery, contingency funds, permits, and taxes. Keep in mind, these are general categories, and not all will be applicable to every project. The amount allocated to each category is influenced by several factors, such as client preferences, project scope, quantity & quality of materials/products, labor rates, and unexpected expenses.
Understanding these key areas and determining factors can establish clarity, priorities, and assist in making informed design decisions. A professional designer will help calculate and consider the potential impact on both property value and personal satisfaction, and can guide you towards the most effective and rewarding result.
Left: Lucy Schaeffer; Right: Eric Striffler Photography
Where to allocate and prioritize your funds
I always encourage my clients to approach design as a long-term commitment, rather than fixating on the immediate costs. Consider the value and impact of your design choices over an extended period of time.
While it may be tempting to choose immediate cost savings over long-term benefits, compromising quality for the sake of saving money may diminish the value of your home and potentially lead to costly repairs, not to mention a disappointing outcome. Consider instead reducing scope, if necessary, rather than compromising on quality.
Refer back to your design goals, the underlying motivations that made you embark on this project in the first place, to determine where to best allocate and prioritize your funds.
For example, if having a multi-generational vacation home that you can leave to your children is important to you, then prioritizing durability and timeless design is essential. I suggest investing in high-quality materials and well-crafted design elements, which will yield substantial benefits in the long run, such as enhanced longevity, and increased property value.
How to optimize the return on your investment
An investment-oriented mindset involves a more strategic and forward-thinking approach to design, one that seeks to optimize the return on investment, both aesthetically and financially. I invite you to look at your project investment as a thoughtful allocation of resources aimed at achieving a tangible outcome — financial or personal.
Envision the potential benefits and transformative impact that a well-designed space can bring, especially if you plan on selling your property in the future. Consider the scenario where a kitchen renovation costs $70,000 — an investment that can yield a return on investment (ROI) ranging from 60% to 80% of the project's total cost. Not to mention, this investment brings the added benefits of reduced energy expenses, and a greater inclination for family gatherings around the kitchen island…more happiness and memories.
Collaboration is Key
Achieving a strategic and thoughtful design investment plan is a team effort. It requires careful deliberation and collaboration between clients, designers and contractors. It involves an open dialogue about priorities, realities and aspirations—as well as the potential benefits and drawbacks of various design choices.
When I work with my clients on the financial plan of a project, I ensure that every dollar spent is an investment in creating a space that not only meets your functional needs but also brings you long-term joy and fulfillment.
If you're embarking on an interior design project and could use some assistance with regard to your investment, don't hesitate to reach out. I am here to answer any questions, and help turn your design dreams into reality! Book a Discovery Call with me today.
Warmly,
Alejandra