Archive for the ‘Real Estate Investment’ Category

Hot Topic 2: Don’t Read This Unless You Want A Great Finished Basement

January 31, 2010

(and maybe gain more value then you spend!)

by The DIY Coach, Jerry Spumberg

 The object of this article is to give you a starting point to design and build a finished basement that exceeds your objectives and goals. It should be able to meet your current needs and be easily modified so that it can change as your needs change. Whether you are an individual, couple, or a small or large family, a finished basement can enhance your life. It can supply needed space for peaceful contemplation, individuals’ hobbies, and activities that bring people together. It can be a home theater with interactive games as well as allowing all of the aforementioned purposes. It can provide a home office, extra bedrooms, live-in helper’s quarters, and very often most of the uses that can be developed on the floors above. Using that unfinished basement space is one of the most cost effective ways to develop additional living space for a home owner. To sum it all up, if you feel cramped for space, it’s worth taking a look at that unfinished basement first.

The purpose of this article is to put you in the driver’s seat so that you can steer your project into becoming A Great Finished Basement. This article is not to give you a detailed how to do it manual; there’s already is a tremendous amount of material out there. But I will give you some of my personal opinions and tips that will point you in the right direction.

I am going to assume that you are contemplating a finished basement project whether you are  a Do It Yourselfer, a person planning to act as their own general contractor, or are going to use a general contractor. It can even be a combination of the above. You have two major decisions to make. The first one is what you want the basement to become. The second one is the manner and by whom the project will be built. 

It is important for you to understand the realities of what you spend as to what it’s worth if you hire a general contractor. For those of us who are so busy that there is no time or our vocational demands make it impractical to be involved, hiring a reliable, quality, and reasonably priced general contractor may be the best way to go. This is especially true if you put a monetary value on your time. But making a decision is tough if you don’t understand what your involvement is worth and how much time is involved. Even if you’re a busy person, there is an alternative if you can invest a little time.

Go to our web site http://www.thediycoachusa.com  and look at the link titled “Cost vs. Value”.  (You can find it by clicking onto “9 Facts That Could Save You A Bundle“.  When that page opens, the “Cost vs. Value” link will be on the left.) You will find the following information that is known by professionals. The average midrange finished basement remodel in the U.S.A. from 2008-2009 cost $61,011 and the value added at the time of resale to the home was $44,467 or about 73% of what was spent. In the Middle Atlantic States the projects average about $6000 more and the return at retail is about 60%. You do the math. How much is your time worth?

The reasons for finishing a basement for most families is about needs. In this article I want to add in how to get the most for your money with the possibility of getting back more than you spend. Remember, many people spend less and some spend more than the numbers given above. I want to draw your attention to the fact that how you spend your money will have a great effect on the value added to your home. It is your decision! Take the time to make it wisely.    

The Do It Yourself Coach’s way is to make you the administrator and developer of your own project. This way your cost ends up similar to a builder’s own project. That’s right! There is a way to remove the overhead and profits that general contractors add on. Please go back to our web site www.thediycoachusa.com to find out how you can do this. In addition, it will explain how you can have professional results and help as you need it. Okay, that was my sixty second advertisement. Now back to your basement project.

I want to urge you to be fearless throughout the design stage. It’s not that difficult. In most areas you may not need an architect, unless you are making a structural change. If it’s your own home, most building authorities will accept your drawings if they meet the town’s requirements.  You can do this part and there is much written on the subject of finish basement designing. I’ll just mention two of the many books that you can purchase or find in your public library: Black & Decker’s “The Complete Guide To Finishing Basements” and Creative Homeowner’s “The Ultimate Guide to Basements Attics and Garages”.

Again I want to state, “it is not my intention to write about a project from start to finish”. It would be a two hundred and fifty page book and I would be regurgitating a lot of material that is already out there. What I want to do is to give you tips and point out a few decision-making areas that I always go over with clients.  

Important, Read This: Almost all building codes have a required minimum finished height of 84 to 90 inches from floor to ceiling. If you think you have a problem, talk to a building inspector about this. In past projects, I have lowered a basement floor, when sub soil conditions were good, six to twelve inches in the finished area. In other cases we replaced drop girders with flush girders to solve passage way problems. So don’t give up. You just may need a little professional advice or relief from the building department to resolve issues.

My advice is do not begin the actual construction of a project without proper permits and approvals. The process is to protect you and the consequences can be severe fines and the demolition of the work you’ve done in the end. Don’t let anyone talk you into this, including contractors, without a discussion with the local building authority.

I have seen cases where work done by owners had to be removed or corrected before a sold house could close or caused a reduction in price to close the sale. I was once called in to remedy leaks on the first floor of a two story residence that was caused by  defects in a bathroom remodel done by the previous do-it-yourself  owners. Not only was the project done poorly, it was done without a permit. The new owners were successful in recouping the cost to completely redo the bathroom, including legal fees, through litigation. In most cases, it just doesn’t pay and isn’t very smart to avoid the system.      

The first step is to know what you have. You can purchase what is called “Cross Section” 17″x22″ or larger non-reproducible layout bond paper pad in most art or drafting supply stores. One of the neat things about this graph type paper, that is divided into ¼ ” and 1″ boxes, is that when the page is copied with a copy machine, the guide lines disappear. You will be using this to create an accurate scaled drawing of your basement as it presently exists. I want to emphases accurate. In order for you to do this you may have to clear the area that you will be working in of items that will inhibit access for measuring. I then set up a table in the basement and begin making my drawing guided by the lines on the paper while using a scaled ruler and pencil. You can purchase software to help design your project if you like, but I would still use the paper for gathering the data.

To make drawing this easier, start out by measuring and marking on the paper the basic rectangles that make up your basement using 1/4″ lines to equal 1′, without any of the projections or unusual shapes. Therefore at this point, any circular or angular space will be within a rectangle. The next thing I suggest you do is to determine the largest scale you can use and still fit everything on the paper, leaving space on the outside for notes. Then transfer to drawing to a new sheet of paper using the larger scale.  It is now time to mark any projections from the wall (such as piers or pilasters),  layout the circular or angular areas, then mark out the locations of all columns, placement of girders, stairs, and the direction of beams. The final step in the as-built drawing is to confirm what you’ve done, make any changes needed, and mark the measurements on the drawing. If you have done this in pencil, it will be easy to change. When I reach a point that I’m confident my drawing is correct, I go over the lines in ink.

At this point I make several copies (called a print) of what has been done. If your printer doesn’t have the capacity to make copies, you can use one of the copy services. Call first to make sure the copy service has a machine to handle your size drawing.

On the first print, I locate and draw in all the areas that are occupied by mechanical equipment such as hot air furnaces, hot water boilers, hot water heaters, water and gas meters, main and sub-panel electrical boxes, any ducts below the ceiling joists, and the location of all water shutoff valves and sprinkler equipment. I also locate and note sewer and waste line locations that are along the wall or rise from the floor and where they exit the walls. I will also make a tracing of these items, as an overlay and aid when I begin the design. I then put the drawings aside and move to the second step. In many cases, when my clients don’t have the time to do this, I do it for them.

 The second step is project planning and objectives. Go to our web site www.thediycoachusa.com and read the articles under the subject. Simply put, you have to determine how the space will be used and your order of priorities. Decide how much you want to spend on the project and what special areas will be needed and the amenities that are desired. Depending on how you will use the space, some of these items may be: storage and closets, bathroom, exercise area, work/craft shop, kitchen and bar area, fish tank, and so many things that there is not enough room to list. The important thing is to know what is most important to you. This way if you need to limit cost you can remove what is less important or plan to do it later. Never go over your spending budget without thinking it through for a few days.

