New research from the online trend and data company Houzz shows that a majority of homeowners plan to renovate their current homes and expect to stay in them for 11 years or more.
The housing market may remain challenged by rising mortgage rates and a slowdown in new construction but those who are already in their homes say they plan to do serious renovation projects with the intent to stay in those homes for at least another decade.
Houzz, an online resource for homeowners and the building business, recently surveyed more than 46,000 homeowners and found that the majority, 61%, plan to renovate or remodel where they currently live and expect to continue living there for at least 11 years. Many of those projects involve expansions or remodeling of rooms, using lumber and other building materials.
In its U.S. State of the Industry study, Houzz said the anticipated median spend for home renovation projects was $15,000 with as much as $85,000 for higher-budget projects. Last year, nearly three of five homeowners remodeled or decorated their homes with 48% making repairs of some sort.
Kitchen and bathroom remodels remain the top projects, the research showed, commanding the highest median spends as well. The percentage of homeowners who used professional builders on projects grew by six percentage points, from 36% to 44% last year and “design-related pros” also saw gains in their shares of business.
Baby Boomers continued to lead in renovation projects, accounting for 59% of all activity, far outpacing Gen Xers, 27%, and Millennials, 9%.
“Faced with shortages of housing stock and high interest rates,” said Houzz vice president of industry marketing Liza Hausman, “we’re seeing homeowners update their current home to make the space more functional for the long term.”
