If you're mounting a remodeling project in the new year, here's a checklist of nine things you can do to curb homeowner angst and avoid the pitfalls of home-improvement makeovers gone awry.

-- Set a realistic budget. It's okay to start with a general number to fit your pocketbook. But be sure to compute every cost factor, including materials, labor, permits and special-order items in as much detail as possible. Plotting out your costs on computer spreadsheets will give you a big-picture overview for how much you're spending and will be helpful in your planning. A firm budget also sets perimeters and helps contractors know what you have to spend.

-- Know your limitations. If you don't have the skills to do the work right the first time, hire a professional. Too often, shoddy work by homeowners is penalized by finicky buyers when the time comes to sell your home. Shelve your ego in favor of work that looks good and is done correctly.

-- Hire an experienced contractor. Interview multiple contractors and resist the temptation to employ the first available tradesman. Ask potential contractors the tough questions: How much experience do you have on this type of project? Do you have proof of insurance? Have you ever been sued for bad work? Do you show up on time? How do you handle payments and project expenses? Then do your homework and call the Better Business Bureau where you live to find out if any complaints have been lodged against the contractor. Finally, make sure to ask a prospective contractor to provide you with references, then call them to check out the quality, reputation and workmanship of previous jobs.

-- Don't buy on cost alone. A lower cost contractor who doesn't show up on time, or who changes quotes for labor and materials mid-project, isn't a good value and may end up costing you more than you've budgeted. So don't quickly rule out contractors who may want to charge you more for better service and a promise to finish on time and within budget. In the long run, you may actually save money -- and avoid financial woes later.

-- Get it in writing. Say it with me: No deal with a contractor is ever done on a handshake. If a contractor candidate offers a standard contract, run it by your real estate attorney to make sure your interests are included in the terms. (An attorney also has sample contracts that will give you an idea of the language and terms usually covered.) Note: As a homeowner, you have leverage in the contract. Most contractors who want or need the work, will probably be flexible in meeting your demands.

-- Use the correct materials. Here's a good rule of thumb: If a project budget is tight, spend the most money on the objects (fixtures, knobs, door hardware) that are touched frequently or are visually prominent and less on other items typically out of view. If you can do without costly wood, use weather-resistant composites or plastics for crown moldings, decking and flooring. Youll save on maintenance headaches, too.

-- Plan for energy efficiency. Your fuel bills should be reason enough to think about conserving energy. So before plowing ahead with a room addition or makeover, find out if there's anything you can do to make the space more comfortable or energy efficient. For instance, if the drywall is down, consider adding more insulation to protect against the weather and reduce household noise. You can also insulate exposed pipes to help prevent them from freezing and bursting in the winter, avoiding costly repairs.

-- Make your home eco-friendly. Plan material usage carefully to reduce waste that ends up in landfills. For instance, consider using composite deck planks instead of treated lumber; be strategic and plant trees and hedges as natural shade against direct sunlight; and visit salvage yards for reusable lumber, doors, hardware and fixtures.

-- Home sweet home-improvement. Sure, the increased resale value of your latest home-improvement project is something to relish. But remember to appreciate the home's enhanced livability and the joy it will bring to you and your family for as long as you call it home.