One of my methods of designing is to use a copy of a print and layout what I want to include in the way of equipment, furniture, cabinets, book and display cases, bathrooms, etc. An easy way to do this is to cut pieces of graph paper to the scale of the item. Let’s say you want a ping pong or pool table area. Most of the manufacturers of this equipment or the retailers that sell it can give you the minimum space requirements needed to surround the item. With your scaled cutout, it will be easy to determine where the best location will be by placing it on your drawing. Designers often say that we should design for function. You can read more about this in the books I mentioned. However, even if you need professional help, by providing the drawing of what exists, you will save them time and you money.

The importance of design is not only to determine what you want and where, but to use it in developing a realistic budget. There are two previous articles on this blog that should help you in developing a budget and tracking costs. The first about buying right and the second about budgets and schedules.

The only basement you should finish is a dry basement. Read our previous article on the subject of damp and wet basements. In cases where remedial work was done to cure water or moisture problems, I have used companies such as Water Out to dry the basement before work  began. Companies using this type of method are much more effective than any other that I have seen. Many new home builders use companies like this to eliminate moisture issues and the problems they cause during the construction process. Check out the video of this drying method at http://www.waterout.com as part of a solution for a situation that you could encounter.

Even if you think the basement is dry, we know that concrete is porous and water vapor can pass through it unseen. It is cheap insurance to seal poured concrete or block walls to prevent moisture from being trapped between them and the finished walls. Not doing this could lead to mold, fungus, bacteria, wood rot as well as insects, all of which are hidden out of sight. Understand and use vapor barriers where ever needed as they relate to walls and floors. Tip: Even in a relative dry basement, I use a dehumidifier to lower moisture levels and a humidistat to measure the moisture content of the air to ensure the adhesion of sealers to foundation walls.  

The third Step is developing specifications. The items we will talk about are the interior sealing of concrete walls and floors, vapor barriers, insulation, framing materials, wallboard (sheetrock), and alternative wall systems and ceilings.

In order to seal concrete or masonry, it must be dry so that the sealant can penetrate and lock onto the surface that is being sealed. As I mentioned previously, even in relatively dry basements I temporally use a dehumidifier to enhance the conditions for the application of a interior sealant. I also pick a sealant that has the most resistance to penetration to moisture. You may find this information in past issues of such non-bias sources like “Consumers Reports” or home improvement magazine issues. You can also research it on the web. Make sure the information you get is independent, unbiased, and not by tainted by the manufacturer.

There is another method of sealing the interior side of foundation walls, which I prefer, that also provides excellent insulation at the same time. It is sprayed on site directly onto the foundation wall. It is called closed cell polyurethane foam insulation. You can hire a contractor to do it or buy it directly from several manufactures in a Do It Yourself Kit. It is not difficult to apply. One of the companies is RHH Foam Systems, Inc. who have a web site by the same name with video instructions. There are distributors in my state and in many parts of the country that handle this and similar products.

When using this product, I usually frame walls two inches away from the foundation wall. Upon completion of framing, I then apply the product to the foundation wall to the edge of the studs. It is the most expensive type of insulation if you only consider the product’s cost as insulation alone. Its performance as a sealant and insulation is at the top of the chart. When I add in the fact that I am sealing and insulating at the same time and consider the labor saving advantages of a one-step solution that’s a superior performing product, it no longer appears expensive to me.

Another method of insulating is the use of ridged polystyrene boards after using a foundation sealer and before framing. I normally use two inch thick material to achieve a reasonable “R” rating, but thinner material exists. The boards can be attached using a special adhesive and the seams are then sealed with a insulation vapor barrier tape. There are two types: (1) expanded, which is cheaper and has a lower R rating,  and (2) extruded, which has a higher R rating and is more expensive. I prefer the extruded because it is tougher. The walls are then framed.

The final method I will discuss is the use of unfaced fiberglass batt insulation. You can use either paper faced or aluminum foil faced batts, however the vapor barrier will not be continuous. The point to remember here is that humidity can develop within the finished room and pass through the sheetrock and get trapped in the wall cavity. This type of insulation is installed much the same way as when used in most home construction. Fiberglass batts are placed between the studs, after framing and upon the completion of work by other trades. These trades may include in your project electrical, plumbing, HVAC and additional carpentry to install mounting blocks for cabinets, wall mounted TV, or special trim and accessories. Remember to seal foundation walls before framing and add a vapor barrier under the sheetrock of six mil plastic. In some cases people have used a combination of the ridged board type up against the foundation and the fiberglass between the studs.

I normally recommend insulating the ceiling for two reasons. The first is to help with noise; the second is to deal with heat stratification. If you heat the basement with no insulation in the ceiling the following will happen: the heat from the basement will rise up through the floor and raise the temperature of the house above to uncomfortable levels. It is similar to a two story house with a one zone heating system with the thermostat on the first floor, where the second floor rooms are hot and uncomfortable in the winter. If the basement is on its own heating zone and the heat is moving upward, the thermostat could almost continually call for heat, thus driving the temperature of the house above to a uncomfortable level. Insulation is relatively inexpensive when we consider the cost of a project and the pay back in energy saving makes sense. But what makes even more sense is the comfort and increased usability of the space.

I have talked about the walls and the ceiling as it relates to insulation and will now address the concrete floor. This is one of the tougher decisions to make. The temperature of the ground below the frost level in many areas is about 56 degrees. Concrete has the ability to absorb heat quickly. That’s what causes your feet to feel cold when walking barefooted on a concrete or tiled floor.

The decisions to make are based upon the following: How much does the above matter as it relates to comfort and cost? How important is energy efficiency? Will children or adults be sitting or playing on the floor? What will you use for the finished flooring material? How much use will the finished space get? How much am I willing to spend?

If I was building a new house on a concrete slab or a house with a basement that would be finished during construction (or in the future), the answer is simple. I would install 2″ closed cell polyurethane foam in the board or spray foam on top of compacted stone or sand then use 6×6 10/10 welded wire mesh as part of the concrete slab in all the living areas. Where I needed to drop a basement floor to gain head room, I’ve used this method. The difficulty with a sound concrete floor is the cost of removing it to place insulation under it doesn’t make sense.

Clients looking for the least upfront cost may elect to install carpet, vinyl, or ceramic tile directly to the floor. Based on seasonal use or living in a temperate climate, this can be a satisfactory solution. However in my state (New Jersey), most of my clients want year-round use of the space and a comfortable floor. In the past, a radiant heating system in the floor with ceramic tile was and still is a common way to go. It solves the problem, but it isn’t energy efficient. Clients today however have an array of flooring materials to choose from that include engineered wood and laminate products in addition to the ones mentioned before. They are also demanding energy efficiency and a high comfort level.

There are several ways to accomplish this; I will mention two. The first is to use 2x4s on the flat (called sleepers) attached to the concrete over 6 mil polyethylene sheeting (for a vapor barrier) with 1½ ” closed cell polyurethane foam board in between the 2x4s. Over this is installed a 3/4″ plywood subfloor. This will give you the most flexibility in choosing flooring materials and a reasonable amount of comfort. It can even be installed with radiant heating. In garage or extremely deep basement conversions, I have also built decks similar to the floor above which has many advantages and performs a similar purpose.

The second method is to use interlocking subfloor panels over a pre-leveled concrete floor. There are several ways to level a floor including grinding if there a only a few high spots. I have very often used a self-leveling material that can be poured on in a semi-liquid state to solve floors that had variations up to two inches. This method will give you a better comfort level then just installing a floor over concrete. Check out the books I mentioned for more information on the subject. Make your decision based on your objectives and use of the space. If you’re unsure, ask a professional for advice. In these decisions, the least costly method, if it limits your comfort and use, can be looked at as being the most expensive based on your total investment. Before making a decision, go back to your objectives and goals. 

