Increasing home prices, mortgage rates and inflation are taking a toll on the home remodeling industry. But according to the Harvard Joint Center for Housing Studies, home remodeling is set to rise again in the new year.
Compared to last year’s numbers, home improvement spending is predicted to grow by 4%. However, it’s important to keep in mind that not all improvements add value. If you want to make a good return on investment, consider renovations that bring your home’s value up to the neighborhood average.
Home improvement is defined as any work to your home, including repairs, remodeling, or installation. Examples include painting, flooring, remodeling, installing a deck or patio, resurfacing pavement, and adding new security protection devices.
Home improvement is a lucrative industry. The market is growing, and the number of companies entering the market is increasing. Many major players are now shifting their strategies to omni-retail approaches. They are also incorporating niche services, which address specific homeowner needs.
The market for home improvement services is diverse, and many consumers are choosing to do their own work. A recent survey by Axiom, a marketing firm in Minneapolis, found that 57 percent of consumers aged 19 to 55 plan to do their own work. Axiom asked consumers about their recent projects, and their plans for home improvement in the year ahead.
The survey found that 57 percent of respondents plan to do their own work on home improvement projects in 2021. Thirty-six percent of respondents plan to start their first project in the first two months of the year, and forty percent plan to start their first project in March.