Still hot as ever, the housing market is continuing to find new highs in 2022 but consumers now overwhelmingly agree that the time is right to mold the space around you versus putting it on the market and finding another property that better fits your needs.
According to a survey of 1,000 consumers by LendingTree [1], 64% of respondents cited risings costs and shortages as obstacles to their home improvement plans, still, nearly half of homeowners planned to make home improvements this summer, citing comfort as their first reason for upgrading.
72% of respondents said that in an ideal world, they would rather make improvements to their property rather than go through the hassle of selling and finding another property that better fits their needs. 48% of homeowners have renovation or upgrade plans this spring or summer, while 34% say they’re considering it. Millennials (60%) and Midwesterners (55%) are most likely to have home improvement plans.
That’s not to say that everything relating to renovations are easy: nearly two-thirds of homeowners say recent economic turmoil has impacted their plans with 36% of that number citing higher material and labor costs while 16% cited supply chain issues.
Overall, 62% of respondents indicated that there was some level of home improvement they want to make, such as renovating a kitchen (18%), but could not afford to do so. Looking to stretch their budgets, many homeowners turn to a DIY approach. 77% say they’ll make at least some of repairs during a renovation to save on costs.
To fund these improvements, most respondents reported that they would dip into their savings to cover costs (60%), while other would fund with credit cards (25%), personal loans (12%), home equity loans (7%), unsecured loans (6%), home equity lines of credit (5%), and cash out refinances (3%).
Click here [2] to view the report in its entirety, including generational breakdowns of the data.