The next specifications I want to help you decide on is wall construction. In the last few years, panelized basement wall systems have come on the market that were only available through franchised dealers. However recently, other manufacturers have come out with similar products that are available through material suppliers. It is not something you are going to find in a big box home improvement store yet. These systems feature removable fabric or other material covered panels that are installed in tracks. They remind me of office cubicle panels. The panels are resistant to mold and moisture and have some insulation value. Since these systems are fairly new to the market, it is hard to tell what the return is at the time of selling. I have heard from the venders and manufactures that it is good. From realtors, I’ve heard that it may appeal to some purchases somewhat, but that most of their clients want the basement to look like the rest of the house.

In my opinion, the pros are that they provide a tough surface that is reasonably cleanable for playroom use. They are removable for access behind them and have built-in resistance for moisture problems. Because each panel is every four feet or so, they require a vertical seam that is trimmed with a molding strip; you will have to like the look. The cons are that they do not look like the rest of the house. You do not have the same flexibility of interior design as it relates to trim moldings, wall finishes, and built-ins. The insulation choices are limited and the panels are expensive. Many of my clients feel it has an institutional look; they are not looking to relax in a place that looks like where they work. The most important factor for me is their difficulty of building in the wow factor that maximizes value and use. Even through you will hear realtors tell you how important kitchens and baths are, they can also tell you stories of how a great finished basement has sold many homes. However, I do not want to discourage you from looking at these systems because it may be just what you’re looking for.

If you don’t use a system like above, you’re left with what has been used for a long time: framed walls. I don’t believe in furring out walls (attaching wood strips directly to the foundation walls) in most climates. The reasons are that wood doesn’t get along in direct contact with concrete, the piercing of the wall through attachment, the lack of a thermo break between the foundation and the finished wall, the difficulty in moisture control, insulating, and the installation of the mechanical and electrical trades. It’s the cheapest way and you get what you pay for, including little value at the time of selling.

One type of material that is used for framing is wood. This is usually 2×4 studs on top of a pressure-treated plate with either one or two top plates. One of the advantages is that you can eliminate any contact with the foundation and the stud wall simply by moving them apart. I’m not going to go into the details of construction, but this method gives you excellent wall strength and great flexibility of design. Tip: Remember to install extra floor plates if you’re raising the floor with sleepers for base molding and install blocking for crown molding and things that will get attached to the floor. If you solved your moisture issues or have none, wood has few draw backs and is sturdy. Once it equalizes its moisture content with the surrounding environment, it will react as the rest of your house.

If you have seasonal movement in your house due to interior humidity changes, steel studs could be a good choice.  They have become popular due to the rising cost of lumber as well as being fire and insect proof. In addition, they are light weight, rot resistant, and are always straight and uniform.  For non load-bearing use, they come in 25-gauge and 20-gauge studs. I strongly recommend using the heavier 20-gauge material for a sturdier wall. Again, I won’t go into the how details of using this material, but here’s a tip: Make sure that you block as you would for the wood studs above and strengthen areas such as door openings, archways, and walls that will carry weight. It is also important that electricians, cable installers, and plumbers use plastic grommets as their work passes though each stud. This will prevent the galvanic reaction of copper or the cutting of lines that could lead to electrification of the wall or water leaks.

You’re at a point now that the frame is completed. All the in wall work is done and you have to cover it up with something. When I speak to an audience, they always come up with the half right answer of sheetrock, gypsum board, or wall board. For most of us, they are the same thing. What also needs to be added to your specifications is the thickness and the type. There is the standard white board, then water resistant blue or green board, and the recent water and mold resistant yellow board. For most of the walls and ceilings, I specify 1/2″ thick yellow board in basements. The cost is about 50% more than white board, but sheetrock is relatively inexpensive. In any wet areas around tubs and showers, we use a cement based tile backer board. We will also use this material above base cabinets in areas behind sinks that are going to get a tiled backsplash. I also recommend cement board product in the installation of stone or brick veneer. Because the applied surface material will not have a layer of paper between it and the surface that it will adhere to, the mastic used will create a stronger bond. By using the right materials and the best methods, the chances of you facing problems from moisture become considerably lessened.

The next specification you will develop will be what the ceiling material will be and the manner in which it will be installed. For discussion purposes, I am going to assume that whatever material and method that we use will be able to meet the building code requirements including ceiling height.

The most common ceiling material that we use for ceilings in our homes is called drywall or sheetrock. Its material costs are relatively inexpensive and experienced drywall finishers can produce a very nice ready-to-paint surface. Because of the location of mechanical, plumbing, and electrical wiring, additional framing or the rerouting of lines may be required. You will also have to provide access to such things as plumbing shut off valves and electrical junction boxes. With a little imagination, this access can be made to be decorative or fade away into the ceiling.  However with the use of moldings and other types of ceiling finishes too numerous to mention, you can create an impressive amount of texture and architectural detail which can enhance the value of the project.

If the above is impractical or costly due to code requirements for access to the systems mentioned above, either all or part of the ceiling can be a suspended ceiling with standard or acoustic tile. There is a wide array of styles, where you can select different performance criteria that includes insulating, fire, and sound deadening values. Because it is suspended, it can be adjusted for uneven ceiling beams easily. Just as a side note: sheetrock can also be adjusted for uneven ceiling joists and have added sound containment by the use of a narrow metal track that is attached underneath and perpendicular to the joists. The sheetrock is then attached to these tracks (called channels) that float, which provides an air space to limit noise as well as flatten the ceiling.

The final specification is the one that I think is the most important. If you have a walk out basement, this requirement is eliminated. If most of your basement is below ground level, it’s not. If not, you will need a means to escape in case of fire in addition to the stairs to the floor above. In some local building codes, this is not a requirement unless there are sleeping quarters in the basement; however in areas that have adopted the International Residential Code, this additional exit is required. However in my opinion, if you have finished living space in a basement, a second means of escape is crucial for safety. Imagine this nightmare: the kitchen above has a fire. It rapidly spreads and the entrance to the basement is in flames. The floor or ceiling above is collapsing and blocks the entrance even more. Maybe at some point the stairs collapse. The only way out of the basement is through small windows that were meant for ventilation and are either difficult or impossible for people to fit through. In order for people to escape, the firemen must enlarge the window opening, if they arrive in time. Need I say more.

I do not want to count the number of people who died in a basement during a fire. I would not want to be the DIYer or owner that hired a contractor and failed to file a permit. Maybe they wanted to avoid an additional tax assessment or  start the project quickly. Imagine how you would feel if there were children and family members that were hurt or died because the project didn’t meet code.

In builder’s terms, we call this ability to get out egress. In addition to the safety issue, we can also explore some other benefits such as increased natural lighting, fresh air access (natural ventilation), and direct backyard accessibility. The construction details are easily found, so I just want to address the benefits.

Bringing in natural light is a important consideration. The use of larger egress sized windows, where the minimum operable opening is 5.7 sq. ft. with at least 20 inches of clear width and 24 inches of clear height, can be used in more than the one required area along with an egress window well to enhance the interior environment. I have even developed sub grade garden areas. The important thing to remember is to develop a method of handling the storm water. When done well, it will give your finished basement the feeling of being above ground. Fresh air and natural light will not only provide a level of comfort, it will save energy.

