Homeowners are expected to increase spending on home improvement projects throughout 2013 according to the Leading Indicator of Remodeling Activity (LIRA) released by the Joint Center for Housing Studies of Harvard University.
The LIRA is designed to estimate national homeowner spending on improvements for the current quarter and subsequent three quarters. The indicator, measured as an annual rate-of-change of its components, provides a short-term outlook of homeowner remodeling activity and is intended to help identify future turning points in the business cycle of the home improvement industry.
"Existing home sales were up almost 9% last year, and house prices are increasing in most markets across the country," Eric S. Belsky, managing director of the Joint Center, said in a statement. "This has increased the home equity levels for most homeowners, encouraging them to reinvest in their homes."
