Homeowners prefer to renovate than sell
As hot as ever, the housing market continues to reach new heights in 2022, but consumers now overwhelmingly agree that now is the time to shape the space around you rather than put it on the market and find another property that better suits your needs.
According to a survey of 1,000 consumers by LendingTree64% of respondents cited rising costs and shortages as obstacles to their home improvement plans, but nearly half of homeowners planned to make improvements to their homes this summer, citing comfort as primary reason for improvement.
72% of respondents said that in an ideal world, they would rather make improvements to their property than worry about selling and finding another property that better suits their needs. 48% of homeowners have renovation or upgrade plans this spring or summer, while 34% say they are considering it. Millennials (60%) and Midwesterners (55%) are the most likely to have home improvement plans.
That’s not to say everything about renovations is easy: nearly two-thirds of homeowners say recent economic turmoil has impacted their plans, with 36% citing material and labor costs. labor costs, while 16% cited supply chain issues.
Overall, 62% of respondents said they wanted to make improvements to their home, such as renovating a kitchen (18%), but could not afford to do so. Seeking to stretch their budget, many homeowners are turning to a DIY approach. 77% say they will make at least some of the repairs during a renovation to save costs.
To finance these improvements, most respondents said they would dip into their savings to cover the costs (60%), while others would finance with credit cards (25%), personal loans (12%) , home equity loans (7%), unsecured loans (6%), home equity lines of credit (5%) and cash refinances (3%).
Click here to view the full report, including generational breakdowns of the data.