The addition of an exterior stairwell with bulkhead doors (the brand name Bilco is very often used to describe these) can increase the usefulness of a finished basement substantially. Besides building the stairwell in place similar to the rest of the foundation walls, there are companies that make prefabricated concrete units that can be set in place. Bulkhead doors are designed to keep water out, but they aren’t very energy efficient. I normally create a entry way area at the basement floor level and install an exterior twin door unit to stop drafts and insulate the finished area from the outside environment. The twin door unit, with its increased width, facilitates the ease of movement for people and large objects that you may want to bring in or out.

I want to add for your consideration a design feature that I am seeing more and more frequently. In houses where the basement stairs’ location is in a foyer or similar location, we have removed the door going downstairs and some of the walls, creating an open stairwell. This is being done in both one and multi-story houses. If privacy or noise control is an issue, we create a foyer in the basement with doors leading to other areas. This design flair seamlessly ties in the living space in the basement. The area is no longer cut off from the rest of the house by a closed door and the stairway integrates a spacious entry with fully integrated use of the space below.

Some of the items that you will address as you develop your plan (such as climate control, cabinets, appliances, bathrooms, lighting, type of windows) will be addressed in future articles. I will talk about some of the considerations when deciding on heating and cooling systems soon. However my next article will help you toward a “Great Kitchen Remodel”. I’m sure you can see the overlapping of products.

For now, let me say this: research carefully what products will fulfill your needs and have alternatives in mind. Develop a plan that will meet your needs now and in the future. If you are a little lost, you may need professional help. This way you can provide for what will be needed later without throwing away what you are doing now. The plan that you develop should be able to be initiated in phases, so that each phase can stand on its own. This way you can build you project as it is needed and as spending allows. From an investment perspective, the project should be in line with your neighborhood and the value of your home. Overspend if you want, but realize that it is because you want it and don’t expect the full cost to be returned when you sell your home. When I work with a client, we spend a lot of time in developing plans and specifications to formulate the cost. Please read the two earlier articles in the blog that deal with buying and budgets. The worst thing that a home improvement project can do is have a surprised ending when it’s a negative effect on your finances.

Please send us your questions and comments.

May the coach be with you,

                                    Coach Jerry

Hot Topic #1: Diagnosing The Cause of a Damp or Wet Basement

January 17, 2010

 

 By Jerry R. Spumberg,
 The DIY Coach

Don’t panic that your basement is wet or damp. This information will help you become a Sherlock Holmes so you can determine the cause. It is good that you are concerned because a damp basement can lead to mold and wood rot. A wet basement, where water comes through the walls, can lead to the collapse of the foundation and the building.

I’m sure you’ve read articles discussing the health issues and seen TV shows with instances of damage and collapse due to a wet or damp basement. I won’t get into that discussion here, but I suggest you research the subject. State and Federal web sites have information on the subject as well as DIY Network, HGTV, and many of the home improvement magazine web sites.      

But beware!  There are some contractors that use fear to sell you an expensive remediation project when a simple, much less expensive solution is available.  This alternate solution may even be better and directly eliminate the cause. You may even want to do the work yourself and save a bundle of money.

This article is based on my four decades of building experience as the owner of construction and development companies. To find out about my background, go to my Web Site www.thediycoachusa.com and click on About the Founder and More About the Founder articles.

Your problems may require a different solution than what is discussed here because your situation may be somewhat different. Therefore, we disclaim any and all responsibility for your use of my methods.

There is much written about the subject and I strongly suggest you learn more before attempting a solution. One of the sources that you can use is “The JLC Field Guide of Best Practices-Volume 1”.  Pages 66 to 73 have many illustrations about damp proofing, waterproofing, and foundation drainage. On other pages in the book are illustrations about foundation construction.

This article is a summary of the conditions and remedies that I have seen and the solutions that I used in solving basement problems. I am hopeful that this will be your beginning to develop a basic understanding of this issue. It is beneficial for you to be informed so that you can evaluate  a plan of attack that’s in your best interest, whether it’s developed by you or one that is offered by a contractor.

The most frequent causes of wet and damp basements that I have seen are exterior grading problems that direct the storm water toward the building, capturing the storm water that comes from the roof and possibly the exterior building sides. Be aware that the sides of a house, in a driving rain, can collect as much water as two-thirds to three-quarters per square foot of the surface area of the roof. In new houses as well as old, all grading should be substantial enough to move the water generated by even severe storms away from the building.

Plant and flower beds should be built so that the soil level and the mulch level perform as above. I’ve lost count of many times that a homeowner who I built a house for ignored this important rule as they developed their planting beds and gardens. In fact even my wife, who has become a terrific gardener over the last fifteen years, had to learn this and in turn has taught neighbors. People often hired a landscaping company who set grades wrong. The result was the basement became wet or damp through no fault of the builder. In many cases, the garden beds next to the house were mounded on all four sides and the roof leaders were delivering storm water in large amounts that were trapped up against the foundation in addition to that which was generated by the sides of the house. I have solved many wet basement problems by correcting the grading problems that relate to storm water runoff.

Rule number one: Visually check around the outside of the house for areas that trap water against the foundation. In a mulched bed, whether the material is stone, bark, or wood chips, make sure that the underlying soil is higher than the lawn or adjacent hardscape in front of it (such as patios and sidewalks) and that it pitches away from the house. Yes, you may have to raise the beds and replant everything in them. As part of rule number one, determine if leaders are properly pitched and are extended sufficiently to empty roof water away from the house. Ask yourself the question: has an island planting bed interrupted the flow of storm water and changed its path so that it flows toward the house?

A recent solution to this type of problem, in a older commercial building, was to remove large raised planting areas that were part of a beautification project two years earlier. The hint was when the owners wife, after questioning, realized that the problem appeared in the basement of this forty-five year old building a few months after the project’s completion. They had a handyman service install several sump pumps before they called me, but water was still coming thru the walls, ruining the sheet rock, helping mold grow, and eliminating usage of the space for tenant storage.  Eureka!  The removal of the beds and replacement with flower pots ended their wet, damp, and moldy basement.  (By the way, they’ve told me that the sump pumps installed by the handyman never go on anymore.)

Rule number two: Use a builders optical or laser level to develop a rough topographical map of your property to determine if there are any low areas within twenty to thirty feet of the building that traps water that could leach underground back to the house or may throw water toward the house in a storm.  Use observation for the same purpose after a rain. Spongy areas in your yard are a symptom. Re-grading or installing an area drain or a combination of both may offer a solution.

Before I go further, let me answer a frequently asked question that will help you understand some things later. What is the difference between waterproofing and water resistant coatings?

Water resistant coating or damp proofing on a foundation is the minimum standard required in most building codes. Think of it as an asphaltum or tar based liquid that is painted on the foundation in two coats that helps a masonry foundation’s walls resist water penetration under minimum hydrostatic pressure. It is relatively inexpensive.

Water proofing is a rubberized or tar coated membrane with an adhesive back, that when installed properly on foundation walls, it forms a seamless impenetrable water barrier that can stand up to a substantial amount of hydrostatic pressure. Very often, it is part of a system that provides drainage of water against the wall into a foundation piped system below the top of the footings. It is expensive compared to damp proofing, but makes absolute economic sense in new construction after the foundation is built and before the excavation is backfilled to solve a high water table problem. When required on an existing home, it can be devastatingly expensive. I have used it in both public and private applications. In one particular case, the basement was four feet below the water table.  Installation of waterproofing in conjunction with a drainage system and sump pumps enabled the basement to be used as office and record storage space.  This was a building that was located in a public park next to a lake.

Rule number three: Determine if you have a high water table. Ask yourself the following question: Is your house new or only a few years old. Is it five, ten, or more years old?  When did the basement get damp or wet?  Is the problem seasonal? Is the water coming through the walls, the floor, or both?  A little caution here.  Don’t mistaken water on the floor that came through the walls as coming through the floor.

