The Truth About Renovation Costs: What Central Oregon Homeowners Need to Know

Nov 16

Central Oregon is one of the hardest places to renovate a home—and here's the data to prove it.

If you're planning a home renovation in Bend, Redmond, or anywhere in Central Oregon, you're likely part of the 70-90% of homeowners who prioritize transparent pricing when selecting contractors.¹²³

You want to know what things actually cost, why they cost that much, and how to avoid the budget disasters you've heard about from friends and neighbors.

Here's the uncomfortable truth: nationwide, somewhere between 47% and 78% of homeowners exceed their renovation budgets.⁴⁵

In Central Oregon's unique market—shaped by pandemic migration, skilled trades shortages, and geographic isolation—understanding the reality of renovation costs isn't just helpful. It's essential.

The Budget Overrun Reality: You're Not Alone

Let's start with the national picture. According to consistent data from Houzz surveys spanning nearly a decade, budget overruns on remodeling projects fluctuated significantly.

In 2017, 46% of homeowners who set a budget exceeded it. This dropped to 31% in 2019—the lowest point in recent years—before stabilizing between 34-36% from 2020-2022.⁶⁷

Then something changed dramatically. By 2023, the rate climbed to 39%. A 2024 study found that approximately 78% of homeowners went over budget on their last renovation, with 44% exceeding their budget by at least $5,000 and 35% by at least $10,000.⁵⁸

A November 2025 survey suggests the rate moderated slightly to 47%, but remains elevated compared to pre-2023 levels.⁴

What's driving these overruns? The primary culprits are:

Materials and finishes (43% of cases)
Labor or contractor fees (36%)
Fixtures or appliances (24%)
Structural changes or repairs (24%)⁹¹⁰

But these statistics only tell part of the story—especially in Central Oregon.

Why Central Oregon Is Different

Our region experienced something extraordinary during the COVID-19 pandemic. Between April 2020 and July 2024, the Bend Metropolitan Statistical Area grew by nearly 17,000 residents—a 7% increase that accounted for nearly half of Oregon's entire population growth during this period.¹¹¹²

This wasn't just population growth. It was an influx of remote workers with urban salaries seeking our 290+ days of sunshine, world-class outdoor recreation, and small-town feel.¹³¹⁴

The result? A construction boom in Bend, Redmond, Sunriver, and surrounding communities that exposed—and exacerbated—some harsh realities about building and renovating in our region.

The Skilled Trades Crisis

Central Oregon faces a severe shortage of skilled trade workers that fundamentally shapes what's possible and what it costs.

The average age of plumbers, electricians, and trades workers in our region is 55 years old, meaning hundreds of these workers need replacement every few years.¹⁵¹⁶

As these experienced craftspeople retire, there simply aren't enough younger workers to replace them.

This isn't just an inconvenience—it's a fundamental constraint on the construction market. During the pandemic boom, it became most important simply to find skilled tradespeople willing to work on your project at any price.

While demand has moderated somewhat, contractors across Bend and Redmond remain selective about which projects they take on and at what price points.

The "Go Away Price" Phenomenon

If you've gotten quotes that seem shockingly high for what appears to be straightforward work, you've likely encountered what contractors call a "go away price."

This is a quote so high that either you'll go away, or the premium makes it worth disrupting their schedule. As one Bend contractor explained on Reddit about six years ago, "Everyone is so busy small one-day jobs aren't very appealing."¹⁷

This isn't price gouging—it's simple economics in a seller's market. With more work available than workers to complete it, contractors can afford to be highly selective.

The alternative would be taking on jobs that don't make financial sense for their business.

Geographic Isolation Adds Hidden Costs

Central Oregon sits on the eastern slope of the Cascade Range, making us a three-hour drive to any other metropolitan area.¹⁸¹⁹

This geographic reality creates what we might call an "isolation tax" on construction costs.

