By STEPHEN HART

Every weekend whole legions of zealous young couples troop through decrepit old villas for sale with visions of restoring them to their former glory. Their motivation might be to on-sell the property and make a capital gain, but most often it is simply to buy a home they can afford and make it more comfortable for themselves.

Renovating is a great way of creating a home that works well for you and your family. It can also increase the value of your home significantly and be creatively satisfying. But remember renovation, regardless of the scale, is a project and you need to make a commitment to it. Like most things about home buying, renovating can quickly turn into a costly headache if you don't approach it correctly. The trick is to walk the tightrope of maximising the value whilst minimising the stress.

Discuss how much you can afford to spend on renovations and best you can spend it. You might be better off doing one room, properly, at a time, than spreading yourself and your cash too thin over many rooms. At least then you can retreat to that completely renovated room with a glass of wine and congratulate yourself on your, albeit, partial success.

The first law of any building project is that it will run over budget. Renovating is a Pandora's Box of potential problems and unknowns. Removing the weatherboards from the back wall might reveal rotten framing that you never knew existed. Taking up the carpet uncovers floorboards that don't match like you thought they would. It's quite different from building from scratch where there are far fewer surprises.

Don't fall into the trap of assuming that a renovation that suits your lifestyle and taste will automatically be attractive to every potential buyer when it comes time to on-sell the house. Think carefully about the likely appeal of any alterations. By all means rage against beige, but that orange kitchen and replica Sistine Chapel ceiling aren't necessarily going to push everyone's buttons.

Here are some key things to bear in mind before you take on any renovation project.

Don't overcapitalise
If the cost of renovating your home is greater than the resulting increase in its value, you've committed the cardinal sin of overcapitalising. An in-ground swimming pool for example, is unlikely to add enough to the home's sale price to cover its initial cost. In fact it could actually reduce the appeal to some buyers who are concerned about the safety of their young children or simply don't want the inconvenience of the maintenance. Updating a tired kitchen or bathroom on the other hand, will almost certainly improve the value of the home immediately. Just keep the level of investment (and taste) within a sensible range. Think about the types of people who will be future buyers and their likely expectations - don't put a kitset kitchen into a house in a high-end neighbourhood, and vice versa.

Plan the jigsaw
It's hard to conceive what a complicated process renovating can be, particularly when it comes to kitchens and bathrooms; it's like doing a jigsaw puzzle where everything has to be done in the right order. Understanding the process and planning the labour accordingly is vital. For such a small space, a bathroom requires more than its fair share of tradespeople, all of whom you have to co-ordinate - plumber, electrician, builder, tile, plasterer, painter and maybe even a floor sander.

Stay in theme
In general, renovations that are in keeping with the original style of the house will have the best selling power. The obvious exceptions are where the original style just doesn't work for contemporary lifestyles; hence the number of villas airy open-plan additions at the rear.

Make the most of what you've got
Always renovate to the minimum. First, try to accentuate the best aspects of your house. If your windows aren't positioned to make the most of the views or the sun, re-positioning or enlarging them is a relatively cheap way to make a significant improvement that capitalises on the natural attributes of your home. If the house feels cramped, consider changing the configuration of the rooms, or even just paint using lighter colours, to give a sense of greater spaciousness. A surprising amount can be achieved without the expense and drama of actually enlarging the house.

10 Minute Tip
Living in your new home for a while before you undertake alterations makes a lot of sense; it allows you to experience how the house actually feels and flows. However, don't put off renovations for too long. There's a danger that you'll get used to the place. You can become tolerant of the house's shortcomings and lose that renovation inspiration and motivation forever.

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