When new houses are built and the foundations are backfilled with the material that was excavated, this area of disturbance is more porous than the undisturbed area around the building. The disturbed area  will usually saturate with water when it rains.  Damp-proofed water resistant foundation walls could show dampness for a few years until the fill settles. In most cases, the dampness goes away. If it’s a new house, under warrantee, and the problem is severe enough to leave water on the floor, it should fall under the builders responsibility to remedy the situation. The exception would be if you did something such as landscaping, as mentioned previously, or a penetration through the wall that caused the problem.  One of the problems that is often a cause are unrepaired settlement cracks that could fall under the builders responsibility. In New Jersey and many other states, builders are required to give you a dry basement as defined in the warrantee and the covered period.

To diagnose high ground water problems try the following. If you have a sump pit and there is no water in it during dry days, you probably don’t have a high ground water condition but there is a chance it could be seasonal. If you don’t have a sump pit simply rent a Rotary Hammer for concrete and open one hole in the wettest corner about the size of a five gallon bucket. If you find it’s dry, dig down several feet or more to see if you can even find water. Watch it through the spring when water tables are at their highest. If water does show and it’s several inches below the bottom of the concrete floor you may still not have a problem that requires drastic action. It is also a good idea, since you all ready spent the rental fee, to drill a two inch hole in any other area that you may suspect. Be careful not to drill through any underground piping that may be hidden. Then observation will tell the tale.  Repairing these areas will be simple if nothing shows. We will talk about typical remedies and danger signs later.  I will talk about solutions to high water problems toward the end of the article.

Rule number four: O.K. Sherlock Holmes, let’s play detective. I will assume that you have corrected the grading issues or have none.  Let’s identify things that disguise themselves as basement water problems but aren’t. Some of these easily detected things are leaky garden hose connections at the hose bib or a leaky hose bib. Look out for piping that may be leaking inside the foundation wall from when it froze and cracked over the winter or a bad solder joint right at the outside of the wall.  Check for grading under low decks to make sure rain water does not run up against the foundation. Make sure it’s not coming from an underground sprinkler system leak or spray hitting a wall.

If the wet area is in the area of the water main, it could be coming from several defects. The main is old and worn out outside or in the foundation wall and is leaking. Shut off the water in the house, put your ear onto the pipe and listen for running water. If you have a meter at the curb, you can look at it to see if water is running. Another indicator can be a large increase in a water bill based on usage. The same detective work can be used if you suspect a broken water line due to the foundation settling. Sometimes the penetrations of these line are improper or poorly repaired making them susceptible to leaking during storms.

Leaf clogged gutters could be the problem. Annual cleaning of the gutters and leaders should include checking that they work properly with a hose.  If you want to limit your work, install some type of leaf guard to help prevent this clogging.  There are many inexpensive choices that you can do yourself; there are also more expensive, patented systems that are supplied and installed by a contractor.  One of the solutions that I find interesting is Flo-Free by DCi products. It’s a life time product that you can purchase direct from the company and is simple enough to install yourself. It could be only one-seventh the cost of the patented metal systems when you do the installation. Many of these guards will eliminate the need for annual cleaning. If you hire someone to clean your gutters or value your time, the payback is easy to figure out. Remember that water can travel inside a wall or behind the siding, with no evidence inside the house, and appear as a basement leak.

Playing Sherlock Holmes isn’t always easy, even for a professional. Here’s a story about my own house. In a corner of my basement I have a sump pit; in the fifteen years that we have lived in the home, I have never had to install a pump in it. Yes, it has water in it sometimes, but at the most it was six inches below the bottom of the four inch thick concrete floor. However, I do keep a brand new pump on hand just in case a problem ever develops.

Right next to my pit is a steel paint storage cabinet, which partially hides the wall. Outside, I have a wood deck that is about 30 inches above the ground. I was very careful when I built the deck and made sure that water would run away from the house.  A few years ago, I noticed that the block wall became damp after a rain and recently that water would run onto the floor and would require mopping up a three to four foot puddle. For the life of me, I couldn’t figure out where it was coming from. This fall, about a month before the winter, I noticed that the open joists above this area were dripping water during a rain storm. I mean a lot.  In addition, the foundation wall was wet above the outside grade line right to the plate and down to the floor. The kitchen is above this area, but there is no plumbing there.

So what could it be?  Great balls of fire Watson!  What was I to do?  The great Sherlock Holmes, using deductive reasoning, was about to solve the mystery. There was a patio sliding glass door above in the kitchen.  It must be that I thought.  It needs to be caulked with silicon.  That should solve the problem and so as they say on Star Trek “make it so” and I did.  The rain came and I went down into the basement to check out my solution and celebrate my genius.  Holy Moly! (Does anyone know what a “Moly” is?)  I was foiled again. It must be professor Moriarty at work. The area was still taking water.

I went up on my trusty ladder as soon as the rain stopped, with my calk gun in my hand. I was ready to attack the enemy with a massive barrage of calk everywhere. Then suddenly, as I was going up the ladder, I noticed a three inch piece of vertical J channel that was a little short and had slid down in the vinyl siding. I was sure this wasn’t it, but fixing it was simple and I had a matching piece that I could cut to fit better. After the repair, out came my trusty garden hose. I worked my way up the wall checking the basement from time to time for water as I went. Eventually I reached the area of the repair and blasted it with the hose. No water in the basement yet. I continued up the wall until I reached the second floor soffit and roof and still no water. I still wasn’t convinced this little repair could be the culprit to all the water I had seen and waited nervously for the rains to come.

Well it’s been quite a few major rain storms later and a record snow storm of twenty inches that has been washed away by more rain and now deductive logic would say that the case is closed. It’s elementary my good man, no water!  Maybe Sherlock Holmes used a lot of persistency with a small measure of luck.

So what’s the conclusion? You would be surprised about how many times I’ve looked at basement water problems, where the owner was told by someone else that they had a serious problem of a high water table and it wasn’t.  By now, I think that you would not be surprised and understand how an unscrupulous or less experienced contractor could try to sell a not needed solution at the expense of the  uninformed home owner. There are many honest contractors, but become informed.  Be confident that you understand the problem before you take action.  It could save you a lot of money.

Excessive water coming through the walls over a period of time will show up first as darkened stains.  If you see a white stain or material accumulating on the wall, this is the lime in the mortar that hold things together being released. This is a sure sign that the mortar or cement  that is holding the wall together is weakening. If you do not act at this point, the following usually happens. More white shows and the wall may begin to bow. You may see narrow cracks with brown staining, which is the soil behind the wall working its way through as muddy water. Cracks will appear more frequent and become larger and mud may begin to flow inside as the situation worsens and finally the displacement of the wall with the collapse of the building. Throughout this situation, mold may develop and be damaging to human health to a point of making the house unsuitable for occupancy. In a case of surface storm water being the cause, the solutions that we spoke about earlier could have prevented this at a relative small cost in comparison to the huge loss of part or all of the house. Your insurance may not cover this.

Remember that the main point is to stop the water from coming through the walls at its’ exterior face.  Solutions that carrier the water away after coming through the walls are not ones that I accept.  Also sealing the walls inside with a waterproofing coating only partially solves the problem leaving hidden water inside the wall. In climates where the temperature drops below freezing, the development of ice can crack the wall.  If there is enough pressure built up by the height of water in a hollow block wall, it will eventually seep out where the wall joins the floor. Further, there is no guarantee that the mortar and parging (outside coating of cement) that hold the block together won’t disintegrate. This is especially important when you are planning to finish a basement so that if problems develop they can become hidden.