Shipping construction materials from Portland or beyond adds significant expenses that homeowners in metropolitan areas don't face. Freight costs from Central Oregon run approximately $900 for a one-way trip to California.²⁰

When you need specialty materials, architectural elements, or particularly skilled tradespeople for complex design work in Bend or Sunriver, you're often bringing them in from Portland or Seattle—adding both cost and coordination complexity to your project.

While our local suppliers like Hooker Creek Construction Materials and Lakeside Lumber serve the community well, highly specialized products and expertise are still emerging in our market. This means projects requiring cutting-edge materials or techniques face both longer timelines and higher costs than the same project would in Portland.

Breaking Down Renovation Costs in Central Oregon

Understanding what drives costs in our specific market helps set realistic expectations. Let's break down the unique factors affecting renovation budgets in Bend, Redmond, and throughout Central Oregon.

What Construction Actually Costs Here

As of mid-2025, the cost to build a home in Bend ranges from $250 to $450 per square foot.²⁷²⁸ The wide range reflects design complexity, materials selection, and the impact of our region's labor shortages and high demand.

Timelines are extensive: 12-24 months from land purchase to move-in is typical, "and that's if you don't hit any snags."²⁷²⁸

Renovations face similar timeline pressures, compounded by the discovery of hidden issues once walls open up.

Material Costs Remain Elevated

While the acute supply chain disruptions of 2021-2022 have largely resolved, materials that once took 2-4 weeks now require 12-16 weeks, and specialized electrical components, generators, and AV equipment can take 42-60 weeks.²⁶

Lumber, concrete, and HVAC components remain higher than pre-pandemic levels in Central Oregon's market.²⁷²⁸

For homeowners in Sunriver, Bend's Old Mill District, or Redmond's growing developments, these extended lead times mean earlier planning and greater flexibility in material selections.

The Inevitable Unknowns: What Lurks Behind Your Walls

Here's a truth that applies everywhere but feels particularly acute in Central Oregon's aging housing stock: nearly every renovation will encounter unexpected issues.

These aren't contractor mistakes or poor planning—they're the inherent reality of working with existing structures built to older codes with materials that have aged in ways you can't see until walls come down.

Structural Surprises Are the Norm, Not the Exception

Hidden structural problems represent the most common unexpected cost in renovations.²¹²²

Once demolition begins, contractors frequently discover:

Hidden water damage or termite damage
Structural deficiencies where support beams should be but aren't
Outdated wiring that doesn't meet current code
Failing plumbing systems
Asbestos or other hazardous materials requiring specialized removal

These discoveries aren't optional repairs—they're necessary for safety, functionality, and long-term quality. An industry professional puts it bluntly: "You can open up the floors and find unexpected termite or water damage. Or you expect to find a support beam, but there's nothing there."²¹

In 2024, a striking 85% of homeowners spent money on unplanned repairs, with 42% spending $5,000 or more and 33% spending $10,000 or more on these unexpected fixes.²³

This isn't poor planning—it's the reality of renovation work.

Code Compliance: The Hidden Scope Expander

Renovations frequently trigger requirements to bring existing systems up to current building codes.

If you're updating a kitchen in your Bend home, local codes may require upgrading the entire electrical panel, adding GFCI outlets throughout the house, or replacing old plumbing that doesn't meet modern standards—even if those weren't part of your original plan.²⁴²⁵

This is particularly relevant in Central Oregon, where many homes were built during earlier growth periods with codes and standards that have since evolved. What starts as a bathroom remodel in Redmond can quickly expand when the inspector requires bringing electrical or plumbing up to current code.

The Human Element: Materials, Timelines, and Communication

Beyond physical unknowns, every project involves human factors that create variability:

Supply Chain and Material Realities

Materials that once took 2-4 weeks now require 12-16 weeks
Specialized electrical, generators, and AV components can take 42-60 weeks²⁶
Lumber, concrete, and HVAC components remain higher than pre-pandemic levels in our market²⁷²⁸

Geopolitical and Economic Factors

Tariffs, trade policies, and fuel costs impact material availability mid-project
Global events you can't predict suddenly affect pricing
These factors hit Central Oregon harder due to our geographic isolation

The Artisan Reality

Many skilled tradespeople are specialists—true craftspeople in their fields
An electrician who can expertly rewire a 1970s home brings years of specialized knowledge
A tile setter who creates museum-quality installations has perfected their craft over decades
This expertise doesn't always translate to immediate text responses or constant phone availability
These professionals focus on detailed work that ensures your renovation meets the highest standards

What Homeowners Wish They'd Known Before Starting

Research consistently reveals specific knowledge gaps that cause the most regret for homeowners in Bend, Redmond, and throughout our region.

