Researchers at Harvard have announced that remodeling activity will pick up "later this year."
Researchers at the Ivy League school's Joint Center for Housing Studies released their findings Thursday in its latest Leading Indicator of Remodeling Activity (LIRA) report. Stronger pending home sales and continuing low interest rates will contribute to the rise, resulting in a 5.9 percent increase in annual spending in 2012, according to the report.
"Hopefully, we're finally moving beyond simple volatility in the home improvement spending numbers to a period of sustained growth," said Eric S. Belsky, managing director of the Joint Center. "The recent upturn we've seen in home sales should translate into more remodeling activity later this year."
"Unusually mild weather this past winter in many parts of the country accelerated the pace of homebuilding and home improvement activity," said Kermit Baker, director of the Remodeling Futures Program at the Joint Center. "This may produce a brief pause in remodeling activity this quarter, but then a strengthening economy should provide a foundation for continued growth moving forward."