The next situation, that of a high ground water table in an existing house, is even more serious and difficult to deal with. To simplify your understanding, think of the situation in terms of a ship that is built with a hull  of porous cement. The part of the hull under water is under hydrostatic pressure. The pressure forces the water through the sides and bottom at a greater rate the deeper the side is under water. The deepest part of the hull is the very bottom. If the bottom was totally flat this would become the greatest area per square ft of penetration of water when compared to the sides. Ships solve this problem by building their hulls water tight with the exceptions of some penetrations like the steering mechanism and propeller shafts that are almost water tight.  Any water that gets in is pumped overboard from an area called the bilge (an area under the lowest deck in the hull).

(Just a side note. During WWII there was a shortage of steel and some transports had hulls made of concrete. There are still universities that have concrete boat races. )

 I hope that you now understand the challenge.  We will now talk about the slight differences during a discussion of the solution. I also want you to keep in mind the discussion above about why it is important to keep water from coming through walls.

 The first thing that we must do with an existing house is to excavate around the house to revel the foundation to a point that is even to the bottom of the footing and control the water.  I’m not going to go into the details on how this is done except that it’s done carefully.  Once this is done and the foundation walls are dry, we will repair any part of the masonry that’s needed.  A water proof membrane is installed over any foundation wall that lies below grade, including overlapping the concrete footing.  A system of stone and drainage pipe is laid and very often piped to a exterior pump pit or into the basement sump pit.  The choice made is based on conditions. The next step is to install a foam board that can have two purposes. The first is to protect the membrane from being penetrated during backfilling. The second is to provide a vertical drainage pathway to the footing drainage system. The excavation is then carefully backfilled and landscaped.

 At this point we may have done enough and may not have to go any further. However, we could have an additional problem that causes us to take another step.  Waterproofing the walls and draining the area around the footing may not be enough.  Hydrostatic pressure caused by the high water table (similar to our ship with the flat bottom) could be pushing water up through the basement floor.  In a few cases I have seen it lift and break the basement floor.

 The answer here then must be to open the basement floor to install a underground drainage system with pumps that is designed specifically for the situation to relieve the pressure. The floor is then repaired or replaced. In some cases, this approach is used first where the water level is at the basement floor level or just below it. If you have a contractor do this work, you want to make sure he has been in business at least ten years and offers a minimum of a five to ten year guarantee and will be around to honor it.

 The last situation I want to address is one that deals with soil layers of porous, semi-porous, and non-porous soils. Water can travel many miles underground based on the arrangement of soil layers. When soil conditions create a underground water condition that effects a building, it is often called a ground water condition. It could be seasonal, intermittent, or continuous. There are many solutions to this, including the way we deal with a high ground water problem.

 However it is important to know and define what the problem is. Very often we can save a lot of money by devising a way to interrupt and redirect the water away from the foundation or go around it.  Sometimes it could be piercing a non-porous layer of clay soil so the water can flow into the porous soil below it. It is not unusual to find situations created by land development or a road project (nearby or at a distance) that can be the cause.  It can be possible to eliminate the problem at the source.

 Rule number 5: This is the most important rule and the point of the entire article. Know and understand what the problem is and the solutions to solve it.  If you are unsure, find an expert that has no conflict of interest by wanting to perform the work to help to develop the solution. This person could be a builder, civil engineer, the local town building inspector or town engineer who could be familiar with your area ground water problems.  Do the job right and it will save you money in the long run.            

 If you go my web site www.thediycoachusa.com and click on About the Founder and More about the Founder, you will learn about my diverse background.  In past companies that I owned or had an interest in, I have performed this type of work personally and supervised and trained my companies’ crews. The DIY Coach doesn’t actually do this work today, but I have found that many of the masonry and excavation companies that work with me are extremely well suited to perform this work as well as some specialist contractors.  One of my first questions I ask is “do they sub any of the work out or is it all done by the companies’ employees?” Companies that have the equipment and manpower in house, in my opinion, can be more cost effective than those that use subcontractors when it comes to the more difficult projects. In some cases, because of the cause of the problem, it can be solved by a landscaper.  It is not a bad idea to hire someone to supervise their work to make sure it’s done correctly.  Read our past article “How Remodelers and Builders Buy Right”; it explains how to get a fair price for your project.                    

 If you have any questions or comments about this subject, please post it.  Your own experiences may add to our readers’ understanding and I thank you in advance.

 If you have a question or comment about this or another subject, please post it.  We may answer it or make it part of a future article.  I may even give call or send you an E-Mail.

 May The Coach Be With You,
Coach Jerry

Do It Yourselfers Increase Their Wealth Through Remodeling Project

January 12, 2010

Should Families Remodel or Buy Another House?

 Pay Attention Would Be Real Estate Investors! This is how it’s done.

With home prices falling and growing families needing more space in their homes, many homeowners are turning to remodeling to meet their needs.  Maybe they would like to buy new, but the numbers don’t add up for them and they like where they live.  This is the story of one such family that I was able to help.  It’s really about them and the effort they put into their home.

About the numbers adding up.  When a move-up buyer sells his old house and buys a new one, there is what I call the Moving and Buyers Penalty.  The family buys at retail since a sales commission is paid.  However they sell at wholesale, since they pay a commission here too.  They have the cost of financing, closing, and moving.  In addition, I have always advised buyers to budget a minimum of ten percent of the selling price for the first year of expenses in their new home.  (A resale is still a new home for the buyer.)  These items range from window covering, a few new pieces of furniture, hardware to hang pictures, landscaping, and all the little things that they had done to make their prior house livable.  It’s important for you to calculate these costs before making a decision.  In addition to the financial impact, evaluate the plusses and minuses from a social prospective for each family member when determining whether to move or stay and remodel.

Family Remodels Home Using a Remodeling Coach

In August of 2007, Alice and Ralph (they asked me not to use their real names), with the help of a relative who was an architect, developed a plan to turn their existing 1950’s Cape Cod 1450 square foot house into their 2700 square foot dream home.  It would require expanding and reconfiguring the existing house.  They loved their neighborhood in Fair Haven, New Jersey, it was the perfect place to raise their two young daughters, and they had developed ties to the community.  Their home sat on a large lot with great potential on a lovely street and they had no intentions of moving.  They had done their research.  The fact was that to find what they wanted in another house in town would cost them much more than the original cost of the house plus the cost of expansion.  In addition, there would be the cost of selling, moving, financing, and buying another home, as well as fixing it up to the way they would want it.

Every existing room would be affected for this project.  The windows, siding, and roof would be replaced.  Dormers would be added to bring in light to two 2nd floor bedrooms in the front of the house.  A covered arched entryway with columns would be added to the front door entrance to protect family and visitors in inclement weather.  A second front door into a mud room would contain any mess (and keep the rest of the house clean) from their children’s outside play or Mom and Dad’s outside work.  Alice’s new dream kitchen would be an addition and open up into the Family Room.  The old kitchen area would become a new dining room and a second floor master bedroom suite (with a walk in closet and private bath) would be built over the new Family Room.  The remodeled second floor roof would allow space for a new second floor heating and air conditioning system.  The main bathroom for the children would be rearranged and upgraded as part of developing new halls and better traffic flow for the second floor.

Energy efficiency upgrading would not be forgotten.  The existing, one zone low efficiency HVAC system would be reconfigured into a separate high efficiency system for each floor.  The exterior walls would be insulated to meet today’s standard.  Three quarter inch foam would be added to the exterior underneath the new siding to exceed the standard.  The windows chosen surpassed the present building codes and qualified for a energy rebate.  Out of date electrical wiring would be replaced.

By August of 2008, The family had received several bids from general contractors.  Established contractors’ prices seemed to be a lot more then they could afford or wanted to spend.  Low priced general contractors were either not established or their contracts left out a large number of items and their related costs that would be required to complete the project.  In some cases there were allowances without specific specifications.