Timeline Realities Trump Optimistic Hopes

A Houzz survey found that 41% of homeowners wish they had received a clear project timeline, while 40% wish they had received better communication from the professionals they hired.²⁹

Additionally, 22% of homeowners specifically regret that their renovation took too long.³⁰

Here's the truth about timelines in Central Oregon: projects almost always take longer than initial estimates. Material delays, permit approvals, unforeseen structural issues, and scope changes are practically inevitable—especially in our market where the skilled trades shortage means subcontractors are juggling multiple projects.

As of mid-2025, typical timelines for new home construction in Bend run 12-24 months from land purchase to move-in, "and that's if you don't hit any snags."²⁷²⁸

Renovations face similar timeline pressures, compounded by the discovery of hidden issues once walls open up.

The Disruption Is Worse Than You Imagine

Nearly three in ten homeowners (29%) regret having to live in their home during major renovations, while 18% underestimated the disruption to daily life.³⁰³¹

The dust, noise, lack of functional spaces, and constant presence of contractors prove far more invasive than most anticipate.

Multiple homeowners on renovation forums emphasize this point bluntly: "Move out and do it all at once" if at all possible.

The cumulative stress of living in a construction zone—especially when timelines extend beyond initial estimates—affects families more significantly than most anticipate.

Materials and Finishes: Where Dreams Meet Budget Reality

More than 43% of homeowners report being blindsided by the cost of materials and finishes, including tile, countertops, cabinetry, and fixtures.³²³³

These selections typically occur mid-project, and even when a renovation is under budget initially, premium finishes can push the total significantly higher than anticipated.

One renovation guide illustrates how "a $4 tile allowance turns into a $2,400 mistake" when homeowners visit showrooms and see actual options.³⁴

In Central Oregon, where specialty materials often need to be shipped from Portland or Seattle, both costs and lead times exceed what you might find in metropolitan markets.

The Communication vs. Quality Trade-Off

This brings us to a critical decision point that every homeowner in Bend and Redmond faces: What matters most to you—immediate, constant communication or the highest quality craftsmanship?

In large-scale construction operations, you'll find dedicated project managers, customer service representatives, and communication systems designed to keep you informed daily. You'll receive prompt responses to texts and calls, regular updates, and a layer of administrative support that creates a sense of constant engagement.

But here's what you're actually paying for: that large-scale operational infrastructure. The administrative team, the communication systems, the project managers—all of that is built into your costs.

And often, the actual tradespeople doing the work are employees of that large operation rather than the specialized craftspeople who have built reputations over decades of meticulous work.

Central Oregon's market offers a different model. Many of the best electricians, plumbers, tile setters, and finish carpenters in Bend and Redmond are smaller operations or highly specialized contractors.

They're artists in their respective fields—people who have spent decades perfecting their craft and building reputations for exceptional quality.

These professionals may not respond to texts within minutes. They might not provide daily updates.

What they do provide is work quality that you'll appreciate every single day for the next 20 years. They understand the intricacies of renovating homes in our climate, they've solved problems you haven't encountered yet, and they take pride in outcomes rather than just completion.

This is the choice: Do you want the quality work that specialized artisans provide, or do you want the communication systems and responsiveness of large-scale operations?

Both are valid preferences, but they come with different price points and different expectations.

Building Realistic Contingencies Into Your Budget

Given everything we've discussed—the inevitability of hidden issues, the skilled trades shortage in Central Oregon, geographic isolation costs, and timeline uncertainties—how should you plan financially for your Bend or Redmond renovation?

