To move out ? No, Renovate! – theMReport.com
In light of a tough housing market filled with high home prices and low supply, Discover Home Loans has released a survey to better understand homeowner attitudes towards home improvements, buying and refinancing. habitat. According to its survey, Discover found that 79% of homeowners would rather renovate their current home than move to another.
“In some markets, there is a challenge of low housing inventory and high demand, which is driving up home prices and giving homeowners another reason to stay and invest in their current home.”
In fact, 58% of Gen Z and Millennial homeowners are currently working on home improvements or planning to do so in the next three months, and the majority, 82%, say they plan to upgrade their home. house as a form of investment.
“With their home equity rising, now is the time for homeowners to finance their renovations with a home equity loan and ultimately stay in the homes they love for the long term” , said Rob Cook, vice president of marketing, digital and analytics for Discover Home Loans. “In some markets, there is a challenge of low housing inventory and high demand, which is driving up home prices and giving homeowners another reason to stay and invest in their current home.”
According to the survey, homeowners are the most eager to perform routine maintenance, update appliances or refurbish their flooring. Notably, the number of Americans planning to update their floors has jumped 11 percentage points since August 2020; meanwhile, those planning to replace exterior features (roofing, doors and gutters) rose by seven percentage points.
While the appetite for home improvement projects remains high, those planning immediate projects are running into issues with rising prices and sourcing materials. About half of those planning a home renovation now or in the next three months, 48%, say they have experienced delays in obtaining materials for their projects, and 41% believe they will experience delays.
More than 57% of owners taking on projects have gone over budget, and nearly two in three say the cost of their project has increased since their initial contractor offer. Rising interest rates also had a significant impact, causing 42% of homeowners to delay their home improvement project.
“As the United States continues to grapple with rising material costs and supply chain issues, it’s more important than ever for homeowners to plan ahead for their renovations,” Cook said. “The best first step is to get your funding in order. Starting with a loan calculator, like the one provided by Discover Home Loans, can help give homeowners an idea of how much they can borrow and what monthly payments might look like.
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