Ralph’s education and vocation gave him  a reasonable understanding of budgeting.  Without having an itemized cost of everything that would go into the project, the project would have no financial controls.  Ralph and Alice discussed this and it made them both uneasy.

What happened next must have been fate.  A friend named Scott introduced the family to Jerry Spumberg and his company called “The Do It Yourself Coach, LLC”.  The business was started in July of 2005 by taking some of the ideas from television home improvement shows and his forty years experience in the construction industry. You can find more information about Jerry at http://www.thediycoachusa.com/.  The main purpose of the web site is to educate the consumer about the advantages and disadvantages of taking on any size project without the proper expertise.  It also gives consumers a look into the cost structure that most remodeling contractors use to be financially successful by linking the browser to trade publication web sites.

 When Jerry met with Ralph and Alice, he explained that his business model was uniquely different from a general contractor.  They would hire him (by the hour and on an as-needed basis) to work with them through the planning stage, run the project on site, help with selecting vendors and trade contractors, advise them during product selections, and handle technical issues.  In some cases, when it was productive and cost effective, Jerry would also work using his tools and skills.  In several instances, when the owners decided to take on aspects of the project themselves, he would advise them and show them how.  At other times, the client would assist Coach Jerry with the work and learn how it was done.  But for the most part, Ralph’s employment in New York was demanding.  It would limited him to participating in only a small portion of the work.  Most would fall on the shoulders of others.

 Jerry then explained to them, that the role of project administrator that they would take on would save them the most money by replacing the need for a General Contractor or Builder.  He would help them develop a budget, but not by guessing.  He would request proposals for everything that is known.  He would use estimates for that which was undetermined and develop a contingency allowance.  He would use his resources and they would use theirs to obtain the best deals by using competitive bidding.  All contracts would be directly between themselves and vendors and trades people. They would be able to compare direct costs in a transparent relationship with their Coach.

 In essence, Coach Jerry would be more like an employee or consultant than a contractor.  He would become their project manager in the same way that general contractors assign a project manager to a project.  If they did this, they could eliminate the mark up and profit that general contractors have to add to a project because of overhead, sales commissions, and a desire for profits. If you go to our web site there are links to industry documentation that states this additional cost is 35-67%.)  In essence, they would become their own remodeling company and know what things cost builders before mark-ups. Almost sounds too good to be true, but it’s not.

 The contract between Alice and Ralph and The DIY Coach, LLC was signed in September of 2008.  The selection process was detailed and time consuming.  Plans were updated, the master bedroom was expanded, and structural changes were made to reduce cost. Improvements in functionality within the kitchen and bathrooms was developed through meetings with the architect and kitchen cabinet designer.

 Prices were then obtained from multiple sources.  The preliminary budget was developed and refined.  The decision was made to go forward.  Permits were applied for and received.  In the middle of winter, the project was begun.  Because of the extensive work on the house, the family had to move out of the house for about four months.  But they moved back into the house in June.  As you can see, there was a lot to do before the first shovel could be put in the ground.

 Was it worth it?  First let me say that Ralph and Alice were great students.  They learned about the real estate market in the area and understood about the relationship of cost to value.  They worked together to find great products that matched the price points of their goals, met their needs, and were esthetically pleasing without overspending.  In some cases, when they needed to balance something they really wanted versus the pain of going over budget, the budget usually ruled.

 I think the toughest choice they made had to do with whether to add the two dormers for the second floor children’s bedrooms.  This option would put them over the budget, but if done at a later time, it would cost them 3 times as much and the construction would disturb them while living in the house for several months.  They decided to do it now.  It added great curb appeal, expanded the bedrooms, brought light into the rooms, and added many times its’ cost to their house’s value.

 A second important choice came during the framing phase.  We determined that by framing the roof in a way that created a higher peak, we could convert the second floor furnace room into an additional hall closet space and increase the size of one of the girls bedrooms. We would then move the furnace into the attic.  This would have little effect on cost.  To suppress noise and increase energy efficiency, we would insulate the second floor ceiling as well as the attic roof rafters.  Thus, the furnace and the duct works would be in conditioned space.  This would increase costs somewhat by requiring the additional insulation of roof rafters that would also meet a required fire rating.  However the return was that we increased the usability of the second floor by adding living space and the overall energy efficiency was improved. This added considerable value to the home at a small price.

 In certain construction phases, they even did some of the work themselves with the help of family, friends, and the DIY Coach’s guidance. They accomplished items such as demolition, painting, and clean-ups.  Ralph became the assistant finishing carpenter and helped with the crown molding in the kitchen and family room.

 There are still projects around the “new house” for them to do.  Maybe the backyard will be next.  What they have learned will make it a sure thing that they’ll get the most for their money as well as what they want.

 There are misleading advertisements from home improvement companies that talk about investing in your home and adding value to it.  What they don’t say is that when using a general contractor, as industry studies prove, most home improvement projects cost more money than they add upon an appraisal or the selling of a home.   (See our web site Cost vs. Value link.)  Being budget minded, concentrating on adding more value than they spent, the family significantly increased the value of their home above what they spent. This was confirmed by the recent appraisal they had.  

 It’s not all about money.  Their home fits them.  It’s a joy to see the family living in it and how it brings them together.   This is what gives Coach Jerry his greatest satisfaction.  The knowledge that “I have made life a little better for someone else using my skills”.

 But who you really need to talk to is the family.  After all, this is a story about them and how they went after and built their dream home.

Investors Tip: Investors, using Real Estate as a vehicle, you can build wealth in the same way as the family above did with professional guidance.  This can be done in two ways of which there are several variations.  The first is by increasing the value of a property substantially above the cost of purchasing and improving it.  The second is to consider renting it as an alternative to selling it.  

 May the Coach be with you,

Coach Jerry

 Our next article is what I call a Hot Topic:

Things you need to know that cause a wet basement. 

Finding out the problem by a process of elimination.

 If you wish to see photos of the project you can go to our web site – look under projects titled: Kitchen Renovation, Additions

 

Part V: Finding A Coach

January 11, 2010

By Jerry R. Spumberg
The DIY Coach 

If you read the previous articles, you know  that it is important to define the scope of the project in as much detail possible. Investigate our web site thediycoachusa.com for a fundamental understanding of the subject, the process, and some of the reasons why you would proceed in constructing your project with a Coach’s assistance.  You will then be able to determine what you expect and need from a DIY Coach.  Put it all in writing and then you will be prepared to start your search.

The first thing you may learn is there are not many people that will meet the standards that I have set for my own company.  A person designated as a Do It Yourself Coach for a project that involves multiple trades or can have an impact on other aspects of the home, in my book, should be the complete builder with hands-on trade skills.  Simple one trade or two trade projects such as painting or tiling a foyer may be handled with an experienced specialist.  People with the knowledge and talent for being a Coach can make more money as a General Contractor, so you will be looking for a person where it’s not all about money.   Previous articles went over this in detail and there is no need to repeat this information.

I invite you to contribute to this article and tell us your ideas on this subject or any other article.

Ways to find a Coach:    

  • Most of our clients came to us through referrals from past customers.  Ask friends and neighbors for recommendations. 
  • Our recent web site, which is dedicated to informing property owners about the How of doing it yourself, has brought us inquires and a few new customers.  Use the internet wisely.  Be careful of companies that don’t offer side-by-side working relationships and Coaches unwilling to supply most of their own tools.  Beware of offers to complete work that is unfinished where the contractual relationship can be changed from Coach to contractor.  We never change the relationship.  Our contractual relationship is always most similar to you being the boss and us being a trusted employee.
  • Talk to family and friends, if they have the qualifications, and see if they have the time to help you with the project.  (They may be retired from the industry.)  Let them know that you will be glad to pay them for their help.
  • If you know people in the construction industry, ask them who they know.
  • Two of our recent referrals came from lumber yards when DIYers needed help.
  • Call building departments in your town and the surrounding area.
  • Things are slow.  You may be able to place an ad under part time employment.  This relationship is a little more difficult because of government regulations, unless they have an existing business.
  • Talk to general contractors who will be willing to engage in a coaching relationship.