Industry experts consistently recommend maintaining contingency funds:³⁵³⁶³⁷

Standard renovations: 10-20% of total budget
Older homes with unknown structural or system conditions: 20-25%
Historic district projects or highly complex designs: 25-30%

These aren't pessimistic padding—they're realistic planning for the known unknowns of renovation work. In Central Oregon's market, where contractor availability is limited and material costs remain elevated, contingencies toward the higher end of these ranges make sense.

Consider this: if your kitchen renovation budget is $75,000, a 20% contingency means setting aside an additional $15,000.

That might seem high, but when you discover that the subfloor has water damage, the electrical panel needs upgrading to accommodate new appliances, and your first-choice tile is backordered for 12 weeks requiring a more expensive substitute, that contingency prevents the project from derailing your finances.

The Path Forward: Education and Realistic Expectations

The data is clear: transparent pricing matters to 70-90% of homeowners, and you're likely among them.¹²³

You want to understand what things actually cost, why they cost that much, and how to make informed decisions about your renovation in Bend, Redmond, Sunriver, or anywhere in Central Oregon.

The challenge is that transparency doesn't eliminate the inherent uncertainties of renovation work—it just helps you navigate them more effectively.

Here's what successful renovation projects in Central Oregon's current market have in common:

They Start with Education

Understanding our regional market dynamics allows you to set appropriate expectations from the beginning
Recognizing the skilled trades shortage, geographic isolation impacts, and timeline realities
Knowing what's realistic in Bend's and Redmond's construction markets

They Build in Adequate Contingencies

Rather than hoping everything goes perfectly, they plan financially for the high probability that hidden issues will emerge
Scope adjustments will be necessary
Setting aside 10-25% provides financial resilience

They Value Quality Over Speed

Recognizing that bringing in the right specialized tradespeople produces results you'll value for decades
Even if it means longer lead times or higher costs
Prioritizing craftsmanship that matches Central Oregon's lifestyle and values

They Establish Clear Decision-Making Processes

Setting realistic timelines for material selections
Understanding how changes impact both cost and schedule
Maintaining open communication with contractors about priorities and trade-offs

They Document Everything

Taking photos before drywall goes up
Maintaining records of what's behind walls
Documenting all decisions creates invaluable reference materials for future work

Making Your Renovation Vision Reality in Central Oregon

The truth about renovation costs in Bend, Redmond, and throughout Central Oregon is more complex than a simple price-per-square-foot calculation.

It's about understanding our unique market dynamics, accepting the inevitability of unknowns, and making informed decisions about the trade-offs between cost, quality, timeline, and communication.

Whether you're planning a kitchen remodel in Bend's Northwest Crossing, a whole-house renovation in Redmond, or updating a vacation home in Sunriver, the starting point is education.

Understanding what's realistic in our market, what contingencies make sense for your specific project, and how to navigate the process effectively makes the difference between a renovation that exceeds your budget by 50% and one that comes in close to expectations with results you'll love.

As homeowners increasingly take a hands-on role in managing their projects—particularly where local regulations allow self-management without a designated general contractor—having access to experienced guidance becomes invaluable.

The right consultation can help you understand what's possible within your budget, how to sequence decisions effectively, which contractors match your priorities, and how to set realistic expectations that prevent the most common causes of budget overruns and dissatisfaction.

Your renovation dreams are achievable in Central Oregon's market. They just require starting with clear eyes about what the process actually involves, what it realistically costs, and what trade-offs you're willing to make.

With proper education, adequate contingencies, and realistic expectations about our regional market dynamics, you can navigate the renovation process successfully—even in one of Oregon's most challenging construction markets.

Ready to start your Bend or Redmond renovation with realistic expectations and expert guidance? Schedule a consultation to discuss your project, understand what's achievable within your budget, and develop a strategic approach that accounts for Central Oregon's unique market dynamics. [Contact us to book your consultation call or select a time on our calendar.]