The housing market and the economy is creating the need for new business models in the construction industry.  People are living longer and want to supplement their income by working longer before or during retirement.  Highly experienced and capable individuals, who love what they do, provide a labor pool for my company.  All this taken together is generating a demand for “The Do It Yourself Coach” approach.  It’s on television, driving the big box stores, and just getting started for you, the homeowner.

Please tell us how you found your Remodeling or Building Coach by contributing to our Blog.  We want your input and questions!  They may become future articles.

Coming soon: How one family reconfigured and expanded their present house into their dream home and increased their wealth.

May The Coach Be With You,
Coach Jerry

Part IV: What A Coach Should Be Able To Do For You

January 11, 2010

By Jerry R. Spumberg
The DIY Coach 

If you read Part III (“The Relationship”) you understand that a Coach is your personal teacher as it specifically relates to your project.  The items that are listed below are general in nature and apply to most projects that a Do It Yourself Remodeler can tackle.  It is important that you understand setting goals and objectives; I strongly suggest that you go to our web site thediycoachusa.com and read the material on that subject.

What a Coach should be able to do for you:

  • Developers know that not all projects that are conceived get built. The first step is to do a feasibility study or determination. This process is worthless unless a predetermination is made about what it is we wish to accomplish under set guidelines. A Coach should be able to guide you through this process.
  • A Coach should be able to help the client in setting and maintaining realistic expectations through the planning, construction, and final stages of their project.
  • A Coach should be able to teach you during the planning stage that developing optional approaches can be done concurrently.  For example: Do we rearrange and expand an existing house as opposed to  the house be demolished completely and built from scratch?  In both situations, the final product may be indistinguishable from each other.
  • A Coach should be able to help you understand the determining factors as they relate to your goals and objectives in reaching your decision.  For example: Do we restore this one hundred year old house to its former glory because we want it to be preserved?  Has it deteriorated to the point that the costs are beyond our means?  If we build a reproduction of the old with modern conveniences for less money, will that make more sense?
  • A Coach should be able to teach you that everybody’s right answer is different.  He should help you find your right answer.
  • A Coach’s experience and expertise should take you through the planning stage and requests for proposals. You should, with his help, be able to obtain reasonable and believable costs in developing a budget.
  • A Coach should do everything in his power to stop you from beginning a project until you have a completed budget that is acceptable to you.
  • A Coach should be your adviser during the purchasing process and awarding of contracts.  During this period, he should be willing to expose you to his business methods that he has used in the past that protected him from unscrupulous vendor and trades people.
  • All that has been previously talked about in the blog articles should be initiated by a Coach.
  • At your direction and as your agent, he should be willing to take on the responsibilities of those duties that you have assigned to him.  The Coach should keep you up to date as things progress, informing you of issues and day to day activities.
  • He should be able to help you resolve disputes.
  • He should be experienced and knowledgeable enough to direct day to day operations and able to work with you on aspects of the project that you would like to take on.
  • He should be willing to perform manual labor when necessary and cost effective.  He should supply the tools he needs to perform his work. 
  • He should be willing to teach and work with you when you wish to participate in a phase that the coach has expertise in.
  • From beginning to end, a Coach should give you the confidence that you have taken the time to plan, evaluate, and make the best decisions for you.  The results should be a great project with as few surprises as possible.

The main difference between a Coach and a builder or general contractor are significant. Builders, general contractors, subcontractors, and vendors are driven by a profit motive that is based on how much his contract is worth.  The bigger the dollars and higher the margins the more money they make.  Their contracts can limit the flexibility a client has in choosing who is to perform a correction if there is a hidden defect that may require additional cost.  In most cases, contractor’s direct costs are not transparent.

When working with a Coach, the direct costs for a project from each vendor or trade’s contractor are transparent. The  goal of a Coach should be to help you develop plans and specifications that are as complete as possible for the biding and budget development process. The objective is to eliminate surprises to you by inclusion of everything that is foreseeable.     He is paid for his time as needed on an hourly basis. There are no mark-ups on your other costs.  You make all the decisions throughout the project. The Coach works for you, similar to a trusted employee, with your benefit as the governing factor.

When working with a contractor, you will still need to develop a set a plans and specifications. Depending on the project, you may be required to hire an architect or designer (at your expense) to be able to obtain pricing.  In most cases, specifications are set by the bidder and when they are not specific are given as dollar allowances.  The difficulty with this is that allowances may not cover the items in the contract, some items may not be included, and the specifications may not meet your objectives. You and the Coach should work together to eliminate the unknowns as much as practical. 

In either case above, you will pay for plans.  In the case of using a contractor, you do not have an independent professional looking out for your interests through the most important part of any project – planning.  When contracts do not have a transparent method  for the unforeseen or changes, clients become uneasy.  Most clients have heard stories that tell of unscrupulous  contractor’s overcharging for items not clearly specified.  Clients have good reason to be cautious and concerned over executed change orders that may be extremely profitable for the contractor.  This can cause extreme project cost overruns.  To understand the costs added on for mark-ups, go to our web site and use the links to trade publications that discuss this subject.

Developers and builders understand the cost of a project manager as it relates to a project. When he is assigned a project, he receives his job responsibilities in writing. When a property owner who is not a professional in the construction industry takes on the role of developer and administrator, there is a learning curve to determine a range or allowance for project management supervision. The builder understands that this is somewhat indeterminate and adds a contingency amount to his best guess.

For a few of my past clients, the lack of an exact cost for the Coach is the most uncomfortable part of using a Coach. The cost of the Coach is based on the time required to meet the client’s specific needs, goals, and objectives.  As it is with the builder’s project manager, the costing is not an exact science.

To put my clients at ease, I explain that builders have a salaried person running projects and that is included as a indeterminate direct cost before mark up.  When using a small building company, the owner may also be the project manager; they pay themselves a salary (as above) and it is charged to the project.  Builders always add into a project a guesstimate as well as a contingency dollar amount for additional supervision, something they missed, or price increases.  The cost of a Coach should be similar to what a salaried employee with the same responsibilities cost a builder, but you don’t pay a mark up or profit on the project.

In discussions with prospective clients, I verbally give them cost ranges from past similar projects.  I also explain that no two projects are ever the same and costs for our services vary. Our web site is a learning site to help them and you make the best choices.  We encourage people to use it.  It’s our pay forward to everyone who is a Do It Yourselfer.  A Coach’s contract should allow the client to terminate at anytime.  A Coach needs to earn the client’s respect and trust every day. Owners usually understand the value of their own time.  A qualified Coach, in most aspects of your project, should save you time and money when compared to the less experienced owner running a project alone.

To sum it all up: A Coach should be able to help his client, the team manager and owner, build the right team for a winning project. 

With the series conclusion of Part V- Finding A Coach (due in December), I will be publishing a true story about a client’s project that transformed a small home into their dream house.  The project included the reconfiguration of their existing home and its expansion.  It is my hope that these articles, our web site, and this story will have you explore doing your next home improvement project with a  Coach.

Remember that: 

You can do it for yourself, but you don’t have to do it by yourself. 

You can have more value added to your home then you spend.

May The Coach Be With You,

Coach Jerry